This news release constitutes a "designated
news release" for the purposes of the Company's prospectus
supplement dated August 31, 2023, to
its short form base shelf prospectus dated August 3, 2023.
CALGARY,
AB, Nov. 13, 2024 /PRNewswire/ - High Tide
Inc. ("High Tide" or the "Company") (Nasdaq: HITI)
(TSXV: HITI) (FSE: 2LYA), the high-impact, retail-forward
enterprise built to deliver real-world value across every component
of cannabis, announced today that it has closed the Final Tranche
(as defined herein) of its previously disclosed subordinated debt
facility of $1,000 principal
subordinate secured debentures of the Company (each, a
"Debenture") for aggregate gross proceeds of $15 million (the "Facility") at a price of
$900 per Debenture, pursuant to
subscription agreements with arm's length institutional credit
providers (collectively, the "Lenders"). Pursuant to the
Final Tranche, the Company issued 5,000 Debentures.
The Debentures will mature on July 31,
2029, and bear interest at a fixed rate of 12% per annum on
drawn amounts, payable quarterly. The Debentures are governed by
the terms and conditions of a debenture trust indenture between the
Company and Olympia Trust Company in its capacity as trustee and
collateral agent. The Company may redeem the Debentures at any time
prior to maturity, in whole or in part, upon sixty days' notice and
payment of certain penalties as applicable. The Company's
obligations under the Debentures are collaterally secured by
general security and guarantee agreements from the Company and
certain subsidiaries of the Company and rank in second position to
the Company's existing senior lender.
Pursuant to the terms of the subscription agreements, the
Debentures were to be drawn in two tranches: (i) $10,000,000 principal amount which was previously
drawn on July 31, 2024, and (ii)
$5,000,000 principal amount which has
now been drawn (the "Final Tranche").
Ventum Capital Markets is acting as financial advisor to the
Corporation in connection with arranging the Facility.
The net proceeds of the Facility will be used for debt repayment
maturing on December 31, 2024 ongoing
development of the Company's business model and general working
capital purposes.
All figures are expressed in Canadian dollars unless
otherwise noted.
ABOUT HIGH TIDE
High Tide, Inc. is the leading community-grown, retail-forward
cannabis enterprise engineered to unleash the full value of the
world's most powerful plant and is the second-largest cannabis
retailer globally by store count1. High Tide
(HITI) is uniquely-built around the cannabis consumer, with
wholly-diversified and fully-integrated operations across all
components of cannabis, including:
Bricks & Mortar Retail: Canna Cabana™ is the largest
cannabis retail chain in Canada,
with 186 current locations spanning British Columbia, Alberta, Saskatchewan, Manitoba, Ontario and growing. In 2021, Canna Cabana
became the first cannabis discount club retailer in the world.
Retail Innovation: Fastendr™ is a unique and fully
automated technology that employs retail kiosks to facilitate a
better buying experience through browsing, ordering and pickup.
Consumption Accessories: High Tide operates a suite of
leading accessory e-commerce platforms across the world, including
Grasscity.com, Smokecartel.com, Dailyhighclub.com, and
Dankstop.com.
Brands: High Tide's industry-leading and consumer-facing
brand roster includes Queen of Bud™, Cabana Cannabis Co™, Daily
High Club™, Vodka Glass™, Puff Puff Pass™, Dopezilla™, Atomik™,
Hue™, Evolution™ and more.
CBD: High Tide continues to cultivate the possibilities
of consumer CBD through Nuleafnaturals.com, FABCBD.com,
blessedcbd.de and blessedcbd.co.uk.
Wholesale Distribution: High Tide keeps that cannabis
category stocked with wholesale solutions via Valiant™.
Licensing: High Tide continues to push cannabis culture
forward through fresh partnerships and license agreements under the
Famous Brandz™ name.
High Tide consistently moves ahead of the currents, having been
named one of Canada's Top Growing
Companies by the Globe and Mail's Report on Business in 2024 for
the fourth consecutive year and was named as one of the top 10
performing diversified industries stocks in both 2022 and 2024 TSX
Venture 50. High Tide was also ranked number one in the retail
category on the Financial Times list of Americas' Fastest Growing
Companies for 2023. To discover the full impact of High Tide, visit
www.hightideinc.com. For investment performance, don't miss the
High Tide profile pages on SEDAR+ and EDGAR.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSXV)
accepts responsibility for the adequacy or accuracy of this
release.
|
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|
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1 As reported by ATB Capital
Markets based on store counts as of February 8, 2024
|
CONTACT INFORMATION
Media Inquiries
Omar
Khan
Chief Communications and Public Affairs
Officer
High Tide
Inc.
omar@hightideinc.com
403-770-3080
Investor Inquiries
Vahan
Ajamian
Capital Markets Advisor
High
Tide Inc.
vahan@hightideinc.com
CAUTIONARY NOTE REGARDING FORWARD-LOOKING
STATEMENTS
This press release may contain "forward-looking information"
and "forward-looking statements within the meaning of applicable
securities legislation. The use of any of the words "could",
"intend", "expect", "believe", "will", "projected", "estimated" and
similar expressions and statements relating to matters that are not
historical facts are intended to identify forward-looking
information and are based on the Company's current belief or
assumptions as to the outcome and timing of such future events. The
forward-looking statements herein include, but are not limited to,
statements regarding: whether the Company will redeem the
debentures prior to maturity, and the anticipated use of proceeds.
Readers are cautioned to not place undue reliance on
forward-looking information. Actual results and developments may
differ materially from those contemplated by these statements.
Although the Company believes that the expectations reflected in
these statements are reasonable, such statements are based on
expectations, factors, and assumptions concerning future events
which may prove to be inaccurate and are subject to numerous risks
and uncertainties, certain of which are beyond the Company's
control, including but not limited to the risk factors discussed
under the heading "Non-Exhaustive List of Risk Factors" in Schedule
A to our current annual information form, and elsewhere in this
press release, as such factors may be further updated from time to
time in our periodic filings, available at www.sedarplus.ca and
www.sec.gov, which factors are incorporated herein by reference.
Forward-looking statements contained in this press release are
expressly qualified by this cautionary statement and reflect the
Company's expectations as of the date hereof and are subject to
change thereafter. The Company undertakes no obligation to update
or revise any forward-looking statements, whether as a result of
new information, estimates or opinions, future events or results,
or otherwise, or to explain any material difference between
subsequent actual events and such forward-looking information,
except as required by applicable law.
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SOURCE High Tide Inc.