The ETFMG Alternative Harvest ETF (NYSEArca: MJ) fell 5 percent on Wednesday after Canada-based Aphria Inc. rejected an acquisition offer from U.S.-based cannabis producer Green Growth Brands.

Cannabis stocks fell in unison following the news, hurting MJ’s holdings like Canopy Growth Corp. and Cronos Group Inc. Canopy Growth fell as much as 5 percent while Cronos Group declined 8 percent.

Aphria rejected the offer after not seeing eye-to-eye with Green Growth Brands on the valuation of the company. According to Aphria, the offer by Green Growth Brands to acquire a controlling interest presented a substantial discount relative to the company’s current and future value.

Furthermore, Aphria said the proposed offer would include a share in a company with “limited operations” as well as experience in the cannabis industry. Green Growth Brands first announced its bid to take over Aphria on December 27, 2018.

“Regardless of their brazen attempts to suggest otherwise, GGB is asking Aphria shareholders to accept a substantial discount on their shares, as well as delisting from both the TSX and NYSE, resulting in a vast dilution of their ownership in Aphria,” said Aphria Chairman Irwin Simon.

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