Aurora stock is making gains today after Aurora Cannabis (TSX:ACB) (NYSE:ACB) announced that it has received European Union Good Manufacturing Practice (EU GMP) certification for its Bradford, Ontario facility.
EU Approval
The EU approval of Aurora Cannabis's Bradford facility, known as Aurora River, is the third GMP certificate that the company has received after Aurora Mountain, located in Mountain View County, Alberta, and Aurora Ridge located in Markham, Ontario. Designed for large-scale production, Aurora River has a cultivation capacity of 28,000 kilograms per year across its 17 fully-planted grow rooms. Aurora stock has gained 3.5% following the announcement.
To become EU GMP certified, companies must show that their facilities produce both high-quality results and consistency in all manufacturing procedures. Companies must be EU GMP certified to be able to export medical cannabis into most European markets.
"The EU GMP certification of our River facility further validates our strategy focused on purpose-built facilities, designed and constructed exclusively for the production of high-quality, pharmaceutical-grade cannabis. I congratulate our team on successfully working with regulators and licensing bodies to ensure Aurora's facilities and products are in accordance with local and international standards," said CEO Terry Booth. Aurora shares are currently trading for $2.59 on the Toronto Stock Exchange.
>> Aphria Stock Tanks on Various Concerns: What to Do Next?
In addition to receiving EU approval on the Bradford site, Aurora has also announced that it has received all the necessary approvals from local regulators in Germany to resume the sales of its medicinal cannabis products after a temporary sales suspension in December.
Can Aurora Stock Halt the Slump?
News of the European approval is a welcome reprieve for the firm and its investors after Aurora stock slumped to an all-time low of $1.97 earlier this month. However, the company is far from out of the woods yet after analysts slashed their coverage on the cannabis heavyweight and warned that it is unlikely to meet the covenants on debt due next year. With cannabis 2.0 products set to hit shelves over the coming weeks, can Aurora stock sustain its upward momentum?
Featured Image: Canva
