Cronos Group Appoints Deloitte as New Auditor
Ticker: CRON · Form: 8-K · Filed: Apr 17, 2024 · CIK: 1656472
| Field | Detail |
|---|---|
| Company | Cronos Group Inc. (CRON) |
| Form Type | 8-K |
| Filed Date | Apr 17, 2024 |
| Risk Level | low |
| Pages | 3 |
| Reading Time | 3 min |
| Sentiment | neutral |
Sentiment: neutral
Topics: auditor-change, accounting
TL;DR
Cronos swapped auditors from PwC to Deloitte, no drama reported.
AI Summary
Cronos Group Inc. announced on April 16, 2024, that it has appointed a new independent registered public accounting firm, Deloitte LLP, effective April 11, 2024. This change follows the resignation of its former auditor, PricewaterhouseCoopers LLP. The company has stated that the decision was not a result of any disagreements with PricewaterhouseCoopers LLP.
Why It Matters
A change in auditor can sometimes signal underlying issues or a desire for a fresh perspective on financial reporting, though Cronos states no disagreements occurred.
Risk Assessment
Risk Level: low — The filing is a routine change of auditor and does not indicate any financial distress or significant operational changes.
Key Players & Entities
- Cronos Group Inc. (company) — Registrant
- Deloitte LLP (company) — New independent registered public accounting firm
- PricewaterhouseCoopers LLP (company) — Former independent registered public accounting firm
- April 16, 2024 (date) — Date of report
- April 11, 2024 (date) — Effective date of auditor change
FAQ
When did Cronos Group Inc. announce the change in its independent registered public accounting firm?
Cronos Group Inc. announced the change on April 16, 2024.
Who is the new independent registered public accounting firm for Cronos Group Inc.?
The new independent registered public accounting firm is Deloitte LLP.
Who was Cronos Group Inc.'s previous independent registered public accounting firm?
The previous independent registered public accounting firm was PricewaterhouseCoopers LLP.
What is the effective date of the appointment of Deloitte LLP?
The appointment of Deloitte LLP is effective April 11, 2024.
Were there any disagreements between Cronos Group Inc. and PricewaterhouseCoopers LLP that led to the change?
No, the filing states that the decision to change auditors was not a result of any disagreements between Cronos Group Inc. and PricewaterhouseCoopers LLP.
Filing Stats: 772 words · 3 min read · ~3 pages · Grade level 11.9 · Accepted 2024-04-16 21:01:57
Filing Documents
- cron-20240416.htm (8-K) — 30KB
- exhibit161-kpmgletter.htm (EX-16.1) — 7KB
- image_0.jpg (GRAPHIC) — 12KB
- 0001656472-24-000052.txt ( ) — 186KB
- cron-20240416.xsd (EX-101.SCH) — 2KB
- cron-20240416_def.xml (EX-101.DEF) — 3KB
- cron-20240416_lab.xml (EX-101.LAB) — 23KB
- cron-20240416_pre.xml (EX-101.PRE) — 13KB
- cron-20240416_htm.xml (XML) — 3KB
01. Changes in Registrant's Certifying Accountant
Item 4.01. Changes in Registrant's Certifying Accountant. On April 11, 2024, KPMG LLP ("KPMG"), the current independent registered public accounting firm of Cronos Group Inc. (the "Company"), informed the Company that it will not stand for re appointment for the Company's 2024 annual audit. KPMG indicated that its notification was a result of its decision to cease providing financial statement audit services to companies in the cannabis industry, regardless of the jurisdiction in which they operate. The Company anticipates that KPMG will continue to review its quarterly interim financial results through the first two fiscal quarters of 2024. The Company intends to promptly initiate a process to appoint a new independent registered public accounting firm. KPMG did not seek the Company's consent to its decision to not stand for re-appointment as the Company's independent registered public accounting firm. As a result, neither the Company's Board of Directors nor the Audit Committee of the Company's Board of Directors participated in KPMG's decision. KPMG issued unqualified reports on the Company's consolidated financial statements for the fiscal years ended December 31, 2023 and 2022, as well as an unqualified report on the effectiveness of the Company's internal control over financial reporting for the year ended December 31, 2023. KPMG issued an adverse opinion on the Company's internal control over financial reporting as of the year ended December 31, 2022 due to the existence of a material weakness. During the Company's fiscal years ended December 31, 2022 and 2023, and the subsequent interim period through April 12, 2024, there were no "disagreements" between the Company and KPMG within the meaning of Item 304(a)(1)(iv) of Regulation S-K or "reportable events" within the meaning of Item 304(a)(1)(v) of Regulation S-K (other than the material weakness referred to above) with respect to the Company. In accordance with Item 304(a)(3) of Regulation S-K, the Comp
01. Financial Statements and Exhibits
Item 9.01. Financial Statements and Exhibits. (d) Exhibits. Exhibit No. Description 16.1 Letter from KPMG LLP to the Securities and Exchange Commission dated April 16, 2024 104 Cover Page Interactive Data File – The cover page from Cronos Group Inc.'s Current Report on Form 8-K filed on April 16, 2024 is formatted in Inline XBRL.
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. CRONOS GROUP INC. Dated: April 16, 2024 By: /s/ Michael Gorenstein Name: Michael Gorenstein Title: President and Chief Executive Officer