Aurora Cannabis announced Wednesday that it has appointed longtime activist investor Nelson Peltz as a strategic advisor to the company.
Peltz will “work collaboratively and strategically to explore potential partnerships that would be the optimal strategic fit for successful entry into each of Aurora’s contemplated market segment,” Aurora said in a press release.
Aurora shares surged 8 percent in premarket trading following the release. The company added that it has granted Peltz options to purchase 19.96 million common Aurora shares at a price of CA$10.34.
The addition of Peltz to the Aurora team represents one of the largest endorsements of the nascent cannabis industry.
Peltz, who founded and serves at CEO of New York-based Trian Partners, has over the decades commanded respect across Wall Street for his investing prowess and ability to reshape companies. As an activist investor, Peltz and Trian Partners take stakes in public companies they believe are undervalued and push management to make changes they think will boost stock prices.
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