Settlement Reached in Aphria Inc. Class Action Lawsuit Over Alleged Misrepresentations

Settlement Details in Aphria Inc. Class Action Lawsuit

On May 12, 2025, it was announced that a settlement has been achieved regarding a global class action lawsuit against Aphria Inc. and several former executives and directors. This case revolves around claims of misrepresentations made in public disclosures by Aphria during a specified period from January 29, 2018, to December 3, 2018. While the allegations have been vehemently denied by Aphria and the implicated individuals, the settlement has been confirmed by the Ontario Superior Court of Justice.

Overview of the Class Action

The lawsuit stems from investors' concerns regarding the accuracy of information released by Aphria. Investors who bought shares during the relevant time frame alleged that they were misled by the company’s disclosures, which could affect their financial interests. As a result of these allegations, the case progressed to a class action status, uniting affected shareholders under a common cause.

Settlement Amount and Administration

The settlement amount has been set at CAD $30 million. This figure represents a compromise reached by all parties involved and does not imply any admission of wrongdoing by Aphria or its agents. The Ontario Superior Court has appointed RicePoint Administration, Inc. (operating as Verita Global) as the settlement administrator. This organization will oversee the claims process and ensure that eligible investors receive their respective compensation.

Claim Process for Investors

Eligible class members are advised to complete a Claim Form and submit it to the appointed administrator by the deadline of August 26, 2025. Those who fail to submit their claim by this date will forfeit their rights to compensation. Class members who purchased shares in the United States prior to December 3, 2018, may also have additional rights under a separate but certified U.S. securities class action.

Interested investors are encouraged to visit AphriaSettlement.com for comprehensive information regarding their rights, and to ensure they follow the necessary steps to file a claim. A Long-Form Notice detailing the settlement and rights of affected shareholders is available online along with a toll-free number (1-888-700-9930) for inquiries.

Implications for Aphria

While the settlement allows Aphria to move forward without admitting any liability, the events surrounding this lawsuit have highlighted the importance of transparency and accuracy in corporate communications. The cannabis market has seen its share of volatility and scrutiny; hence, maintaining investor confidence is paramount. Operators in this field are reminded of their responsibility to provide clear and truthful information to stakeholders.

Conclusion

The resolution of this class action marks a significant event for Aphria and its investors, providing an opportunity for shareholders to recoup losses attributed to the alleged misrepresentations. As this situation unfolds, it serves as a reminder to both investors and corporations about the vital role of accurate disclosures in fostering trust and stability in financial markets. Those affected are urged to act promptly to secure their claims and understand their rights moving forward.