Company halted construction on 2 facilities in November
Aurora Cannabis is laying off some 500 workers and replacing CEO Terry Booth, who has stepped down, the company said Thursday.
The Edmonton-based cannabis giant said in a statement it has eliminated close to 500 full-time equivalent staff across its operations. It also said the board of directors will expand as part of the restructuring.
“While there is still much work to be done, the timing is right to announce my retirement with a thoughtful succession plan in place,” Booth said in the statement.
Executive chairman Michael Singer has been named interim CEO by the board.
It was not immediately clear which positions would be affected by the layoffs. Aurora operates in 25 countries in areas including cannabis research, production, wholesale and retail.
“These changes … should clearly demonstrate to investors that Aurora has the continuity, strategic direction and leadership it needs to transition from its entrepreneurial roots to an established organization,” Booth said.
A year ago, the cannabis sector was booming and stock prices were skyrocketing.
But much has changed and some analysts now forecast many bankruptcies by the end of the year. There are currently about 200 cannabis companies in the Canadian market, with annual sales totalling around $1 billion.
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