Auxly Cannabis Group Inc. (TSXV: XLY, FRA: 3KF, OTC: CBWTF)
Ontario Superior Court of Justice, Court File No: CV-19-00617136-ooooCP
Andrew Morganti and Albert Pelletier have become members of Kim Spencer McPhee Barristers, P.C., and the authoritative page for this securities litigation can now be found at our new website.
This securities class action relates to the Defendant releasing core documents and making other statements containing misrepresentations about the status of, delays to and completion date for the renovations being made to the facility in Cobourg, Ontario (the “Facility”) pursuant to the agreement Auxly had with FSD Pharma, Inc. (“FSD”), as well as misrepresentations Auxly made about the date for planting of first harvest of cannabis at the Facility.
Between February 6 and 8, 2019, Auxly and FSD released a series of statements announcing that Auxly was materially behind schedule with the renovations to the Facility, and that the agreement between Auxly and FSD had been terminated. These public corrections of the Company’s past misrepresentations caused immediate and significant damage to Auxly’s shareholders, resulting in Auxly’s stock price on the TSXV dropping by more than 22.8% in just a few days.