Irwin Simon: Aphria Is Worth More than Green Growth’s Offer


Jan. 24 2019, Updated 3:05 p.m. ET

Aphria is worth more

Irwin D. Simon, the new chairman of Aphria’s (APHA) board, provided reasons why the company is worth more than Green Growth’s offer. He gave four key factors that contribute to Aphria’s value. He mentioned “industrial-scale production, pharmaceutical-grade quality, innovative product development, and industry leading partnerships.”

Article continues below advertisement


In Cannabis Players’ Valuations: Which Stocks Look Cheap in January?, we discussed that Aphria’s valuation multiples were trading at a discount compared to its peers (HMMJ) including Canopy Growth (WEED) (CGC), Aurora Cannabis (ACB), and Tilray (TLRY).

Most of the decline in Aphria’s valuation resulted from a significant decline in the company’s stock price after it came under fire from short sellers. The short sellers questioned the company’s recent acquisition in LATAM (Latin America). However, taking a cue from those reports, Bloomberg went over to the LATAM market to confirm the short sellers’ claim. Read Did Aphria’s Questionable Acquisitions Get Validation? to learn more.

In the following days, we’ll closely watch what Aphria’s committee provides in its recommendation about Green Growth’s formal offer.


More From Market Realist

  • BioNano Genomics Saphyr system
    Company & Industry Overviews
    BioNano Genomics (BNGO) Stock Looks Like a Buy, Solid Opportunity
  • Delta aircraft
    Company & Industry Overviews
    Delta Air Lines Updates Mandatory Vaccine Policy, Explained
  • AMC advertisement in walkway
    Company & Industry Overviews
    Why It's Time for Most Investors to Sell AMC Entertainment Stock
  • 100 Thieves founder Matthew Haag
    Company & Industry Overviews
    Why Growing Esports Company 100 Thieves Isn't Publicly Traded
  • CONNECT with Market Realist
  • Link to Facebook
  • Link to Twitter
  • Link to Instagram
  • Link to Email Subscribe
Market Realist Logo
Do Not Sell My Personal Information

© Copyright 2021 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.