/NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO
Transformational acquisition will complete
The addition of Pineapple Express to the family of
Founded by seasoned delivery pioneer,
"The Acquisition of Pineapple Express will complete our proprietary technology stack and allow us to deliver a seamless customer experience from online customer acquisition and discovery at our top-of-funnel sites such as PotGuide.com and Wikileaf.com, through a personalized online or in-store shopping experience powered by Hifyre and our Spark Perks™ program and now culminating in best-in-class fulfillment service right to our customers' doors through Pineapple Express. To our knowledge, this complete cannabis consumer technology platform is the first of its kind in the legal cannabis industry and will power our asset-light retail strategy, not just in
Fencott continued, "Cannabis customers shopping in the illegal market are accustomed to purchasing products online which are delivered directly to their door, often in the same day. The Acquisition of Pineapple Express will provide a clear value proposition to cannabis customers who are shopping in the legal market and offer a better solution and experience for those still purchasing from the illegal market. With our cannabis consumer technology platform in place and our strategic partnership with Alimentation Couche-Tard theat includes existing in future licensed co-located stores, we are well positioned to successfully execute on our asset-light strategy in new markets we enter, further driving shareholder value."
"Pineapple Express is thrilled to be joining
A summary of the anticipated benefits of the Acquisition include:
Customer Acquisition Channels
Fire & Flower's newly acquired online cannabis platforms, PotGuide.com and Wikileaf.com, along with retail brands and partner branded online dispensaries, significantly expand the Company's e-commerce platform and collectively drive cannabis customers into its data-driven retail network, culminating in an expanded opportunity to collect cannabis consumer behaviors and deliver an enhanced retail experience.
Retail Fulfillment Network & Distribution Centres
- Cannabis products will be fulfilled through the Company's retail network of more than 100 stores that will serve as distribution nodes, effectively transforming them from traditional brick-and-mortar shops into last-mile fulfillment outposts in communities across
North America . The Company anticipates adding cannabis retail licenses to select, existing Pineapple Express distribution centres to fulfill delivery direct to consumers in major urban centres. In addition, licensed locations that are being built adjacent toCircle K stores will provide another layer to the Company's distributed fulfillment network, further supporting the Company's strategy to operate high-margin revenue channels on an asset-light basis.
Delivery & Logistics
- Pineapple Express will enable same-day delivery in key markets across
Canada , leveraging their existing fleet of vehicles, drivers and dispatch personnel. Pineapple Express is powered by proprietary technology, including the CannDeliv platform, which will be added to the Hifyre technology stack.
Total consideration for the acquisition of Pineapple Express is payable by the Company by way of assumption and repayment of approximately
The Acquisition will be completed by way of three-cornered amalgamation with a newly incorporated subsidiary of Hifyre. Completion of the Acquisition is subject to the satisfaction or waiver of customary closing conditions, including the approval of the TSX and approval by the shareholders of Pineapple Express at a shareholders' meeting to be convened in
To learn more about Pineapple Express, visit https://pineappleexpressdelivery.com/.
About
Through the strategic investment of Alimentation Couche-Tard Inc. (owner of
To learn more about
- Preliminary and unaudited financial results are subject to customary financial statement procedures by the Company and its auditors. Actual results could be affected by subsequent events or determinations. While the Company believes there is a reasonable basis for these preliminary financial results, the results involve known and unknown risks and uncertainties that may cause actual results to differ materially. These preliminary fiscal results represent forward-looking information. See "Cautionary Statement Regarding Forward-Looking Information" and "Financial Outlook".
FINANCIAL OUTLOOK
This news release contains a financial outlook within the meaning of applicable Canadian securities laws. The financial outlook has been prepared by management of Pineapple Express and the Company to provide an outlook for the Pineapple Express' revenue for the trailing 12 month period ended
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 in this press release include, but are not limited to, statements in respect of completion of the Acquisition and the potential benefits thereof to the Company and Pineapple Express' anticipated revenues.
Forward-looking statements are based on the opinions and estimates of management of
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 annual information form dated
No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
SOURCE
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