Ontario expansion strategy begins with entry into the largest urban market in Canada with the 378 Yonge Street location
TORONTO, Aug. 27, 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”) today announced that it has entered into a definitive agreement to acquire all of the issued and outstanding shares of 11522302 Canada Inc. (the “Vendor”), which owns and operates a licensed cannabis retail store at 378 Yonge Street, Toronto, Ontario (the “Acquisition”).
The first Fire & Flower store in downtown Toronto is located at the high-traffic intersection of Yonge Street. and Gerrard Street, with close proximity to Yonge-Dundas square. This location will establish the Fire & Flower brand in the largest urban market in Canada.
As we begin to execute on our Ontario expansion strategy, Fire & Flower is thrilled to be acquiring this flagship location on Toronto’s high traffic Yonge Street.
Trevor Fencott, Chief Executive Officer of Fire & Flower
This location demonstrates our strategy of focusing on retail locations in the province of Ontario that will maximize revenue and margin opportunities for our business.
The Vendor is a wholly-owned subsidiary of Meta Growth Corp. and the Acquisition includes a current Retail Operator License and Retail Store Authorization from the Alcohol and Gaming Commission of Ontario (the “AGCO”).
The total purchase price in connection with the Acquisition is $750,000, plus the net working capital of the business (including inventory) at the date of closing. The Acquisition is subject to customary closing conditions, including the receipt of a no-objection letter from the AGCO which has already been received. It is anticipated the transaction will close on or about August 31, 2020, subject to all parties satisfying the remaining conditions.
The location will continue to remain open until such time as the store has fully transitioned to the Fire & Flower brand. The date and time of grand re-opening of the 378 Yonge Street store under 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.
Original press release