High Tide Cannabis To Acquire Six Dispensaries In Saskatchewan For $2.31M In Stock And Cash

High Tide Inc. HITI HITI will acquire six retail cannabis stores in Regina, Saskatchewan in a CA$2.9 million ($2.31 million) stock and cash deal.

The retail-focused cannabis company reported Tuesday it has reached an agreement with the shareholders of 102105699 Saskatchewan Ltd. (the “corporation), under which High Tide will buy all the shares of the corporation.

The news comes on the heels of the company’s acquisition of Daily High Club, an online cannabis accessories retailer, for $10 million, through which it has strengthened its presence in the U.S.

Via the newest transaction, the Calgary, Alberta-headquartered company will obtain a portfolio of six retail locations. Out of those six, one retail store is currently active, while five are in different stages of development and are expected to become operational by the end of the year.

The consideration for the purchase amounts to a total of CA$2.9 million, consisting of CA$2.15 million in shares of High Tide and CA$750,000 in cash. The transaction is subject to standard closing requirements and is expected to close within the next 30 days.

"I am excited that we are adding these six new locations which will bring High Tide’s total retail footprint in Saskatchewan to ten stores upon completion and solidify our position as a leading cannabis retailer in the province,” Raj Grover, High Tide’s president and CEO stated. “Furthermore, within the City of Regina, there are currently only 13 operating retail cannabis stores of which one will be ours, with five more to come shortly. This transaction is especially beneficial to High Tide because retail cannabis margins in Saskatchewan are higher than the Canadian average, and new licenses are difficult to come by given various municipal zoning restrictions in Regina,” Grover added.

Price Action 

High Tide’s shares were trading 1.23% lower at $7.05 per share at the time of writing.

Photo: Courtesy of Tim Foster on Unsplash

Posted In: High Tide to Buy Six Dispensaries in SaskatchewanRaj GroverCannabisNewsMarkets

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.