Dive Brief:

• Canada-based Aurora Cannabis tapped Simona King — a 19-year veteran of the New Jersey-based pharmaceutical giant Bristol Myers Squib — as its new finance chief effective Wednesday, according to a company release.
• King will replace Glen Ibbott, who has held the global medical cannabis company’s finance reins for about seven years. After staying on to help with the transition for a few months, Ibbott said he will work as a consultant or board member to “help other developing and growth companies reach their full potential,” according to a personal post on his LinkedIn account. 
• King is joining the cannabis industry as it faces multiple challenges, as the shape of the new markets created by the continued drive toward legalization is still emerging. For example, five years after Canada’s Cannabis Act legalized recreational cannabis in 2018 estimates for illicit sales still vary widely, with such sellers holding at least a 25% share of the market, according to a Deloitte study. 

Dive Insight:

Aurora’s steady CFO leadership under Ibbott sets it apart from some other companies in the sector that have struggled to hold onto finance chiefs. 

For example, in July struggling cannabis retailer MedMen Enterprises named its seventh CFO in five years, as high taxes, volatile prices and excessive debt have challenged the market, CFO Dive previously reported. Meanwhile, cannabis supplier Trulieve underwent a tumultuous period for its financial leadership before accounting veteran Wes Getman took the CFO reins in January.

King comes to Aurora, which is based in Edmonton, Alberta, with more than 25 years of “progressive” finance leadership experience, the company said. She served from 2000 to 2019 at Bristol Myers, including as a divisional CFO of enterprise services and as head of finance, corporate financial planning and analysis, according to her LinkedIn account. Most recently, she was CFO of Philadelphia, Pennsylvania-based Passage Bio from 2021 through July 2023. 

Aurora CEO Miguel Martin cited King’s more recent experience as finance chief of clinical stage biotech companies in addition to her extensive experience growing businesses, improving operational efficiencies and leading a best-in-class global financial organization in the release.

“Her deep operational and financial knowledge, combined with her extensive experience across many corporate functions and deep commitment to developing talent, make her uniquely positioned to help lead Aurora into its next phase of growth;" Martin said in a statement.

Under Ibbott the company has been repaying debt and taken steps to improve its finances. Aurora reported a narrower net loss of $25.2 million for its fiscal third quarter ended Dec. 31, compared to $62.4 million in the year earlier period. The company attributed this to an increase in gross profit and a decrease in operating expenses. The company also reaffirmed its “commitment” to achieving positive free cash flow this year. 

On the company’s Feb. 8 earnings call, Ibbott said the company was on track to repay its remaining convertible senior notes with cash for about $7.3 million by the end of the month. The move completes a three-year push to repay nearly $540 million of debt in a move that leaves the business debt-free, he said.