Aurora Cannabis (ACB) this morning provided an update on its strategic investment in High Tide, a cannabis accessories and lifestyle brand. Since Aurora completed its $10 million investment in the High Tide convertible debenture offering on December 13, 2018, High Tide has successfully achieved a number of its strategic growth initiatives.
Over the last two months, High Tide announced the following corporate of milestones:
- December 17, 2018 – High Tide listed its common shares on the Canadian Securities Exchange under the stock symbol “HITI”
- December 19, 2018 – High Tide completed the acquisition of Amsterdam-based Grasscity.com, an established global e-retailer of smoking accessories and cannabis lifestyle products
- January 7-24, 2019 – High Tide opened its fifth, sixth and seventh Canna Cabana retail stores in Alberta
- January 10, 2019 – High Tide launched a free recycling program at its Canna Cabana stores for all Health Canada-approved cannabis product packaging
- January 30, 2019 – High Tide entered into two letters of intent to acquire separate retail locations in Saskatchewan
- January 31, 2019 – High Tide listed its shares on the Frankfurt Stock Exchange under the stock symbol “2LY”; and
- February 4, 2019 – High Tide entered into a letter of intent with a winner of the Alcohol and Gaming Commission of Ontario’s Expression of Interest Lottery to assist with the establishment and operation of one of 25 retail cannabis stores in the province.
- February 12, 2019 – High Tide selected by a second winner of the Alcohol and Gaming Commission of Ontario’s Expression of Interest Lottery to assist with the establishment and operation of one of 25 retail cannabis stores in the province.
High Tide is rapidly expanding its retail segment with an additional 26 Canna Cabana stores under various stages of construction. Simultaneously, High Tide’s wholesale segment continues to grow with the overall cannabis industry through the addition of new customer accounts and cannabis accessory products to its large catalogue.
“High Tide continues to execute on its goals and is leading by example in the downstream segment of the cannabis industry,” said Terry Booth, Chief Executive Officer of Aurora. “The pace of achievements by High Tide in such a short period of time reinforces the value of our strategic investment. We’re pleased with the rigor Raj and his team have shown in strategically allocating our capital to fuel their growth initiatives and we look forward to what High Tide will achieve in this important segment of the Canadian consumer cannabis market.”
Overall, ACB stock has had four bullish analysts in its corner over the last three months, one analyst playing it safe on the sidelines, and one who sees a bearish scenario in play. (See ACB’s price targets and analyst ratings on TipRanks)