Fire & Flower Enters into Agreement to Acquire College Street Cannabis Store
TORONTO, Nov. 30, 2020 /CNW/ – Fire & Flower Holdings Corp. (TSX: FAF) (OTCQX: FFLWF) and its wholly-owned subsidiary Fire & Flower Inc. (collectively, “FFHC”, “Fire & Flower” or the “Company”), a leading Canadian recreational cannabis retailer, is pleased to announce that it has entered into a definitive agreement to acquire all of the issued and outstanding shares of Quad Nine Investments Inc., which owns and operates a licensed cannabis retail store at 717 College Street, Toronto, Ontario currently operating as “Blaze Cannabis”, the (“Acquisition”).
Completion of the acquisition will add Fire & Flower’s eighth fully owned, open and operating location in the province of Ontario. The Company continues to focus on the opening of additional cannabis retail stores in the province that have already completed construction.
This proposed acquisition will represent Fire & Flower’s continued strategy to further grow our omni-channel, technology-enabled retail network in the province of Ontario and across the country, both through acquisition plus organic growth.
Trevor Fencott, Chief Executive Officer of Fire & Flower
This additional store expands our operating base and brings us closer to our goal of positive operating EBITDA.
The acquisition includes a current Retail Operator License and Retail Store Authorization from the Alcohol and Gaming Commission of Ontario (the “AGCO”), which has issued a no-objection letter in respect of the Acquisition.
The total purchase price in connection with the Acquisition is $900,000 plus the net working capital of the business (including inventory) at the date of closing in cash plus 124,069 common shares of FFHC.
The Acquisition is subject to customary closing conditions, including the receipt of a no-objection letter from the AGCO and approval from the Toronto Stock Exchange, each of which has already been received.
More information on the grand opening dates and times of the store, once transitioned to the Fire & Flower brand, will be announced on the Company’s website at http://fireandflower.com/.
About Fire & Flower
Fire & Flower is a leading purpose-built, independent adult-use cannabis retailer poised to capture significant Canadian market share. The Company guides consumers through the complex world of cannabis through education-focused, best-in-class retailing while the HifyreTM digital platform and SparkTM program connect cannabis consumers with the latest cannabis products and deliver cutting edge insights into evolving consumer behaviours. The Company’s leadership team combines extensive experience in the cannabis industry with strong capabilities in retail operations.
Fire & Flower Holdings Corp. owns all issued and outstanding shares in Fire & Flower Inc., a licensed cannabis retailer that owns cannabis retail store licences in the provinces of Alberta, Saskatchewan, Manitoba and Ontario and the Yukon territory.
Through its strategic investment with Alimentation Couche-Tard Inc., the Company has set its sights on the global expansion as new cannabis markets emerge.
More information on Fire & Flower can be found at www.fireandflower.com.