Progress Towards Building A Strong Canadian
Brand
TORONTO, Oct. 27,
2023 /CNW/ - Shiny Health & Wellness Corp.
(the "Company" "SNYB") (TSXV: SNYB) signs a letter of
intent ("LOI") with Stash & Co. ("SC") to acquire all of Stash
& Co.'s adult use cannabis retail stores.
The Company announces an LOI to acquire 10 SC adult use cannabis
retail stores with forecasted 2023 revenues of approximately
CAD$10,000,000. As part of this
transaction SNYB will be the sole owner of the Stash & Co.
brand and trademark and the dispensaries will not be rebranded and
remain Stash and Co. SC is an award-winning brand with stores
across Ontario, including
Toronto, Ottawa, London, Kitchener, Oshawa and Collingwood, as well as being one of the
original cannabis stores in Canada
with one of the most experienced staff in the cannabis industry.
The Company intends to welcome all current SC customer-facing
retail employees to continue providing a differentiated brand and
customer experience.
Based upon the Company's review of the diligence materials to
date, management meetings, and assuming satisfactory results of
confirmatory due diligence, the Company would complete the
transaction based on an aggregate purchase price equal to
$1,000,000; CAD$800,000 in cash and CAD$200,000 in common shares in the capital of
SNYB. The value of inventory remaining in the SC stores, as of the
closing date, shall be an aggregate amount equal to $300,000, based on wholesale prices paid by the
vendor to the Ontario Cannabis Store. SC will have the option,
exercisable within 90 days after the closing date, for Karan Someshwar Holla to have a directorship on
the board of directors of SNYB., subject to approval by the TSXV.
The purchase transaction is subject to customary AGCO approvals.
The Company and SC have agreed to a 30-day due diligence period to
review pertinent information to consummate the purchase, plus a
90-day exclusivity period until such time that they sign a
definitive transaction agreement for the acquisition.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
About Shiny Health &
Wellness:
Shiny Health & Wellness Corp. is on a mission to help people
never settle, live fully by being a trusted source for health and
wellness solutions and services. The Company recently broadened its
retail growth strategy beyond adult-use cannabis by
establishing mīhī Health & Wellness, a new line of
business focused on building a network of community pharmacies,
with its first pharmacy in Cornwall,
Ontario. Striving to provide a more diverse and accessible
cannabis experience for adult consumers, the Company also operates
ShinyBud Cannabis Co., a well-established brand in Ontario strategically located in markets less
saturated with cannabis retailers. The Company's board of directors
and management team hold extensive retail operating experience, a
key competitive differentiator in leading its growth strategy.
Shiny Health trades on the TSX Venture Exchange (TSXV) under the
ticker symbol SNYB. For more information, please visit
www.shinyhealthandwellness.com.
SOURCE Shiny Health & Wellness Corp.
