As Aurora Cannabis Inc (TSE: ACB)(NYSE: ACB) continues to expand in international markets, the company has taken another stride forward in building a foothold in the European market.
Aurora announced today that they, through their subsidiary Aurora Europe GmbH, were chosen by the Luxembourg Health Ministry to become a supplier of medical cannabis to the country and have already processed an initial purchase of 20 kilograms.
The company has already received all required permits and licenses necessary to import and export cannabis into the nation with it’s first shipment already underway. This announcement marks the second time Aurora has been directly asked by a European government to become a supplier of medical cannabis to national facilities.
“To our knowledge, Aurora is the first medical cannabis producer selected by the Luxembourg Health Ministry to supply dried cannabis flower. This is a reflection of the trust we have earned with governments and regulators around the world,” said Global Business Development Officer Neil Belot. “We look forward to supplying patients in need in what will be the 7th European Union member country where we have exported plants or products to help meet growing patient demand.”
Over the past few months, Aurora has been cementing its position as a world-leading cannabis producer, going out of their way to secure international agreements in markets such as Italy, Germany, Denmark, Malta, and more. A couple of months, ago Aurora announced that the firm was establishing a 100,000 square foot hybrid greenhouse in Denmark as phase one of its strategic campaign in northern Europe, for example.
“Working directly with governments provides patients all over Europe the assurance that the medical cannabis products they consume meet the highest quality and safety standards,” added Maximilian Weinberg, Business Development executive at Aurora Europe GmbH. “We are proud to be a trusted partner for both wholesalers and governments throughout Europe, and look forward to further increasing our footprint in this important growth market in which we have substantial early mover advantage.”
Aurora shares jumped significantly today, climbing up C$0.84 or 13.5 percent in today’s trading session (although NYSE shares have declined slightly). However, the past three months have seen share prices decline substantially from C$15 down to less than half, showing few signs of recovery despite its position as a market leader.
Most of this investor concern has come from recent revelations about how little product these companies have shipped out, with provinces suffering major cannabis shortages that these companies have failed to address. These worries, compounded by recent revelations questioning the integrity of the 4th-largest cannabis company in Canada – Aphria – the sector remains largely bearish as 2018 comes to a close.
Aurora Cannabis Inc Company Profile
Headquartered in Edmonton, Alberta, Canada with funded capacity in excess of 500,000 kg per annum and sales and operations in 22 countries across five continents, Aurora is one of the world’s largest and leading cannabis companies.
Aurora is vertically integrated and horizontally diversified across every key segment of the value chain, from facility engineering and design to cannabis breeding and genetics research, cannabis and hemp production, derivatives, high value-add product development, home cultivation, wholesale and retail distribution. – Aurora