HITIF - Public Cannabis Retailers Poised to Open Stores in Manitoba
Three publicly traded marijuana companies have been selected to open stores in Manitoba, with an additional public firm selected as a backup for a retail location.
Last Thursday (May 16), the Manitoba Growth, Enterprise and Trade government agency confirmed the winners of a draw to determine which retail firms can open shops throughout the province.
Westleaf (TSXV:WL,OTCQB:WSLFF) was awarded an option in Altona; Canna Cabana, a subsidiary of High Tide (CSE:HITI,OTCQB:HITIF), in Niverville; and Fire & Flower Holdings (TSXV:FAF) in Swan River.
According to the rules of the province’s draw, which took place on May 15, the selected retailers have 10 days to confirm an interest in opening a store.
In addition to the confirmed draw winners, the province elected standby retailers to act in the event that a selected retailer backs out of its option.
Stores and their licenses will be regulated by the Liquor, Gaming and Cannabis Authority of Manitoba.
All three firms confirmed the selection from Manitoba in separate press releases. The three also announced an option for private ecommerce.
“In addition to building a cannabis retail store, we also have an opportunity to launch our ecommerce platform across the entire province to introduce our brand to a new and large customer base,” Scott Hurd, president and CEO of Westleaf, said in a press release.
Raj Grover, president and CEO of High Tide, said Manitoba is the fifth province for the retailer and accessory company to see its shops. High Tide confirmed its interest to set up the Niverville shop.
The remaining publicly traded cannabis firm to be picked by Manitoba is Auxly Cannabis Group (TSXV:XLY), which did not win a selected retailer option but is a standby retailer for a store in Flin Flon.
The selected retailer for Flin Flon is Garden Variety, a private cannabis retailer with two shops in Winnipeg.
Investor takeaway
Cannabis retail plays continue to expand in the Canadian market as provinces adopt more stores.
Ontario fully opened its retail market in April, bringing the opening of a variety of stores with branding from firms owned or with investments from licensed producers, despite intentions from the province to prevent the entry of these parties.
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Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: High Tide is a client of the Investing News Network. This article is not paid-for content.