Tilray: 250 Million Reasons Shareholders Aren't Happy
- Tilray continues to urge shareholders to approve Proposal 1 to lift the authorized share count to 990 million shares.
- The Canadian cannabis company has proposed a plan to boost FY24 (June) revenue to $4 billion while current analyst estimates are only $1.37 billion.
- Investors are rightfully balking at the company boosting the authorized shares by ~250 million when organic growth is preferred.
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Update - Sept. 10
Tilray still got approval to triple the business via acquisitions which is a rather odd goal. Any company can buy revenues, good companies grow it organically.
-Tilray (TLRY -0.9%) announced that majority holding stockholders approved an increase in the number of authorized shares of its common stock.
-Since the merger which closed in May 2021, the new Tilray has made substantial strides across its business, by driving increased revenue through rapidly expanding its international medical business, introducing a new medical brand in Canada while increasing its share in that market, and making strong progress towards its target of $80M in synergies.
-With additional authorized shares, Tilray is now able to accelerate its progress towards its goal of delivering $4B in revenue by FY24 end.