TORONTO–(BUSINESS WIRE)–#valueforgenerations–Choice Properties Real Estate Investment Trust (“Choice Properties” or the “Trust”) (TSX: CHP.UN) announced today that it will be reporting fourth quarter 2022 results on Wednesday, February 15, 2023, after-market hours.

Management will host a conference call the next day on Thursday, February 16, 2023 at 10:00 AM (ET) with a simultaneous audio webcast. To access via teleconference please dial (240) 789-2714 or (888) 330-2454 and enter the event passcode: 4788974. The link to the audio webcast will be available on www.choicereit.ca/events-webcasts.

About Choice Properties Real Estate Investment Trust

Choice Properties is a leading Real Estate Investment Trust that creates enduring value through the ownership, operation and development of high-quality commercial and residential properties.

We believe that value comes from creating spaces that improve how our tenants and communities come together to live, work, and connect. We strive to understand the needs of our tenants and manage our properties to the highest standard. We aspire to develop healthy, resilient communities through our dedication to social, economic, and environmental sustainability. In everything we do, we are guided by a shared set of values grounded in Care, Ownership, Respect and Excellence.

For more information, visit Choice Properties’ website at www.choicereit.ca and Choice Properties’ issuer profile at www.sedar.com.

Contacts

Angelica Muere

Director, Social Impact, Marketing and Communications

T 416 628-7794

E Angelica.Muere@choicereit.ca

TORONTO–(BUSINESS WIRE)–Home Capital Group Inc. (“Home Capital”) (TSX: HCG) today announced the expiration of the go-shop period provided for in the arrangement agreement dated November 20, 2022 pursuant to which a wholly-owned subsidiary of Smith Financial Corporation (“SFC”), a company controlled by Stephen Smith, has agreed to acquire the issued and outstanding common shares of Home Capital that SFC does not already own for $44.00 in cash per share, subject to increase in certain circumstances (the “Arrangement”).

During the go-shop period, Home Capital was permitted, with the assistance of its financial advisors, BMO Capital Markets and TD Securities, to actively solicit, evaluate and enter into negotiations with third parties that expressed an interest in acquiring Home Capital. During the go-shop period, 38 potential buyers were contacted. Three of the potential buyers entered into confidentiality agreements with Home Capital and were granted access to non-public information about Home Capital. Home Capital did not receive an acquisition proposal during the go-shop period.

Completion of the Arrangement is subject to obtaining the required approval of Home Capital shareholders, court approvals and the satisfaction or waiver of certain other conditions to implementing the Arrangement, including receipt of regulatory approvals under the Bank Act (Canada), Trust and Loan Companies Act (Canada) and the Competition Act (Canada).

Caution Regarding Forward Looking Statements

This press release contains forward-looking information within the meaning of applicable Canadian securities legislation, including relating to: whether, and when, the Arrangement will be consummated and the anticipated receipt of required regulatory approvals, including the timing thereof, and court and shareholder approval. Such forward-looking information necessarily involves known and unknown risks and uncertainties and assumptions. These risks, uncertainties and assumptions include, but are not limited to: the risk that the Arrangement will not be approved by Home Capital shareholders; failure to, in a timely manner, or at all, obtain the necessary court and required regulatory approvals for the Arrangement and other customary risks associated with transactions of this nature. Therefore, forward-looking information should be considered carefully and undue reliance should not be placed on such information. Please note that forward-looking information in this news release reflects management’s expectations as of the date hereof, and therefore is subject to change. Home Capital disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law. Please refer to Home Capital’s 2022 Third Quarter Report, available on Home Capital’s website at www.homecapital.com, and on SEDAR at www.sedar.com, for Home Capital’s Caution Regarding Forward-looking Statements.

About Home Capital

Home Capital is a public company, traded on the Toronto Stock Exchange (HCG), operating through its principal subsidiary, Home Trust Company. Home Trust Company is a federally regulated trust company offering residential and non-residential mortgage lending, securitization of residential mortgage products, consumer lending and credit card services. In addition, Home Trust Company and its wholly owned subsidiary, Home Bank, offer deposits via brokers and financial planners, and through a direct-to-consumer brand, Oaken Financial. Licensed to conduct business across Canada, we have offices in Ontario, Alberta, British Columbia, Nova Scotia, and Quebec.

Contacts

Home Capital Group Inc.

Jill MacRae

VP, Investor Relations and ESG

416-933-4991

Investor.relations@hometrust.ca

TORONTO–(BUSINESS WIRE)–Slate Office REIT (TSX: SOT.UN) (the “REIT”), an owner and operator of high-quality workplace real estate, is pleased to provide an update to its previous announcement in connection with the proposed amendments to the terms of its 5.25% convertible unsecured subordinated debentures, due February 28, 2023 (the “Debentures”) to: (i) increase the interest rate from 5.25% to 9.00%, effective February 28, 2023, (ii) decrease the conversion price from $10.53 per REIT unit to $5.50 per REIT unit, (iii) extend the maturity date from February 28, 2023 to February 28, 2026, and (iv) provide that the Debentures are not redeemable prior to February 28, 2025 and, at any time after February 28, 2025, the REIT shall be permitted to redeem the amended Debentures, in whole or in part at a price equal to the principal amount thereof plus accrued and unpaid interest to, but excluding, the date of the redemption (collectively, the “Amendments”).

“As we remain focused on positioning the REIT’s portfolio for long-term stability, the REIT’s management team, together with the Board of Trustees, believe the implementation of these Amendments will prove prudent and beneficial to both the REIT and the Debentureholders,” said Steve Hodgson, Chief Executive Officer of Slate Office REIT. “We continue to navigate a volatile and uncertain operating environment, and these Amendments will provide the REIT with attractive financing terms while, importantly, enabling the REIT to preserve liquidity and optionality for the REIT’s future needs in the face of rising rates and persistent macroeconomic challenges. For the Debentureholders, the Amendments will offer existing Debentureholders a series of material enhancements to the existing terms.”

As previously announced, the REIT is separately but concurrently soliciting consents and proxies from the holders of the Debentures (the “Debentureholders”) to pass an extraordinary resolution to approve the Amendments (the “Extraordinary Resolution”). If Debentureholders representing not less than 66 2/3% of the principal amount of the Debentures have delivered valid consents and proxies consenting TO / voting FOR the approval of the Extraordinary Resolution by January 25, 2023 (the “Consent Solicitation”), the Extraordinary Resolution will be passed. If the Consent Solicitation condition is not met, the REIT will hold a meeting of the Debentureholders (the “Meeting”) on January 27, 2023 to seek approval of the Extraordinary Resolution. However, if the Extraordinary Resolution is approved through the Consent Solicitation, the Meeting will be cancelled, as it will no longer be necessary to effect the Amendments.

Today, the REIT filed a consent and proxy solicitation statement, and related materials (collectively, the “Solicitation Materials”) on SEDAR. The Solicitation Materials are available under the REIT’s profile on SEDAR at www.sedar.com. Additionally, the REIT will distribute Solicitation Materials to all the Debentureholders.

The Solicitation Materials outline important information for Debentureholders, including the following:

• CDS Clearing and Depositary Services Inc. (“CDS”) is the only registered holder of the Debentures, and all other holders of the Debentures are beneficial holders who hold the Debentures through an intermediary which is a participant of CDS (each a “CDS Participant”). Accordingly, beneficial Debentureholders must provide consent and voting instructions to their CDS Participant.

• The deadline for CDS Participants to submit consent and proxy instructions to the CDSX system for beneficial Debentureholders to be entitled to receive the Consent Fee (described below) is 5:00 p.m. (Eastern Time) on January 20, 2023. However, notwithstanding this deadline, beneficial Debentureholders should be aware that most CDS Participants have an internal deadline for receiving instructions that is earlier than this deadline.

• Each Debentureholder as of the record date of December 21, 2022, who provides both a valid consent and proxy in favour of the Extraordinary Resolution before the deadlines described above, may be eligible to receive a fee (the “Consent Fee”). The Consent Fee will be payment of $5.00 for each $1,000 principal amount of Debentures.

• The deadline for CDS Participants to submit consent and proxy instructions to the CDSX System (without entitlement to the Consent Fee) is 9:00 a.m. (Eastern Time) on January 25, 2023. However, notwithstanding this deadline, beneficial Debentureholders should be aware that most CDS Participants have an internal deadline for receiving instructions that is earlier than this deadline.

Kingsdale Advisors is acting as the Information, Solicitation and Tabulation Agent for the Consent Solicitation and the Meeting. Debentureholders may contact Kingsdale Advisors regarding: (i) questions concerning the terms of the Consent Solicitation and the Meeting, (ii) assistance with Solicitation Materials, (iii) requests of additional copies of the Solicitation Materials or (iv) assistance with proxy appointments for the meeting at: 1-800-775-1986 or by email at corpaction@kingsdaleadvisors.com.

About Slate Office REIT (TSX: SOT.UN)

Slate Office REIT is a global owner and operator of high-quality workplace real estate. The REIT owns interests in and operates a portfolio of strategic and well-located real estate assets in North America and Europe. The majority of the REIT’s portfolio is comprised of government and high-quality credit tenants. The REIT acquires quality assets at a discount to replacement cost and creates value for unitholders by applying hands-on asset management strategies to grow rental revenue, extend lease term and increase occupancy. Visit slateofficereit.com to learn more.

About Slate Asset Management

Slate Asset Management is a global alternative investment platform targeting real assets. We focus on fundamentals with the objective of creating long-term value for our investors and partners. Slate’s platform has a range of real estate and infrastructure investment strategies, including opportunistic, value add, core plus and debt investments. We are supported by exceptional people and flexible capital, which enable us to originate and execute on a wide range of compelling investment opportunities. Visit slateam.com to learn more.

Forward-Looking Statements

Certain information herein constitutes “forward-looking information” as defined under Canadian securities laws which reflect management’s expectations regarding objectives, plans, goals, strategies, future growth, results of operations, performance, business prospects and opportunities of the REIT. The words “plans”, “expects”, “does not expect”, “scheduled”, “estimates”, “intends”, “anticipates”, “does not anticipate”, “projects”, “believes”, or variations of such words and phrases or statements to the effect that certain actions, events or results “may”, “will”, “could”, “would”, “might”, “occur”, “be achieved”, or “continue” and similar expressions identify forward-looking statements. Such forward-looking statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations.

Forward-looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable by management as of the date hereof, are inherently subject to significant business, economic and competitive uncertainties and contingencies. When relying on forward-looking statements to make decisions, the REIT cautions readers not to place undue reliance on these statements, as forward-looking statements involve significant risks and uncertainties and should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not the times at or by which such performance or results will be achieved. A number of factors could cause actual results to differ, possibly materially, from the results discussed in the forward-looking statements. Additional information about risks and uncertainties is contained in the filings of the REIT with securities regulators.

SOT-SA

Contacts

For Further Information
Investor Relations

+1 416 644 4264

ir@slateam.com

• The Company closes the year as the top revenue-generating cannabis company in Canada
• The Company also announces the opening of its 150th Canna Cabana location

 

CALGARY, Alberta–(BUSINESS WIRE)–High Tide Inc. (“High Tide” or the “Company”) (Nasdaq: HITI) (TSXV: HITI) (FSE: 2LYA), a leading retail-focused cannabis company with bricks-and-mortar as well as global e-commerce assets, is pleased to reflect on its key milestones for 2022, a year that saw record growth for the company. From becoming the top revenue-generating cannabis company in Canada to being recognized as one of Canada’s “Top Growing Companies” for the second year in a row by the Globe and Mail, to the growth of its unique Cabana Club loyalty program to over 900,000 members, to entering a new lucrative vertical in the United States with the launch of cannabis seed sales, the Company continuously demonstrated that it is committed to the further diversification of its ecosystem while remaining a leader in bringing innovation to the cannabis retail landscape.

High Tide’s 2022 Highlights:

• Total revenue for the nine months ended July 31, 2022, increased to CAD$248.6 million from CAD$127.3 million for the nine months ended July 31, 2021. Concurrent with the release of the Company’s fiscal third quarter results, it disclosed that annualizing the revenue generated in the month of August 2022 results in a current revenue run rate exceeding CAD$400 Million.  High Tide has become the top revenue-generating¹ cannabis company in Canada, according to New Cannabis Ventures².
• Generated same-store sales increases of 46% during the three months ended July 31, 2022, compared to the same quarter in the prior year and 18% compared to the prior quarter.
• Delivered rapid growth in its unique Cabana Club loyalty program, which is the largest bricks-and-mortar cannabis loyalty program in Canada with over 900,000 members.
• Launched Cabana Elite, the first-of-its-kind cannabis paid membership loyalty program in Canada.
• Entered the British Columbia market, with six stores operating at the end of 2022.  The Company also anticipates the organic opening of its location in Kamloops, BC, imminently. 
• Added 45 new Canadian stores, both organically and through accretive acquisitions, closing the year at 150 stores across Ontario, Manitoba, Saskatchewan, Alberta and British Columbia.
• Achieved a top 10 ranking in the diversified industries stocks category by the TSX Venture 50 for 2022.
• Ranked 21st out of 430 in the Globe and Mail’s annual ranking of Canada’s “Top Growing Companies” with 1970% revenue growth over three years. This marks the second year in a row the Company has earned a spot on this prestigious list.
• Closed a $19 million senior secured credit facility with connectFirst Credit Union Ltd., with an initial 5-year term, at connectFirst’s floor interest rate.
• Rolled out 175 proprietary Fastendr Kiosks across 120 Canna Cabana stores.
• Launched its Cabana Cannabis Co. white-label offerings in the Canadian provinces of Ontario, Manitoba and Saskatchewan.
• Entered a new lucrative vertical in the United States with the launch of cannabis seed sales through its subsidiaries GrassCity and Smoke Cartel.
• Launched first-of-its-kind exclusive annual ‘420’ prize package car giveaway valued at over $42,000.  
• Increased international customer database to over 3 million, including approximately 2.4 million customers in the United States through its ancillary cannabis e-commerce platforms.
• Grew its World Vision sponsorship support to 300 children internationally after committing to sponsoring two additional children for every new store that opens in Canada.
• Increased its total employment footprint from just over 900 to over 1,400 during 2022 in order to manage growth.

COMPANY TO OPEN NEW STORE IN ETOBICOKE, ONTARIO

The Company also announced today that its Canna Cabana retail cannabis store located at 170 Queen Street North, Etobicoke, Ontario, will begin selling recreational cannabis products and consumption accessories for adult use tomorrow, December 31, 2022. This first Etobicoke store is Canna Cabana’s 150th in Canada and the 49th in Ontario. Anchored by two major discount retailers, this store is located within a major commercial plaza in the inner Toronto suburb of Etobicoke, containing a national arts and crafts retail chain. It is also a short drive away from Sherway Gardens, a large mall in the Greater Toronto Area that brings in customers from surrounding municipalities, like Mississauga, Canada’s seventh largest city, which do not permit bricks-and-mortar cannabis sales within their boundaries.

“Once again, I would like to thank our loyal customers, team members and our shareholders for their ongoing support as we delivered yet another landmark year for High Tide, despite geopolitical, supply chain and economic challenges worldwide. With their support, we were able to execute our business plan, which saw us emerge as the top revenue-generating cannabis company in Canada. Our rapid revenue growth and positive adjusted EBITDA continue to expand as we leveraged the strengths of our diversified cannabis ecosystem and experienced strong growth in our Cabana Club loyalty program, which now sits at over 900,000 members. I am optimistic that this continued growth in both revenue and customer loyalty will be recognized by the capital markets as macro-level global challenges outside of our control ease through 2023,” said Raj Grover, President and Chief Executive Officer of High Tide.

“Despite most cannabis companies facing fierce challenges across the cannabis value chain, we have continued on our forward trajectory, delivering on our goals which included opening 150 locations in 2022 through laser-focused execution. The results we’ve yielded in Canada over the last couple of years give me confidence that our team will continue to execute and deliver in large and exciting markets like the United States and Germany as relevant laws and regulations materialize. I have said it before and want to re-iterate now that our ambition is to become a top-five MSO with significant retail operations beyond North America. We continue to strengthen our business with every passing year and look forward to delivering yet another year of solid growth and significant market share gains heading into 2023,” added Mr. Grover.

ABOUT HIGH TIDE

High Tide is a leading retail-focused cannabis company with bricks-and-mortar as well as global e-commerce assets. The Company is the largest non-franchised cannabis retail chain in Canada, with 150 current locations spanning British Columbia, Alberta, Saskatchewan, Manitoba and Ontario. The Company is also North America’s first cannabis discount club retailer, under the Canna Cabana banner, which is the single-largest cannabis retail brand in Canada, with additional locations under development across the country. High Tide’s portfolio also includes retail kiosks and smart locker technology – Fastendr^™. High Tide has been serving consumers for over a decade through its established e-commerce platforms, including Grasscity.com, Smokecartel.com, Dailyhighclub.com, and Dankstop.com and more recently in the hemp-derived CBD space through Nuleafnaturals.com, FABCBD.com, BlessedCBD.co.uk, BlessedCBD.de, and Amazon United Kingdom, as well as its wholesale distribution division under Valiant Distribution, including the licensed entertainment product manufacturer Famous Brandz. High Tide was featured in the Report on Business Magazine’s ranking of Canada’s Top Growing Companies in both 2021 and 2022 and was named as one of the top 10 performing diversified industries stocks in the 2022 TSX Venture 50^™. High Tide’s strategy as a parent company is to extend and strengthen its integrated value chain while providing a complete customer experience and maximizing shareholder value.

For more information about High Tide, please visit www.hightideinc.com and its profile pages on SEDAR at www.sedar.com and EDGAR at www.sec.gov.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accept responsibility for the adequacy or accuracy of this release.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. These statements relate to future events or future performance. The use of any of the words “could”, “intend”, “expect”, “believe”, “will”, “projected”, “estimated” and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company’s current belief or assumptions as to the outcome and timing of such future events.

The forward-looking information and forward-looking statements contained herein include, but are not limited to, statements regarding: the Company’s business objectives and milestones and the anticipated timing of, and costs in connection with, the execution or achievement of such objectives and milestones (including, without limitation, proposed acquisitions and store openings); the Company’s future growth prospects and intentions to pursue one or more viable business opportunities; the development of the Company’s business and future activities following the date hereof; expectations relating to market size and anticipated growth in the jurisdictions within which the Company may from time to time operate or contemplate future operations; expectations with respect to economic, business, regulatory and/or competitive factors related to the Company or the cannabis industry generally; the market for the Company’s current and proposed product offerings, as well as the Company’s ability to capture market share; the Company’s strategic investments and capital expenditures, and related benefits; the distribution methods expected to be used by the Company to deliver its product offerings; the competitive landscape within which the Company operates and the Company’s market share or reach; the performance of the Company’s business and the operations and activities of the Company; the Company adding the number of additional cannabis retail store locations the Company proposes to add to the Company’s business upon the timelines indicated herein, and the Company remaining on a positive growth trajectory; the Company making meaningful increases to its revenue profile; the Company completing the development of its cannabis retail stores; the Company’s ability to obtain, maintain, and renew or extend, applicable authorizations, including the timing and impact of the receipt thereof; the realization of cost savings, synergies or benefits from the Company’s recent and proposed acquisitions, and the Company’s ability to successfully integrate the operations of any business acquired within the Company’s business; and the Company continuing to grow its online retail portfolio through further strategic and accretive acquisitions.

These statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements. A discussion of some of the material risk factors applicable to High Tide can be found in the “Non-Exhaustive List of Risk Factors” section in Schedule A to the Company’s current annual information form, as such factors may be further updated from time to time in its periodic filings, available at www.sedar.com and www.sec.gov.

Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated.

Forward-looking statements contained in this press release are expressly qualified by this cautionary statement and reflect the Company’s expectations as of the date hereof and are subject to change thereafter. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, estimates or opinions, future events or results or otherwise, or to explain any material difference between subsequent actual events and such forward-looking information, except as required by applicable law.

CAUTIONARY NOTE REGARDING FUTURE ORIENTED FINANCIAL INFORMATION

This press release may contain future oriented financial information (“FOFI”) within the meaning of Canadian securities legislation about annualized revenue and current revenue run rate, which is all subject to the same assumptions, risk factors, limitations, and qualifications as set out in the above “Cautionary Note Regarding Forward-Looking Statements”. FOFI is not presented in the format of a historical balance sheet, income statement or cash flow statement. FOFI does not purport to present the Company’s financial condition in accordance with IFRS as issued by the International Accounting Standards Board, and there can be no assurance that the assumptions made in preparing the FOFI will prove accurate. The actual results of operations of the Company and the resulting financial results will likely vary from the amounts set forth in the analysis presented, and such variation may be material (including due to the occurrence of unforeseen events occurring subsequent to the preparation of the FOFI). The Company and management believe that the FOFI has been prepared on a reasonable basis, reflecting management’s best estimates and judgments as of the applicable date. However, because this information is highly subjective and subject to numerous risks, readers are cautioned not to place undue reliance on the FOFI as necessarily indicative of future results. Except as required by applicable law, the Company undertakes no obligation to update such FOFI.

¹Ranking relates to companies reporting in CAD

²Based on reporting by New Cannabis Ventures as of November 14, 2022. For the New Cannabis Ventures’ senior listing, segmented cannabis-only sales must generate more than US$25 million per quarter (CAD$31 million) – for full details, see: https://www.newcannabisventures.com/cannabis-company-revenue-ranking/

Contacts

INFORMATION

Media Inquiries
Omar Khan
Senior Vice President – Corporate and Public Affairs
High Tide Inc.
omar@hightideinc.com

Investor Inquiries
Vahan Ajamian
Capital Markets Advisor
High Tide Inc.
vahan@hightideinc.com

LADERA RANCH, Calif.–(BUSINESS WIRE)–SmartStop Self Storage REIT, Inc. (“SmartStop” or the “Company”), a self-managed and fully integrated self storage company, announced today that it has increased its owned and managed Canadian self storage portfolio to 22 locations. The 22^nd property in the portfolio is the newly developed facility located in the Town of Aurora in the Greater Toronto Area of Ontario.

Located at 87 Goulding Avenue, the approximately 94,000-square-foot facility is a joint venture development with SmartCentres. The new Class A, four-story climate-controlled facility includes approximately 890 units and is well-situated across from a central shopping plaza anchored by several big-box retailers. The location features easy access to Highway 404 and serves the communities of Newmarket, Pleasantville, White Rose, Cherry, Vandorf, and Preston Lake.

“When we entered the Canadian self storage market in 2010 with our first acquisition in Ontario, it was an exciting opportunity to expand the SmartStop brand to an attractive self storage market that was ripe with opportunity,” said H. Michael Schwartz, Chairman and CEO of SmartStop. “Twelve years and 22 locations later, our commitment to the Canadian market is stronger than ever. We look forward to expanding SmartStop’s footprint in Ontario and other provinces and using the SmartStop platform to further increase stockholder value.”

About SmartStop Self Storage REIT, Inc. (SmartStop):

SmartStop Self Storage REIT, Inc. (“SmartStop”) is a self-managed REIT with a fully integrated operations team of approximately 450 self storage professionals focused on growing the SmartStop® Self Storage brand. SmartStop, through its indirect subsidiary SmartStop REIT Advisors, LLC, also sponsors other self storage programs. As of December 29, 2022, SmartStop has an owned or managed portfolio of 179 operating properties in 22 states and Ontario, Canada, comprising approximately 124,000 units and 14.2 million rentable square feet. SmartStop and its affiliates own or manage 22 operating self storage properties in the Greater Toronto Area and surrounding areas, which total approximately 19,000 units and 1.9 million rentable square feet. Additional information regarding SmartStop is available at www.smartstopselfstorage.com.

Contacts

David Corak
VP of Corporate Finance

SmartStop Self Storage REIT, Inc.

949-542-3331

IR@smartstop.com

This news release constitutes a “designated news release” for the purposes of the Company’s prospectus supplement dated December 3, 2021, to its short form base shelf prospectus dated April 22, 2021.

CALGARY, Alberta–(BUSINESS WIRE)–High Tide Inc. (“High Tide” or the “Company”) (Nasdaq: HITI) (TSXV: HITI) (FSE: 2LYA), a leading retail-focused cannabis company with bricks-and-mortar as well as global e-commerce assets, announced today that further to its press release dated September 29, 2022, the Company has completed its acquisition (the “Acquisition”) of 100% of the equity interest of 1171882 B.C. Ltd., operating as Jimmy’s Cannabis Shop BC (“Jimmy’s”), resulting in High Tide’s acquisition of two retail cannabis stores currently operated by Jimmy’s in British Columbia (the “Stores”) for $5.3 Million (the “Transaction”). The Stores are located at 1225 Cranbrook Street North, Cranbrook and 1543 Victoria Street, Prince George.

The Cranbrook store is located near the base camp of the Kootenay Rockies and is within a short drive of award-winning golf courses and nature trails. It is also situated within a commercial complex that includes a prominent local grocery store as well as a multinational hotel chain. The Prince George store is situated within the largest city in northern British Columbia, which is also close to the crossroads of provincial highways 16 and 97. The store itself is located within a commercial plaza including a national pharmacy chain and a major discount clothing retailer.

The closing of the Transaction brings High Tide’s nationwide store count to 149, including six in British Columbia. The Company also anticipates the organic opening of its location in Kamloops, BC, imminently. 

For the trailing four months ended May 31, 2022, the Stores generated annualized revenue of $5.4 Million and annualized Adjusted EBITDA¹ of $1.0 Million. The purchase price represents 5.25x annualized Adjusted EBITDA for the trailing four months ended May 31, 2022.

TRANSACTION DETAILS

The Acquisition was completed pursuant to the terms of a share purchase agreement, dated September 28, 2022 (the “Acquisition Agreement”). High Tide acquired 100% of Jimmy’s for 2,595,533 common shares of High Tide (each, a “High Tide Share”) valued at $5.3 Million (the “Share Consideration”), on the basis of a deemed price of C$2.0365 per High Tide Share. The purchase price is subject to a post-closing working capital adjustment provision, to address any increase or decrease of working capital, inventory or cash estimated as of the closing date. The closing of the Transaction remains subject to final approval from the TSX Venture Exchange (“TSXV”). Pursuant to the Acquisition Agreement, 70% of the High Tide Shares issued are subject to a four month hold.

ABOUT JIMMY’S

Jimmy’s strives to find a balance between being a boutique and a neighbourhood store using a heritage theme that is both reflective of the individual communities in which it does business and chronicling Jimmy’s cultural relationship with cannabis over the past 100 years. At Jimmy’s, we love to have fun, but we also have the knowledge, background, and training to ensure clients can purchase responsibly.  

ABOUT HIGH TIDE

High Tide is a leading retail-focused cannabis company with bricks-and-mortar as well as global e-commerce assets. The Company is the largest non-franchised cannabis retail chain in Canada, with 149 current locations spanning across British Columbia, Alberta, Saskatchewan, Manitoba and Ontario. The Company is also North America’s first cannabis discount club retailer, under the Canna Cabana banner, which is the single-largest cannabis retail brand in Canada, with additional locations under development across the country. High Tide’s portfolio also includes retail kiosks and smart locker technology – Fastendr^™. High Tide has been serving consumers for over a decade through its established e-commerce platforms, including Grasscity.com, Smokecartel.com, Dailyhighclub.com, and Dankstop.com and more recently in the hemp-derived CBD space through Nuleafnaturals.com, FABCBD.com, BlessedCBD.co.uk, BlessedCBD.de, and Amazon United Kingdom, as well as its wholesale distribution division under Valiant Distribution, including the licensed entertainment product manufacturer Famous Brandz. High Tide was featured in the Report on Business Magazine’s ranking of Canada’s Top Growing Companies in both 2021 and 2022 and was named as one of the top 10 performing diversified industries stocks in the 2022 TSX Venture 50^™. High Tide’s strategy as a parent company is to extend and strengthen its integrated value chain while providing a complete customer experience and maximizing shareholder value.

For more information about High Tide, please visit www.hightideinc.com and its profile pages on SEDAR at www.sedar.com and EDGAR at www.sec.gov.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This press release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. These statements relate to future events or future performance. The use of any of the words “may”, “should”, “could”, “intend”, “expect”, “believe”, “will”, “anticipate”, “plan”, “projected”, “estimated” and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company’s current belief, estimates, or assumptions that while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties and contingencies.

The forward-looking information and forward-looking statements contained herein include, but are not limited to, statements regarding: the closing of the Acquisition at the purchase price announced herein and receipt of final TSXV approval of the Acquisition; the Company’s business objectives and milestones and the anticipated timing of, and costs in connection with, the execution or achievement of such objectives and milestones (including, without limitation, proposed acquisitions and store openings); the Company’s future growth prospects and intentions to pursue one or more viable business opportunities; the development of the Company’s business and future activities following the date hereof; expectations relating to market size and anticipated growth in the jurisdictions within which the Company may from time to time operate or contemplate future operations; expectations with respect to economic, business, regulatory and/or competitive factors related to the Company or the cannabis industry generally; the market for the Company’s current and proposed product offerings, as well as the Company’s ability to capture market share; the Company’s strategic investments and capital expenditures, and related benefits; the distribution methods expected to be used by the Company to deliver its product offerings; the competitive landscape within which the Company operates and the Company’s market share or reach; the performance of the Company’s business and the operations and activities of the Company; the Company remaining on a positive growth trajectory; the Company completing the development of its cannabis retail stores; the Company’s ability to obtain, maintain, and renew or extend, applicable authorizations, including the timing and impact of the receipt thereof; and the Company’s ability to successfully integrate the operations of any business acquired within the Company’s business.

These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements. A discussion of some of the material risk factors applicable to High Tide can be found in the “Non-Exhaustive List of Risk Factors” section in Schedule A to the Company’s current annual information form, as such factors may be further updated from time to time in its periodic filings, available at www.sedar.com and www.sec.gov. Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated.

Forward-looking statements contained in this press release are expressly qualified by this cautionary statement and reflect the Company’s expectations as of the date hereof and are subject to change thereafter. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, estimates or opinions, future events or results or otherwise or to explain any material difference between subsequent actual events and such forward-looking information, except as required by applicable law.

CAUTIONARY NOTE REGARDING FUTURE ORIENTED FINANCIAL INFORMATION

This press release may contain future oriented financial information (“FOFI”) within the meaning of Canadian securities legislation about annualized revenue and annualized Adjusted EBITDA, which is all subject to the same assumptions, risk factors, limitations, and qualifications as set out in the above “Cautionary Note Regarding Forward-Looking Statements”. FOFI is not presented in the format of a historical balance sheet, income statement or cash flow statement. FOFI does not purport to present the Company’s financial condition in accordance with IFRS as issued by the International Accounting Standards Board, and there can be no assurance that the assumptions made in preparing the FOFI will prove accurate. The actual results of operations of the Company and the resulting financial results will likely vary from the amounts set forth in the analysis presented, and such variation may be material (including due to the occurrence of unforeseen events occurring subsequent to the preparation of the FOFI). The Company and management believe that the FOFI has been prepared on a reasonable basis, reflecting management’s best estimates and judgments as of the applicable date. However, because this information is highly subjective and subject to numerous risks, readers are cautioned not to place undue reliance on the FOFI as necessarily indicative of future results. Except as required by applicable law, the Company undertakes no obligation to update such FOFI.

¹Adjsted EBITDA is a non-IFRS financial measure.

Contacts

INFORMATION

Media Inquiries
Omar Khan
Senior Vice President – Corporate and Public Affairs
High Tide Inc.
omar@hightideinc.com

Investor Inquiries
Vahan Ajamian
Capital Markets Advisor
High Tide Inc.
vahan@hightideinc.com