Aurora Cannabis sells closed Polaris facility for proceeds of CA$15 million

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Canadian marijuana producer Aurora Cannabis sold off its former Aurora Polaris facility to an unspecified buyer for gross proceeds of 15 million Canadian dollars ($11.1 million).

Aurora announced the closure of the Polaris facility in August 2022, alongside a roughly 8% reduction in the company’s workforce.

The exact cost Aurora paid to develop the Polaris facility is unclear.

The company previously recorded a CA$21.1 million impairment loss for the facility during the fiscal year ended June 30, 2022.

Aurora is among several publicly traded Canadian cannabis firms that collectively built too much cultivation capacity for the nation’s adult-use market.

The Edmonton, Alberta-based company has subsequently closed multiple facilities, including the Aurora Sun greenhouse and others.

After the Polaris sale, Aurora said it had CA$320 million of cash and cash equivalents, including about CA$63 million of restricted cash.

The company reiterated its goal of achieving profitability on the basis of adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) by the end of its current quarter.

Aurora, whose shares trade as ACB on the Toronto Stock Exchange and the Nasdaq, reported a CA$51.9 million loss in its most recent quarter.