Aurora Cannabis Inc. opposed CanniMed Therapeutics Inc.'s plan to buy Newstrike Resources Ltd., calling it a "terrible deal" for CanniMed stockholders.
Aurora filed a dissident circular and will solicit votes against CanniMed's resolution of issuing shares in connection with a potential deal.
The medical marijuana company said the proposed transaction offers "significantly inferior value" to CanniMed shareholders in comparison with Aurora's own offer to acquire the company.
"Newstrike has no revenues, no sales license and no patients, with a significant portion of its capacity unfunded," Aurora said in a statement, adding that CanniMed is Newstrike's "last lifeline."
The Ontario Securities Commission recently scheduled a hearing on Aurora Cannabis' takeover bid for CanniMed on Dec. 20, Reuters reported.
CanniMed requested the Financial and Consumer Affairs Authority of Saskatchewan and the Ontario Securities Commission to intervene, claiming that the offer was an "insider bid."
Aurora launched an offer to buy CanniMed for C$24 per share, but CanniMed's board adopted a shareholder rights plan in response to the bid, calling it "unsolicited, opportunistic."