UK Markets close in 7 hrs 25 mins
  • FTSE 100

    6,468.67
    +5.28 (+0.08%)
     
  • FTSE 250

    19,903.18
    +25.41 (+0.13%)
     
  • AIM

    1,067.48
    +0.41 (+0.04%)
     
  • GBP/EUR

    1.1059
    +0.0022 (+0.20%)
     
  • GBP/USD

    1.3401
    +0.0025 (+0.1863%)
     
  • BTC-GBP

    14,462.39
    +287.93 (+2.03%)
     
  • CMC Crypto 200

    380.10
    +15.19 (+4.16%)
     
  • S&P 500

    3,669.01
    +6.56 (+0.18%)
     
  • DOW

    29,883.79
    +59.87 (+0.20%)
     
  • CRUDE OIL

    45.41
    +0.13 (+0.29%)
     
  • GOLD FUTURES

    1,843.30
    +13.10 (+0.72%)
     
  • NIKKEI 225

    26,809.37
    +8.39 (+0.03%)
     
  • HANG SENG

    26,728.50
    +195.92 (+0.74%)
     
  • DAX

    13,280.75
    -32.49 (-0.24%)
     
  • CAC 40

    5,568.15
    -14.86 (-0.27%)
     

Aurora Cannabis cuts jobs in Europe to fit smaller-than-expected pot market

Jeff Lagerquist
·2-min read
The Logo for Aurora Cannabis Inc., a Canadian licensed cannabis producer, is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York, U.S., January 8, 2019. REUTERS/Brendan McDermid
(REUTERS/Brendan McDermid)

Aurora Cannabis (ACB.TO)(ACB) is paring back its European operations in the latest chapter of the company’s plan to adjust to a smaller-than-expected global pot market.

A spokesperson for the Edmonton-based licenced producer said about one quarter of the workforce in select countries and the company’s European regional office will be eliminated as a result of the decision. The spokesperson did not provide a precise number of impacted jobs.

“Aurora has undertaken a thorough analysis of our international operations to better align to current market conditions, continue to meet market demand and drive the company to near-term profitability,” the spokesperson said in an email on Monday.

“We are committed to simplifying all aspects of our business and applying greater efficiency to our operations.”

The European cuts follow major reduction to the pot producer’s Canadian operations. Last month, Aurora revealed plans to close five facilities and lay off roughly 700 workers, resulting in a $60 million charge in the coming quarter. In February, the company cut about 500 jobs and announced a $1 billion writedown.

Aurora also announced plans on Monday to ramp up production in Denmark. It will also acquire an outstanding 49 per cent stake in its Danish business. Mads Ulrik Peterson, the current CEO of Aurora Nordic Cannabis A/S, will now oversee operations in the region as president of the European organization.

Aurora was forced to halt international cannabis sales last December while waiting for permits from Germany to import and distribute medical cannabis from Canada. Sales resumed in February 2020. In its latest quarter, the company reported $4 million in international sales, less than six per cent of its total revenue in the period.

Jeff Lagerquist is a senior reporter at Yahoo Finance Canada. Follow him on Twitter @jefflagerquist.

Download the Yahoo Finance app, available for Apple and Android.