Replies to post #47558 on Aurora Cannabis Inc (ACB)

[leopard messiah]

I doubt options were in the money when they agreed. Probably was the price when they struck the deal. Price jumped from strike price on news of his participation.

And he can’t exercise any of the options at any price until a full year passes (all vest of four years, probably in quarters). So he couldn’t have just used his name to make a quick buck.

Could they have negotiated a higher strike price? Sure, possibly. Agreed that would’ve incentivized him to hustle faster, maybe. But for getting a guy like Peltz, you gotta give something up. He’s pretty incentivized to create a big spike in PPS with the deal as-is. The prices at which the exercise dates accelerate are telling.

And considering our current O/S, 20M shares isn’t a back-breaker.

[Dalian]

I doubt Peltz arrived with a deal in his pocket. However it is certain that he has had multiple discussions with companies in a variety of industries and has gauged their interest.

Part of the caution in doing "a deal" will be based on Aurora's plan to have multiple partners serving distinctly different sectors. That means the master plan must take into account how those pieces fit together and the size and prominence of each.

Any prospective partner they are talking to will want to know the details of the comprehensive plan and how they fit into it. This is a much more complicated undertaking than done by Canopy or CRON. Thus, we see the unique value that Peltz brings and why his likely reward will be massive.