Full Press Release Details
Aurora Cannabis Inc. ("Aurora" or the
500-10355 Jasper Avenue
Edmonton, Alberta T5J 1Y6
A news release announcing the material change referred to in
this report was disseminated by Aurora on November 8, 2021 and filed on SEDAR under Aurora's profile on the same date.
The Company announced that Aurora
Nederland B.V. ("Aurora Netherlands"), a wholly-owned indirect subsidiary of
the Company, has entered into an agreement to acquire a significant equity stake in Growery B.V. ("Growery"),
one of 10 successful applicants for a cannabis production licence in the Netherlands.
The Company announced that Aurora
Netherlands has entered into an agreement to invest in a significant equity stake in Netherlands-based Growery, one of the few license
holders entitled to participate in the Controlled Cannabis Supply Chain Experiment (the "CCSC"). The agreement is subject
to the regulatory notification procedure.
Aurora's investment in Growery
is structured such that the Company intends to invest an immaterial cash amount of which a portion is due and payable upfront, and the
remainder dependent on Growery achieving certain milestones. Under the terms, Aurora will provide a secured loan to Growery to construct
a facility, fund early operations and provide technical and operational support through its Netherlands-based state-of-the-art research
facility for medical cannabis established in 2018. Aurora expects to fully consolidate the revenues realized through the investment into
Growery under the applicable International Financial Reporting standards.
The CCSC is scheduled to be in effect
for a minimum of four years, during which the Dutch government will evaluate if the rules of the CCSC should be expanded nationally. Anticipated
demand during the CCSC is approximately 30,000 kilograms of dried flower annually. Should the CCSC be expanded nationally (from approximately
80 coffee shops in 10 selected municipalities to the nearly 600 coffee shops that exist today), it is estimated that the Netherlands would
require approximately 200,000 kilograms of dried flower annually to fulfill demand.
Please refer to Schedule "A"
for the full news release.
The following senior officer of the Company is knowledgeable
about the material change and this Material Change Report and may be contacted:
Glen Ibbott, Chief Financial Officer
Telephone: 1-855-279-4652
November 8, 2021 NASDAQ | TSX: ACB
Cannabis Acquires a Significant Equity Stake in Growery B.V., One of 10
Successful Applicants for a Cannabis Production Licence in the
First Federally Regulated Recreational Market in Europe and Largest Outside of Canada
EDMONTON, AB - November 8, 2021
-Aurora Cannabis Inc. (the "Company" or "Aurora") (NASDAQ | TSX: ACB), the Canadian company
defining the future of cannabinoids worldwide, today announced that Aurora Nederland B.V., a wholly owned indirect subsidiary of the Company,
has entered into an agreement to invest in a significant equity stake in Netherlands-based Growery B.V. ("Growery"), one of
the few license holders entitled to participate in the Controlled Cannabis Supply Chain Experiment (the "CCSC"). The agreement
is subject to the regulatory notification procedure.
Aurora's investment in Growery
is structured such that the Company intends to invest an immaterial cash amount of which a portion is due and payable upfront, and the
remainder dependent on Growery achieving certain milestones. Under the terms, Aurora will provide a secured loan to Growery to construct
a facility, fund early operations and provide technical and operational support through its Netherlands-based state-of-the-art research
facility for medical cannabis, established in 2018. Aurora expects to fully consolidate the revenues realized through the investment into
Growery under the applicable International Financial Reporting standards.
"Our investment in Growery
is a significant advancement for our global recreational cannabis strategy. The Netherlands is expected to be the largest federally regulated
recreational market outside of Canada, and is a proof point that our medical market success in Europe is portable to recreational markets,"
said Miguel Martin, Chief Executive Officer of Aurora Cannabis. "Aurora's global leadership is underscored by a proven track record
of regulatory compliance, testing, and commitment to science. With similar values and commitment to excellence, we are pleased to be working
with Growery to enter the Dutch market."
"The shared expertise of Growery
and Aurora will enable the delivery of high-quality cannabis to the new recreational program in the Netherlands," declared a spokesperson
from Growery. "We aspire to be a driving force in this evolving market and a premier provider of cannabis to consumers. In Aurora
we have found an experienced partner with the global leadership needed to enable a significant head start in the CCSC."
The CCSC is scheduled
to be in effect for a minimum of four years, during which the Dutch government will evaluate if the rules of the CCSC should be expanded
nationally. Anticipated demand during the CCSC is approximately 30,000 kilograms of dried flower annually. Should the CCSC be expanded
nationally (from approximately 80 coffee shops in 10 selected municipalities to the nearly 600 coffee shops that exist today), it is estimated
that the Netherlands would require approximately 200,000 kilograms of dried flower annually to fulfill demand.
is a global leader in the cannabis industry, serving both the medical and consumer markets. Headquartered in Edmonton, Alberta,
Aurora is a pioneer in global cannabis dedicated to helping people improve their lives. The Company's brand portfolio includes Aurora,
Aurora Drift, San Rafael '71, Daily
Special, MedReleaf, CanniMed, Pedanios, Whistler, Reliva
and KG7 CBD. Driven by science and innovation, and with a focus on high-quality cannabis products,
Aurora's brands continue to break through as industry leaders in the medical, performance, wellness and adult recreational markets wherever
Aurora's common shares trade on the TSX and NASDAQ under
the symbol "ACB" and is a constituent of the S&P/TSX Composite Index.
cultivates, process and distributes cannabis to coffeeshops in the recreational cannabis market in the Netherlands as part of the
Controlled Cannabis Supply
Chain Experiment sanctioned by the Dutch government.
For more information visit Growery.nl
VP, Communications & Public
Relations media@auroramj.com
| In Europe: | For Investors: |
| Yvonne Moeller | ICR, Inc. |
| Director, Communications Europe | Investor Relations |
| press@auroramedicine.com | aurora@icrinc.com |
Forward-looking Information
This news release includes
statements containing certain "forward-looking information" within the meaning of applicable securities law ("forward-looking
statements"). Forward-looking statements are frequently characterized by words such as "plan", "continue", "expect",
"project", "intend", "believe", "anticipate", "estimate", "may", "will",
"potential", "proposed" and other similar words, or statements that certain events or conditions "may" or
"will" occur. Forward-looking statements made in this news release include statements regarding the Company's investment
in Growery including a loan to fund its facility construction and the provision of technical and operational support, the Company's
intention to consolidate revenue realized through the investment under IFRS, the ability of Growery to delivery high quality cannabis
to the Dutch recreational cannabis market, the impact of the CCSS, and the overall potential of the Dutch recreational cannabis market.
These forward-looking statements
are only predictions. Forward looking information or statements contained in this news release have
been developed based on assumptions management considers to be reasonable. Material factors or assumptions involved in developing
forward-looking statements include, without limitation, publicly available information from governmental sources as well as from market
research and industry analysis and on assumptions based on data and knowledge of this industry which
the Company believes to be reasonable. Forward-looking statements are subject to a variety of risks, uncertainties and other factors
that management believes to be relevant and reasonable in the circumstances could cause actual
events, results, level of activity, performance, prospects, opportunities or achievements to differ materially from those projected in
the forward-looking statements. These risks include, but are not limited to, the ability to retain key personnel, the ability to continue
investing in infrastructure to support growth, the ability to obtain financing on acceptable terms, the continued quality of our products,
customer experience and retention, the development of third party government and non-government consumer sales channels, management's
estimates of consumer demand in Canada and in jurisdictions where the Company exports, expectations of future results and expenses, the
risk of successful integration of acquired business and operations, management's estimation that SG&A will grow only in proportion
of revenue growth, the ability to expand and maintain distribution capabilities, the impact of