Cannabis retailer High Tide Inc. has signed a deal to buy nine stores from Choom Holdings Inc. for $5.1 million in shares.
Under the agreement, High Tide will acquire two stores in British Columbia, six stores in Alberta and one store in Ontario.
Choom Holdings obtained court protection from creditors under the Companies’ Creditors Arrangement Act earlier this year.
High Tide says for the three months ended April 30 the stores generated collectively annualized revenue of $10.2 million.
The company says the purchase price will be paid in shares using a deemed price equal to their volume weighted average price for the 10 consecutive trading days preceding the closing.
Once the deal closes, High Tide will have at least 136 stores across the country including 43 in Ontario, two in British Columbia and 72 in Alberta.
– The Canadian Press was first published July 7, 2022.