Aphria

Stock Symbol: 
APHA
Case Status: 
Investigations

Ademi & O’Reilly, LLP announces an investigation of Aphria Inc. (NYSE: APHA) for possible violations of securities laws.

The investigation focuses on whether Aphria violated securities laws by failing to tell investors that Aphria was making inflated investments in insider owned assets.  According to a report from Quintessential Capital Management and research firm Hindenburg Research, Aphria’s  recent C$280 million ($212.3 million) Latin America acquisitions "raise major red flags," as the transactions appear to be largely worthless. For example, the C$145 million acquisition in Jamaica was of an abandoned building that was sold off by the bank earlier this year, and although a C$50 million purchase of an Argentinian company was represented to have revenues of $11 million in 2017, an employee of the Argentinian company said 2017 revenue was only $430,000.