Spiritleaf cannabis retail chain acquired by Sundial Growers
Published on May 5, 2021 by oz. staff
Canada’s largest cannabis retailer is changing hands.
Sundial Growers is purchasing Inner Spirit Holdings, the company behind the popular cannabis retail brand, Spiritleaf.
Sundial will acquire all of the issued and outstanding common shares at a cost of about $131 million.
The deal has been unanimously approved by the boards of both Sundial and Inner Spirit.
It’s expected to close early in the third quarter of 2021.
“Sundial becomes a stronger and more diverse cannabis company by acquiring Inner Spirit and the Spiritleaf retail store network,” says Zach George, CEO of Sundial.
“Inner Spirit has successfully created a franchise-based retail network that has grown from coast to coast and offers a differentiated and premium in-store experience to consumers. Our shared Albertan roots and commitment to data-driven consumer insights make for an ideal partnership. Sundial’s capital base will enable us to support continued expansion and deepen the capabilities of the Spiritleaf retail brand.”
There are 86 Spiritleaf retail stores operating in BC, Alberta, Saskatchewan, Ontario, and Newfoundland and Labrador. It’s a mix of franchise stores and corporate ones.
Four franchise stores are located in the Okanagan.
Spiritleaf is projected to exceed the 100-store milestone this summer.
Founder and CEO of Inner Spirit Darren Bondar says Sundial is perfect to support the future development of the Spiritleaf retail cannabis brand.
“The Sundial team has shown a strong commitment to our management team, franchise partners and employees as well as our growth ambitions. The combination will enable us to further expand our position as the country’s leading retail cannabis brand for customers and communities and will open up new market opportunities to us. We’re also very pleased Inner Spirit shareholders will be able to participate in our future success through an ongoing equity ownership.”