/NOT FOR DISSEMINATION IN THE UNITED
STATES OR FOR DISTRIBUTION TO UNITED
STATES WIRE SERVICES/
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." said 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.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING
INFORMATION
This news release contains certain
forward-looking information within the meaning of applicable
Canadian securities laws ("forward-looking statements"). All
statements other than statements of present or historical fact are
forward-looking statements. Forward-looking statements are often,
but not always, identified by the use of words such as
"anticipate", "achieve", "could", "believe", "plan", "intend",
"objective", "continuous", "ongoing", "estimate", "outlook",
"expect", "project" and similar words, including negatives thereof,
suggesting future outcomes or that certain events or conditions
"may" or "will" occur. These statements are only
predictions.
Forward-looking statements are based on the opinions and
estimates of management of Fire & Flower at the
date the statements are made based on information then available to
the Fire & Flower. Various factors and
assumptions are applied in drawing conclusions or making the
forecasts or projections set out in forward-looking statements,
including with respect to the closing of the Acquisition.
Forward-looking statements are subject to and involve a number of
known and unknown, variables, risks and uncertainties, many of
which are beyond the control of Fire & Flower,
which may cause Fire & Flower's actual
performance and results to differ materially from any projections
of future performance or results expressed or implied by such
forward-looking statements. Such factors, among other things,
include final regulatory and other approvals or consents;
fluctuations in general macroeconomic conditions; fluctuations in
securities markets; the impact of the COVID-19 pandemic; the
ability of the Company to successfully achieve its business
objectives and political and social uncertainties.
No assurance can be given that the expectations reflected in
forward-looking statements will prove to be correct. Although
the forward-looking statements contained in this news release are
based upon what management of the Company believes, or believed at
the time, to be reasonable assumptions, the Company cannot assure
shareholders that actual results will be consistent with such
forward-looking statements, as there may be other factors that
cause results not to be as anticipated, estimated or intended.
Readers should not place undue reliance on the forward-looking
statements and information contained in this news release.
Additional information regarding risks and uncertainties relating
to the Company's business are contained under the heading "Risk
Factors" in the Company's short form base prospectus dated
November 28, 2020 and annual
information form dated April 29, 2020
and the heading "Risks and Uncertainties" in the management
discussion and analysis for the thirteen and twenty-six weeks ended
August 1, 2020 filed on its issuer
profile on SEDAR at www.sedar.com.
No stock exchange, securities commission or other regulatory
authority has approved or disapproved the information contained
herein.
SOURCE Fire & Flower Holdings Corp.