High Tide buys Bud Room for $ 2.8 million
High tide inc. (TSXV: HITI) (Nasdaq: HITI) is buy Bud Room Inc. in a transaction valued at C $ 3.6 million or $ 2.8 million based on today’s exchange rate. The acquisition will also include all rights to the Fastendr custom retail kiosk and smart locker technology and Bud Room Cannabis retail store located at 1910 St. Laurent Boulevard in Ottawa, Ontario. The transaction will consist of C $ 3.24 million paid in common shares of High Tide and C $ 360,000 in cash for the disposal of C $ 360,000 of shareholder loans from the sellers. The acquisition follows last month’s announcement by High Tide to offer 40 million Canadian dollars ordinary shares intended to finance two specific strategic initiatives that it was developing, including acquisitions.
Fastendr is a unique, fully automated technology that integrates retail kiosks and smart lockers to facilitate a better shopping experience through navigation, ordering and pickup. The technology is designed to accelerate transaction times, increase average cart size, reduce overhead and labor costs, and deliver a seamless end-to-end customer experience.
âThis transaction is one of the most exciting acquisitions for High Tide to date as it significantly improves the customer experience in our stores while significantly reducing overhead and labor costs across our portfolio of. ever expanding retail. This technology will also allow us to generate third party revenue, provide data collection and monetization opportunities, while providing an unparalleled retail shopping experience for our customers, said Raj Grover, President and CEO. by High Tide. âFastendr is a perfect solution for smaller footprint stores as well as busier retail locations because it enables more transactions in less time and with less square footage. All Canna Cabana locations will be equipped with this technology, with the first installations slated for later this month in the province of Ontario. Fastendr custom technology is a game-changer for our brick and mortar retail business and has enormous potential to be deployed in our ancillary business divisions as well. This acquisition follows several breakthrough innovations in High Tide’s retail business, such as our âone-stop-shopâ and âdiscount clubâ concepts, âadded Mr. Grover.
High Tide noted in a statement that as the Canadian cannabis industry continues to become more competitive, it is essential for successful businesses to innovate, using technology to differentiate themselves and improve the efficiency of their operations, in order to prosper. The company said it believes Fastendr technology will dramatically improve its operational efficiency while reducing operating expenses at its cannabis retail stores. High Tide also said it plans to grow and diversify its revenue by licensing self-service ordering kiosk and smart locker technology for use by third-party cannabis retailers in North America.
âWhen High Tide initially approached us, we already had several interested parties at the table. However, it became clear that choosing a partnership with Raj and his team was a no-brainer for us as we felt our innovation deserved to be in the hands of the best cannabis company in Canada, âsaid Michael Di. Duca, CEO of Bud. Room. âThis customer-centric technology was designed with the user experience in mind and I firmly believe that with High Tide’s experience, operational execution history and financial resources, this technology can be effectively implemented. operates across all sectors of retail at a world class level. Added Mr. Di Duca.
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