#Daily high club discount full#

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. The Company is the largest Canadian retailer of recreational cannabis as measured by revenue, with 131 current locations spanning Ontario, Alberta, British Columbia, Manitoba, and Saskatchewan. High Tide is a leading retail-focused cannabis company with bricks-and-mortar as well as global e-commerce assets. Each Option is exercisable to purchase one Common Share. Each Option is exercisable at the TSX Venture Exchange close price the day before this press release, expires three years from the date of grant and vests over a two-year period. In addition, High Tide has granted 21,000 stock options (the 'Options') to certain employees, pursuant to the terms of the Company's fixed 20% equity incentive omnibus plan.

Such a claim arose and High Tide was indemnified for $58,250 which resulted in High Tide canceling 28,553 shares that were previously held in escrow. CANCELLATION OF ESCROWED SHARESĪs previously disclosed on July 6, 2021, 25% of the High Tide shares issued as consideration for the acquisition of DHC Supply LLC operating as Daily High Club ('Daily High Club') were held in escrow to insure certain indemnification obligations if claims arise. The Bonus Shares will be subject to the applicable hold periods under Canadian and United State securities laws. The Company intends on satisfying the Earn-Out obligation through the issuance of an aggregate of 500,000 Common Shares at a deemed price of US$4.00 per Common Share, subject to TSX Venture Exchange ('TSXV') approval (the 'Bonus Shares').

Pursuant to the terms of the Agreements, as Smoke Cartel reached certain milestones, including Smoke Cartel achieving gross revenues of at least US$12,000,000, the employees and consultants were entitled to an earn-out in the aggregate sum of US$2,000,000 (the 'Earn-Out'). BONUS SHARE ISSUANCEįurther to the Company's press release dated June 2, 2022, at the Company's annual general and special meeting of shareholders held on June 2, 2022, the shareholders approved an issuance of common shares in the capital of the Company ('Common Shares') to certain employees and consultants of Smoke Cartel USA, Inc., a wholly owned subsidiary of the Company ('Smoke Cartel'), pursuant to the terms of their employment and consulting agreements, as amended (collectively, the 'Agreements'). As an update, I'm proud to report that our Cabana Club loyalty program has now exceeded 670,000 members,' added Mr. 'As we transition these stores into Canna Cabana, introducing our innovative discount club model in these communities, we expect to be able to further improve the operations of these stores. This represented a 10% increase versus the three months ended March 2022,' said Raj Grover, President and Chief Executive Officer of High Tide. The Kushbar Stores are on an annual revenue run rate of $3.25 million for the three months ended June 2022. Two of the three Alberta locations are in markets where we don't currently have a presence. I am pleased to welcome these three established stores back into the High Tide family. 'Halo's default on the Note has given us the opportunity to capitalize on the goodwill and popularity of the Kushbar Stores, which are situated in great locations.

#Daily high club discount full#

High Tide anticipates obtaining full ownership of Kushbar in early August 2022. Therefore, High Tide, who previously received $3.9 million as payment for the sale of the Kushbar Stores, now has reacquired control of the Kushbar Stores. Due to ongoing breaches of the amended and restated asset purchase agreement between Halo and High Tide, High Tide accelerated the maturity of the Note and has seized the shares of Kushbar pursuant to a share pledge agreement between the parties. Part of the consideration High Tide received from Halo was a convertible promissory note in the principal amount of $1.8 million (the 'Note'). (formerly Halo Labs Inc.) ('Halo'), for $5.7 million, of which $3.9 million was already satisfied. J(CNW Group/High Tide Inc.)Īs previously disclosed on July 15, 2021, High Tide sold the Kushbar Stores to Halo Collective Inc. ('Kushbar'), which owns three operating cannabis retail stores in Alberta (the 'Kushbar Stores'). ('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 announce that it has seized the shares of Halo Kushbar Retail Inc. High Tide Takes Control of Three Kushbar Locations in AlbertaĬALGARY, AB, J/CNW/ - High Tide Inc.