Organigram Global Agrees to Acquire Aurora for C$7.80 Per Share

Organigram Global (OGI ) and Aurora Cannabis (ACB ) announced on November 3, 2026 that Organigram will acquire all issued and outstanding Aurora common shares for C$7.80 each, valuing Aurora at approximately C$561 million on a fully diluted equity basis. Both companies’ boards unanimously support the negotiated arrangement, which gives Aurora shareholders an alternative to Curaleaf’s hostile bid.

Aurora’s board and independent special committee consider the arrangement superior to Curaleaf’s offer following a strategic review that included outreach to multiple parties. They continue to recommend that shareholders reject the hostile bid.

The companies’ transaction website presents the price as a 93% premium to Aurora’s unaffected C$4.03 TSX close on August 10, 2026, the last full trading day before Curaleaf announced its intended bid, and a 21% premium to the implied value of Curaleaf’s amended offer as of November 2, 2026. The latter comparison uses Curaleaf’s 20-day TSX volume-weighted average price and a 20-trading-day average USD/CAD exchange rate of 1.4115.

What Aurora Shareholders Would Receive

Aurora shareholders can take the full consideration in cash, receive 5.8626 Organigram common shares for each Aurora share, or choose C$3.75 in cash plus 3.0431 Organigram shares, subject to proration. Aggregate consideration is capped at C$253.6 million in cash and 205.8 million Organigram shares. That valuation uses Organigram’s 20-day volume-weighted average TSX price on November 2, 2026.

The companies expect Aurora shareholders to hold approximately 35% of the combined company’s fully diluted economic ownership and 42% of its voting ownership. The same fully diluted comparison puts Aurora shareholders’ voting interest under Curaleaf’s offer at approximately 3.2%, with Boris Jordan at 66%. The Organigram proposal therefore combines a cash option with continued participation in the acquirer rather than offering only an exit.

The Operating and Financial Case

The combination joins two different cannabis businesses. Organigram contributes Canadian recreational brands, production and research and development, plus the European operations of its newly integrated Sanity Group. Aurora brings an international medical-cannabis business, manufacturing certified to EU Good Manufacturing Practice (EU-GMP) standards, and a pharmacy and patient-access network across Canada, Europe, Australia and New Zealand.

“This Transaction is a defining step in Organigram’s strategy to build a disciplined, global cannabis leader,” said Organigram CEO James Yamanaka.

Organigram’s transaction presentation reports combined net revenue of C$623.2 million for the 12 months ended June 30, 2026, along with C$254.4 million of gross profit before fair-value adjustments and C$80 million of adjusted EBITDA, a non-IFRS earnings measure. The presentation describes a revenue mix of roughly 60% medical and 40% consumer.

Those totals are unaudited arithmetic sums, not formal pro forma financial statements. They do not conform the companies’ accounting policies or adjusted-EBITDA definitions and exclude Sanity Group results before Organigram acquired it on April 15, 2026, limiting how directly they depict a fully integrated business.

The presentation lists four operating EU-GMP-certified production sites, another expected at Moncton and one certified distribution site. The network has more than 75 metric tonnes of certified production and processing capacity and approximately 170 metric tonnes of total flower capacity. Aurora’s Safari facility also provides a certified export pathway for Moncton output while that site’s own EU-GMP certification remains pending.

Management has identified more than C$50 million in potential annual run-rate synergies from cross-selling, procurement, consolidated distribution, public-company expenses and directing international demand to lower-cost certified production. Those benefits remain targets rather than realized savings.

Financing and Remaining Approvals

The cash portion is to be funded with available cash, a concurrent investment by British American Tobacco (BAT) and expanded bank credit. BAT’s indirect wholly owned subsidiary, BT DE Investments Inc., will acquire 141.0 million Organigram shares at C$1.33 each for total gross proceeds of £100 million, stated as C$187.5 million using the November 2, 2026 exchange rate. The proceeds are designated for the cash consideration and transaction expenses.

BAT, which can cast 30% of Organigram’s votes, has irrevocably agreed to support the acquisition and oppose competing acquisition proposals. Shares that would take its common ownership above that threshold will instead be non-voting Class A convertible preferred shares, with conversions subject to the same limit for BAT and specified related parties.

ATB Financial has fully committed senior secured facilities of up to C$210 million. Up to C$35 million of a revolving facility and a separate C$115 million term tranche would be available to help finance the acquisition at closing.

The acquisition will use a British Columbia plan of arrangement and requires at least two-thirds of Aurora votes cast, plus a separate simple majority excluding certain shareholders under minority-protection rules. Organigram’s share issuance and the BAT placement require a simple majority of Organigram votes cast, excluding BAT’s shares.

A joint information circular is to be mailed to shareholders. The companies expect special meetings in December 2026 and completion in January 2027. Closing also requires approval from the Supreme Court of British Columbia and the TSX, other regulatory approvals and German foreign-direct-investment clearance from the Federal Ministry for Economic Affairs and Energy.

The agreement gives Aurora shareholders a negotiated alternative combining cash consideration with substantial voting participation in Organigram. Its fate now rests on the December votes and outstanding clearances; beyond completion, the central operating question is whether the combined company can turn its medical-heavy revenue base and certified production network into the savings management has projected.