TORONTO, Sept. 1, 2020
/CNW/ - Meta Growth Corp. (TSXV: META) ("Meta
Growth", "META" or the "Company"), a leading Canadian recreational
cannabis retailer, today announced the closure of the previously
announced sale of its 378 Yonge Street, Toronto cannabis
retail store.
As previously announced on August 27,
2020, Meta Growth made the decision to divest the 378 Yonge
Street store on the back of the Company's announcement on
August 21, 2020, whereby META entered
into a definitive arrangement agreement pursuant to which High Tide
Inc. ("High Tide") will acquire all of the issued and outstanding
shares of META (the "Plan of Arrangement"), resulting in the
creation of Canada's largest
cannabis retailer (the "Combined Entity"). High Tide currently has
7 branded retail cannabis locations in Ontario, with a Canna Cabana location 300
meters from the 378 Yonge Street store. In evaluating the
consolidated retail store portfolio post-close between META and
High Tide, it was determined that divesting the 378 Yonge Street
store would optimize the Combined Entity's retail footprint in
Ontario.
The divestiture was structured as a share
transaction, whereby all the issued and outstanding
shares of 11522302 Canada Inc., the company that owns the 378
Yonge Street store, were sold for a total cash purchase
price of $750,000, plus net
working capital of the business at the date of close.
About Meta Growth
Meta Growth is a leader in secure,
safe and responsible access to legal recreational cannabis in
Canada. Through its Canada-wide network of Meta Cannabis Co.™,
Meta Cannabis Supply Co.™ and NewLeaf Cannabis™ recreational
cannabis retail stores, Meta Growth enables the public to gain
knowledgeable access to Canada's
network of authorized Licensed Producers of cannabis. On
August 21, 2020, Meta Growth
announced that it entered into a definitive arrangement agreement
with High Tide in connection with the Plan of Arrangement, whereby
High Tide will acquire all of the issued and outstanding shares of
Meta Growth. The Combined Entity will create Canada's largest cannabis retail network with
63 stores across Canada. It is
expected that, subject to receipt of all regulatory, court,
shareholder and other approvals, the Plan of Arrangement will be
completed in the fourth quarter of 2020. Meta Growth is listed on
the TSX Venture Exchange under the symbol (TSXV: META).
For more information on Meta Growth, visit:
metagrowth.com
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Cautionary Statements
This news release contains
forward-looking statements and forward-looking information within
the meaning of applicable securities laws. The use of any of the
words "expect", "anticipate", "continue", "estimate", "objective",
"ongoing", "may", "will", "project", "should", "believe", "plans",
"intends" and similar expressions are intended to identify forward
looking statements or information. Forward-looking statements and
information in this news release includes, but is not limited to,
statements regarding the closing of the Plan of Arrangement,
including the timing thereof and the satisfaction of applicable
closing conditions, including receipt of all regulatory, court,
shareholder and other approvals in connection with the Plan of
Arrangement, and statements with respect to the overall retail
footprint of the Combined Entity (including number of stores) and
the optimization of the Combined Entity's retail footprint.
Although the Company believes that the expectations and assumptions
on which the forward-looking statements and information are based
are reasonable, undue reliance should not be placed on the
forward-looking statements and information because the Company
cannot give any assurance that they will prove to be correct. Since
forward-looking statements and information address future events
and conditions, by their very nature they involve inherent risks
and uncertainties. Actual results and developments may differ
materially from those that are currently contemplated by these
statements depending on, among other things, risks relating to: the
effects of the COVID-19 pandemic on the economy, the public markets
and the Company's business; the delay or failure to receive
regulatory approvals, including with respect to the Plan of
Arrangement; future legislative and regulatory developments
involving the retail cannabis markets; inability to access
sufficient capital from internal and external sources, and/or
inability to access sufficient capital on favourable terms; the
retail cannabis industries generally, including changing industry
trends; income tax and regulatory matters; the ability of High Tide
and Meta Growth to implement their business strategies;
competition; crop failure/conditions; general business, economic,
competitive, political, regulatory and social uncertainties and
conditions; adverse industry events; marketing costs; loss of
markets; the COVID-19 pandemic nationally and globally, which could
have a material adverse impact on the Company's business,
operations and financial results, including disruptions in supply
chains, as well as a deterioration of general economic conditions
including national and/or global recessions and the response of
governments to the COVID-19 pandemic in respect of the operation of
retail stores; and currency and interest rate fluctuations and
other risks. The Company cautions that the foregoing list of
risks and uncertainties is not exhaustive. The forward-looking
statements and information contained in this news release are made
as of the date hereof and the Company undertakes no obligation to
update publicly or revise any forward-looking statement or
information, whether as a result of new information, future events
or otherwise, unless so required by applicable securities laws.
SOURCE Meta Growth Corp.