Difficult to catch a break at the moment, ACB has taken action to address the balance sheet and removed CEO with a huge cule on staffing. Interesting to see how analysts and investors will react today after the stock was halted for 2 hours yesterday.
ACB is a garbage fire and I feel sorry for anyone who took their hard-earned money and saw a terrible company but thought people like weed. So they invested in this poorly managed dumpster. I hope they get out before the company files chapter 11.
RedHotStocks
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@rwoods187, Folks are so far under water now, hard to see what will bring that final flush out, volume is not that heavy today which is a surprise
@geojoe, Why would anyone buy a debt zombie? why not wait for them to file 11 and let the equity go to zero then buy the debt for pennies on the dollar?
geojoe
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@rwoods187, so, does aurora try to avoid 11 by selling some locations/facilities? or just file ?
rwoods187
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@geojoe, They can sell if someone wants to pay money for their facilities. The odds are, if they sell any locations it will be at a loss. I am not an ACB analyst, I just think the company is so poorly managed that the odds of its filing are higher than the odds than it seeing 10-20$ again.
This is the end of a business cycle, the company's revenue is subpar, it has massive debts, and the weed industry is a damaged sector that is no longer flush with capital.
geojoe
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@rwoods187, they should start using btc payment systems. bam lol
rwoods187
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@geojoe, Bitcoin would not make this sector any better. In fact, it would make it worse. A large portion of the bitcoin server farms has gone insolvent. Adding that boom and bust to the weed industries boom and bust would compound the issue. Also, many of the creditors on these debts will not accept bitcoin, as the debts were issued in fiat and not a form of cryptocurrency. So providing a bitcoin option will now bring added costs of forex. The market of CAD/BTC the conversion charges are much steeper than that of CAD/USD conversion.
sebreem1
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Every cannabiz started out trying to be the biggest not realizing that they needed to make a profit in order to grow. They grew too big too fast and now they are thinking profits and must downsize now and are selling assets at losses of billions of dollars... Maybe they should have taken economics 101 in high school, dummies!
geojoe
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@sebreem1, It seems as though all the players in the industry were anticipating better coop w the fed regs.