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CanniMed Therapeutics Inc. has designed a poison pill to hobble the hostile takeover bid launched for the Saskatchewan-based medical marijuana company by rival Aurora Cannabis Inc.

Aurora, an Alberta-based licensed cannabis producer, has made an all-stock offer of up to $24 per share for CanniMed.

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CanniMed, however, has been wary of the proposal, and said Tuesday evening in a press release that its board of directors had adopted a plan, “to ensure that all shareholders are fairly treated, well informed and not subject to coercive bids.”

CanniMed said that the shareholder rights plan blocks Aurora from buying any CanniMed shares other than those previously pledged to the hostile bid, and added that the poison pill prevents Aurora from signing any new lock-up agreements in support of its offer. Aurora has said it already has lock-up agreements supporting its bid with shareholders who represent 38 per cent of CanniMed’s stock.