Replies to post #6188 on Tilray Brands Inc (TLRY)

[FUNMAN]

WTF--->>>Tilray Continues To Issue Stock Grants To Insiders Ahead Of The MegaMerger With Aphria

STOCKS Apr 7, 2021 • 8:03 AM EDT

2 MIN READ • BY MICHAEL BERGER

In 2020, one of the most significant developments in the legal cannabis sector was the announced merger of leading Canadian Licensed Producers (LPs) Aphria Inc. (APHA.TO) (APHA) and Tilray, Inc. (TLRY).

After the definitive merger agreement was announced, we published a series of articles on the growth profile of the combined company. We are bullish on the growth prospects that are associated with the combined company and expect it to benefit from having additional resources and substantially more market share in Canada and in strategic international markets.

Today, we want to highlight a separate topic of the transaction that relates to Tilray especially since it will be the surviving entity of the merger. So far this year, the Canadian LP has issued several stock grants to insiders and c-level executives. While this type of activity is completely normal, we believe our readers should be aware of the trend.

2020 was a challenging year for the global economy as the COVID pandemic negatively impacted all types of business. Many companies tried to cut costs to survive the pandemic and accomplished this through stock award programs.

We were recently analyzing Tilray’s SEC insider transaction filings and noticed that executives were reporting large stock grants (especially when you value the positions at the current share price) from previously announced equity incentive initiatives.

Typically, we would not highlight this type of insider trading activity but find it to be of significance due to the three separate shareholder lawsuits that have recently been filed. Although Tilray said the plaintiffs’ allegations lack merit and that it will not disclose additional filings or subsequent amendments, we believe the recent developments are significant as the management team works to complete the merger with Aphria.

AUTHORED BY
Michael Berger
Michael Berger is Managing Partner of StoneBridge Partners LLC. SBP continues to drive market awareness for leading firms in the cannabis industry throughout the U.S. and abroad.