Market Newsdesk

• BMO joint winner of Environmental Finance’s 2021 Lead Manager of the Year, Social Bonds – Local Authority/Municipality category
• City of Toronto Social Bond is first-ever Social Bond from a Canadian Government issuer

TORONTO, March 31, 2021 /CNW/ – BMO Financial Group (TSX: BMO) (NYSE: BMO) was one of several organizations recognized today by Environmental Finance’s 2021 Bond Awards in the category of Lead Manager of the Year, Social Bonds – Local Authority/Municipality category. 

BMO was recognized for its work on the inaugural Social Bond issued under the new City of Toronto Social Debenture Framework in June 2020 — the first-ever Social Bond from a Canadian Government issuer. According to data from the International Capital Market Association (ICMA), the City of Toronto was only the third local government globally to issue a Social Bond in accordance with the ICMA Social Bond Principles. 

The City of Toronto Social Bond, issued under Toronto’s Social Debenture Framework, is part of a program to promote positive socioeconomic outcomes, from affordable housing and access to essential infrastructure and services, to socioeconomic advancement and empowerment.

“We’re pleased about the recognition the City of Toronto Social Bond has received from Environmental Finance,” said Jonathan Hackett, Head, BMO Sustainable Finance. “Government Social Bond issuances are an emerging and increasingly important area of sustainable financing and BMO is excited to be a leader in this growing space — one that so closely aligns with our Purpose to grow the good.”

“The pandemic has put pre-existing systemic socio-economic inequalities and poverty into the spotlight. We need to address these issues at the forefront of our thinking,” said Heather Taylor, Chief Financial Officer and Treasurer, City of Toronto. “The City of Toronto’s$100 million social bond proceeds have helped fund critical strategic initiatives that include shelters and affordable housing.” 

The $100 million bond issue, with a 10-year maturity, will mature on December 2, 2030.  Investors paid a price of $99.98 to yield 1.602 per cent, which is the lowest borrowing cost the City of Toronto has ever secured. The proceeds from this issuance will be used to help fund Shelter, Support and Housing Administration’s George Street Revitalization and 1,000 New Shelter Beds projects. More information about the City’s Social Debenture Program is available on the City’s website.

BMO continues to make significant progress on its Purpose to double the good for a sustainable future:

• In 2019, BMO unveiled its Purpose to Boldly Grow the Good in business and life, announcing commitments to double the good for a thriving economy, sustainable future, and inclusive society
• BMO has been carbon neutral across its operations since 2010 and in October 2020 BMO reached a key milestone in matching 100 per cent of electricity usage with renewable electricity
• In 2019, BMO issued a $500 million USD Sustainability Bond with use of proceeds tied to the UN Sustainable Development Goals
• In February 2021, BMO provided the first labelled Green Loan in Canadian history to Atlantic Packaging to finance a new 100% recycled containerboard facility, and worked with Atlantic to publish a Green Financing Framework
• In March 2021 the bank announced its climate ambition, including plans to build unique climate analytics capabilities to be its clients’ lead partner in the transition to a net zero world. As part of the announcement the bank introduced the BMO Climate Institute, a multi-disciplinary organization harnessing science, analytics powered by innovative technology and industry leading expertise. BMO will more than double its Sustainable Finance commitment to deploying $300 billion in sustainable lending and underwriting by 2025, and mobilizing $700 billion via Responsible advisory and investment management services by 2025      

BMO’s leadership on sustainability has been recognized on numerous rankings:

• Ranked 15^th on the Wall Street Journal’s 2020 list of the 100 Most Sustainably Managed Companies in the World, third overall on Social Capital, only bank in North America
• Top North American bank on Corporate Knights’ 2021 Global 100 Most Sustainable Corporations in the World for the second year in a row
• Ranked in the top 10 per cent of banks globally on the Dow Jones Sustainability Index, and the top North American bank (2020)
• Scored an A- on the 2020 CDP Climate Change disclosure
• Ethisphere® Institute’s 2020 list of the World’s Most Ethical Companies®
• Corporate Knights 2020 Best 50 Corporate Citizens in Canada

For more information on BMO’s commitment to a sustainable future, please visit the bank’s Sustainability Report. For BMO’s climate ambition, visit our Climate page.

About BMO Financial Group 
Serving customers for 200 years and counting, BMO is a highly diversified financial services provider – the 8th largest bank, by assets, in North America. With total assets of $973 billion as of January 31, 2021, and a team of diverse and highly engaged employees, BMO provides a broad range of personal and commercial banking, wealth management and investment banking products and services to more than 12 million customers and conducts business through three operating groups: Personal and Commercial Banking, BMO Wealth Management and BMO Capital Markets.

SOURCE BMO Financial Group

COLUMBUS, Ohio, March 31, 2021 /PRNewswire/ — Core Molding Technologies, Inc. (NYSE American: CMT) today announced that its board of directors voted to accelerate the expiration of the company’s stockholder rights plan to March 31, 2021 to further enhance the company’s corporate governance profile. The stockholder rights plan was originally scheduled to expire on April 20, 2021.  Stockholders do not have to take any action as a result of this accelerated termination.

The decision to accelerate the expiration of the stockholder rights plan was the result of careful analysis including input from corporate governance experts. The plan was adopted in April of 2020 to protect against any potential future use of coercive or abusive takeover techniques and to help ensure that the Company’s stockholders were not deprived of the opportunity to realize the full and fair value of their investment.  In adopting the plan, the Board had taken note of the unprecedented impact of the COVID-19 pandemic on the Company, including in the Company’s stock price, the substantial increase in trading volume and market volatility, and the significant impact the pandemic had across the manufacturing industry.  At the time of adoption of the plan the Company’s stock price was trading at approximately $2.90 per share. Shares currently trade at approximately $11.75 per share, an approximate 300% increase.  

“The acceleration of the expiration of the stockholder rights plan demonstrates the Board’s commitment to best corporate governance practices. Our decision incorporates valuable shareholder feedback, while ensuring that we have appropriate measures and policies in place to manage our business effectively,” said David L. Duvall, president and chief executive officer.

About Core Molding Technologies, Inc.

Core Molding Technologies is a manufacturer of sheet molding compound (“SMC”) and molder of thermoset and thermoplastic products. The Company operates in one operating segment as a molder of thermoplastic and thermoset (plastic) structural products. The Company’s operating segment consists of two component reporting units, Core Traditional and Horizon Plastics. The Company produces and sells molded products for varied markets, including medium and heavy-duty trucks, automobiles, marine, construction and other commercial markets. The Company offers customers a wide range of manufacturing processes to fit various program volume and investment requirements. These processes include compression molding of SMC, bulk molding compounds (“BMC”), resin transfer molding (“RTM”), liquid molding of dicyclopentadiene (“DCPD”), spray-up and hand-lay-up, direct long-fiber thermoplastics (“D-LFT”) and structural foam and structural web injection molding (“SIM”). Core Molding Technologies has its headquarters in Columbus, Ohio, and operates production facilities in Columbus, Ohio; Gaffney, South Carolina; Winona, Minnesota; Matamoros and Escobedo, Mexico; and Cobourg, Ontario, Canada. For further information, visit the company’s website at www.coremt.com.

Company Contact:

John Zimmer

Chief Financial Officer
614-870-5604
[email protected]

 

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SOURCE Core Molding Technologies, Inc.

VANCOUVER, BC, March 31, 2021 /PRNewswire/ – Aris Gold Corporation (Aris Gold or the Company) (TSX: ARIS) (OTCQX: ALLXF) announces fourth quarter (Q4) and full year 2020 financial results from its wholly owned Marmato mine in Colombia. The Company’s 2020 Management’s Discussion and Analysis (MD&A) and Financial Statements have been filed under the Company’s profile on SEDAR at www.sedar.com and are available on the Company’s website at www.arisgold.com.

2020 Achievements

Since the launch of the Company in February 2020, significant achievements and rapid progress has been made, including:

• Completed a Preliminary Feasibility Study (PFS) for the expansion of the Marmato mine, which focused on the development of the Marmato Deep Zone (MDZ) mineralization, construction of a new 4,000 tonne per day (tpd) plant, new dry stack tailings storage facilities and the use of efficient mechanized mining methods.
• Established a new Life of Mine plan for the Marmato mine based on a total Mineral Reserve¹ of 2.0 million contained ounces (oz) gold from exploration drilling results to mid-March 2020.
• Launched a 35,000-metre drill program at Marmato which commenced in May 2020, with the principal objective of converting Inferred Mineral Resources to Indicated Mineral Resources while also testing several newly discovered areas. Drilling results during 2020 included high-grade mineralization over broad widths demonstrating potential to extend the 13-year mine life outlined in the PFS. As of March 2021, this drill program was approximately 50% complete.
• Acquired the Juby Gold Project in July 2020, an advanced stage exploration project in northeastern Ontario, and completed an updated Mineral Resource Estimate (the Juby MRE). which is included in the Juby Technical Report (as defined below). The Juby MRE included Indicated Resources of 770,000 contained oz gold based on 21.3 million tonnes at an average grade of 1.13 g/t and Inferred Resources of 1,488,000 contained oz of gold based on 47.1 million tonnes at an average grade of 0.98 g/t.
• Completed three financings for gross proceeds of $186.5 million, which included:
• C$50.0 million ($37.4 million) bought deal financing
• $83.1 million senior secured Gold-Linked Notes (GLN) financing
• C$85.0 million ($66.0 million) private placement led by the current Board and management
• Arranged a $110.0 million precious metals streaming financing, the completion of which is subject to certain customary conditions.
• Achieved the revised 2020 gold production guidance at the Marmato Upper Zone mine despite challenges associated with COVID-19 (See Q4 and Full Year 2020 Financial and Operating Highlights).
• Negotiated a 30-year extension of the mining title at the Marmato mine to October 2051, which included an agreement with the Agencia Nacional de Mineria (ANM) for the creation of a social investment fund with a defined contribution formula based on gold production rates.

 Q4 and Full Year 2020 Financial and Operating Highlights

Outlook

The key achievement of 2020 was the creation of Aris Gold as an independent public company with a strong financial platform to fund growth. During 2021, the focus shifts to improving the operating performance of the Marmato Upper Zone mine and to start realizing the potential of the Marmato Deep Zone by starting the development of a new MDZ underground mine and constructing a new processing facility in Q4.

Marmato – Upper Zone Operations

During 2021, Aris Gold expects steady improvements of Marmato’s current operations through implementation of comprehensive workforce training and redirecting site-level operations management while concurrently improving health, safety, and environmental performance.

During the ongoing modernization and expansion phase of the Marmato mine, the Company anticipates elevated AISC per oz due to increased investments in sustaining capital. During 2020, sustaining capital expenditures totalled $6.4 million or $268 per oz sold, and included $4.0 million or $168 per oz sold related to mine infrastructure improvements and equipment. The Marmato mine has been in operation since 1991 and investments are planned to refurbish Upper Zone operations in advance of the large-scale MDZ expansion project expected to start in Q4 2021.

Marmato – Developing the MDZ

During 2021, Aris Gold’s primary focus is the scheduled start of the Marmato Deep Zone project in Q4. The Marmato project team is implementing a comprehensive development plan that includes completing optimization studies, completing the 35,000-metre drill program and subsequently updating the mineral resource and reserve estimates, engaging an EPCM contractor, completing FEL3 design, amending the environmental management plan and continuing to advance health, safety, and community support programs.

Corporate Growth Strategy

On February 4, 2021, the Company changed its name to Aris Gold Corporation in association with the appointment of the current Board and management team and the expansion of the corporate growth strategy with the vision of building Aris Gold into their next globally relevant gold producer.

Aris Gold is pursuing a growth strategy of acquiring operating gold mines and projects nearing construction with the goal of creating value through adding scale and diversification. Aris Gold has a solid foundation and experienced team to implement its growth plans.

Technical Information

The scientific disclosure and technical information included in this Press Release is based upon information included in the technical reports listed below that were prepared in compliance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (NI 43-101).

1. Marmato Technical Report entitled “Revised NI 43-101 Technical Report Pre-Feasibility Study Marmato Project Colombia” dated September 18, 2020 with an effective date of March 17, 2020. The Marmato Technical Report was prepared by Ben Parsons, MSc, MAusIMM (CP), Eric J. Olin, MSc Metallurgy, MBA, SME-RM, MAusIMM, Fernando Rodrigues, BS Mining, MBA, MAusIMM, MMSAQP, Jeff Osborn, BEng Mining, MMSAQP, Joanna Poeck, BEng Mining, SME-RM, MMSAQP, Fredy Henriquez, MS Eng, SME, ISRM, Breese Burnley, P.E., Cristian A Pereira Farias, SME-RM, David Hoekstra, BS, PE, NCEES, SME-RM, David Bird, PG, SME-RM, Mark Allan Willow, MSc, CEM, SME-RM, and Tommaso Roberto Raponi, P.Eng, each of whom is independent of the Company within the meaning of NI 43-101 and is a “Qualified Person” as such term is defined in NI 43-101.
2. Juby Technical Report entitled “Technical Report on the Updated Mineral Resource Estimate for the Juby Gold Project” dated October 5, 2020 with an effective date of July 14, 2020. The Juby Technical Report was prepared by Joe Campbell, B.Sc., P.Geo., Alan Section, M.Sc., P.Geo., Duncan Studd, M.Sc., P.Geo. and Allan Armitage, Ph.D., P.Geo., each of whom is independent of the Company within the meaning of NI 43-101 and is a “Qualified Person” as such term is defined in NI 43-101

About Aris Gold

Aris Gold is a Canadian mining company listed on the TSX under the symbol ARIS. The Company is led by an executive team with a demonstrated track record of creating value through building globally relevant gold mining companies. Aris Gold operates the Marmato mine in Colombia, where a modernization and expansion program is underway, and the Juby project, an advanced exploration stage gold project in the Abitibi greenstone belt of Ontario, Canada. Aris Gold plans to pursue acquisition and other growth opportunities to unlock value creation from scale and diversification.

Additional information on Aris Gold can be found at www.arisgold.com and www.sedar.com.

Forward-looking Information

This news release contains “forward-looking information” or forward-looking statements” within the meaning of Canadian securities legislation. All statements included herein, other than statements of historical fact, including without limitation statements relating to the possibility of converting inferred resources to indicated resources at the Marmato Mine, completion of the precious metals stream financing and statements made under the heading “Outlook” are forward-looking. Generally, the forward-looking information and forward looking statements can be identified by the use of forward looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, “will continue” or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Statements concerning mineral resource estimates may also be deemed to constitute forward looking information to the extent that they involve estimates of the mineralization that will be encountered. The material factors or assumptions used to develop forward looking information or statements are disclosed throughout this presentation.

Forward looking information and forward looking statements, while based on management’s best estimates and assumptions, are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Aris Gold to be materially different from those expressed or implied by such forward-looking information or forward looking statements, including but not limited to: the ability of the Aris Gold management team to successfully integrate with the current operations, risks related to international operations, risks related to general economic conditions, uncertainties relating to operations during the COVID-19 pandemic, actual results of current exploration activities, availability of quality assets that will add scale, diversification and complement Aris Gold’s growth trajectory; changes in project parameters as plans continue to be refined; fluctuations in prices of metals including gold; the ability to convert mineral resources to mineral reserves; fluctuations in foreign currency exchange rates, increases in market prices of mining consumables, risks associated with holding derivative instruments (such as credit risks, market liquidity risk and mark-to-market risk), possible variations in mineral reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; changes in national and local government legislation, taxation, controls, regulations, regulations and political or economic developments in Canada or Colombia, accidents and operations, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the mining industry; delays in obtaining governmental approvals including obtaining required environmental and other licenses, or in the completion of development or construction activities, changes in national and local government regulation of mining operations, tax rules and regulations, and political and economic developments in countries in which the Company operates, as well as those factors discussed in the section entitled “Risk Factors” in Aris Gold’s most recent AIF available on SEDAR at www.sedar.com.

Although Aris Gold has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information and forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information or statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information or statements. The Company has and continues to disclose in its Management’s Discussion and Analysis and other publicly filed documents, changes to material factors or assumptions underlying the forward-looking information and forward-looking statements and to the validity of the information, in the period the changes occur. The forward-looking statements and forward-looking information are made as of the date hereof and Aris Gold disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements or forward-looking information contained herein to reflect future results. Accordingly, readers should not place undue reliance on forward-looking statements and information.

This announcement does not constitute an offer of securities for sale in the United States, nor may any securities referred to herein be offered or sold in the United States absent registration or an exemption from registration as provided in the U.S. Securities Act of 1933 as amended (the “Securities Act”) and the rules and regulations thereunder. The securities referred to herein have not been registered pursuant to the Securities Act and there is no intention to register any of the securities in the United States or to conduct a public offering of securities in the United States.

 

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SOURCE Aris Gold Corporation

MORGAN CITY, La., March 31, 2021 /PRNewswire/ — Conrad Industries, Inc. (OTC Pink: CNRD) today announced its 2020 results and backlog.

The Company had net loss of $4.0 million and loss per diluted share of $0.80 for the twelve months ended December 31, 2020 compared to net income of $86,000 and earnings per diluted share of $0.02 for the twelve months ended December 31, 2019. The Company’s financial reports are available at www.otcmarkets.com.

Our backlog as of December 31, 2020 was $183.7 million, compared to $79.2 million at December 31, 2019, and $127.7 million at December 31, 2018.

Johnny Conrad, Chairman and CEO stated, “We entered 2020 with profitable third and fourth quarters in 2019, improved performance on contracts, better margins in new construction, a solid infrastructure and oil transportation market and high hopes for continued business strengthening in 2020. However, the COVID-19 outbreak had a substantial adverse impact on our business. During the second quarter and remainder of 2020, our critical focus shifted primarily to protecting the health and safety of our workforce, managing cash and reducing costs, completing and delivering jobs in process, and working with our customers and potential customers to add backlog.”

Mr. Conrad continued, “Our loss was primarily related to the decrease in production volume of our business due to the pandemic. During 2020 we received a loan under the Paycheck Protection Program, which assisted us in retaining more employees than we otherwise would have been able to retain, paying allowed expenses and strengthening our financial position, which enabled us to obtain additional backlog. We believe we are eligible, and have applied for, forgiveness of the entire balance of the loan; however, no assurances can be provided that all or part of the loan will be forgiven. We did not include the loan forgiveness as income during 2020. If all or part of the loan had been forgiven in 2020, our net income would have been increased by the amount forgiven. If forgiveness is confirmed in 2021, our net income in 2021 will be increased by the amount forgiven.”

Mr. Conrad concluded “We are optimistic about the long-term prospects of our business; we also take note of near-term risks.  While the vaccine rollout and improved COVID-19 treatments provide a basis for optimism as 2021 progresses, and we ended the year with our largest backlog in 4 years, some uncertainty remains. We believe 2021 will be another challenging year, due to the continuing impacts of the pandemic, current high steel prices and constrained availability, and a competitive shipyard environment.”

Conrad Industries, Inc., established in 1948 and headquartered in Morgan City, Louisiana, designs, builds and overhauls tugboats, ferries, liftboats, barges, offshore supply vessels and other steel and aluminum products for both the commercial and government markets. The company provides both repair and new construction services at its five shipyards located in southern Louisiana and Texas.

Cautionary statement:  This press release contains forward-looking statements, which are all statements other than those of historical facts, and reflect our expectations as of the date of this press release about future events.  Forward-looking statements are subject to risks and uncertainties, including risks and uncertainties related to the COVID-19 pandemic, current high steel prices and constrained availability, competition, our reliance on cyclical industries, ability to perform contracts at costs consistent with estimated costs utilized in bidding, and ability to replenish our backlog and compete in changing markets.  These and other risks are discussed in more detail in our Annual Report and subsequent reports available on www.otcmarkets.com.  Should one or more of these risks materialize, achievement of anticipated results may differ materially from those anticipated.  We do not intend to update these forward-looking statements, other than through our regular quarterly and annual reports.

For Information Contact:

Cecil A. Hernandez (985) 702-0195
[email protected]

 

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SOURCE Conrad Industries, Inc.

CALGARY, AB, March 31, 2021 /PRNewswire/ – High Tide Inc. (“High Tide” or the “Company“) (TSXV: HITI) (OTCQB: HITIF) (FRA: 2LY), a retail-focused cannabis corporation enhanced by the manufacturing and distribution of consumption accessories, filed its financial results for the first fiscal quarter of 2021 ending January 31, 2021, the highlights of which are included in this news release. The full set of Condensed Interim Consolidated Financial Statements and Management’s Discussion and Analysis can be viewed by visiting High Tide’s website at www.hightideinc.com, its profile page on SEDAR at www.sedar.com.

First Quarter 2021 – Financial Highlights:

• Revenue increased by 179% to $38.3 million in the first quarter of 2021 compared to $13.7 million in the same quarter last year. The first quarter of 2021 financial results incorporate the acquisition of META Growth Corp. on November 18, 2020.
• Gross profit increased by 208% to $14.8 million in the first quarter of 2021 compared to $4.8 million in the same quarter last year.
• Gross profit margin in the first quarter of 2021 was 39% compared to 35% in the same quarter last year.
• Adjusted EBITDA⁽¹⁾ for the first quarter of 2021 was $4.6 million compared to negative $0.8 million for same quarter last year.
• Geographically in the first quarter of 2021, $34.2 million of revenue was earned in Canada, $3.9 million in the United States and $0.2 million internationally.
• Segment-wise in the first quarter of 2021, $36.8 million of revenue was generated by Retail, $1.5 million by Wholesale, and an immaterial amount by Corporate.
• Cash on hand as at January 31, 2021 totaled $16.6 million compared to $7.5 million as at October 31, 2020. The Company’s cash balance has subsequently increased to approximately $33 million as of today.

“I am extremely proud of our team for delivering the highest quarterly profit in High Tide’s history.  Despite facing the same challenges that all retailers have confronted during this pandemic, we recently crossed the 80-store milestone across Canada. Between the commencement of our application to list on the Nasdaq and the subsequent filing of the 40-F form with the SEC, and securing the acquisition of Smoke Cartel, the first quarter of 2021 has seen our team deliver on significant milestones that will drive future growth,” said Raj Grover, President and Chief Executive Officer. “Over the past few months, we have worked diligently to integrate META Growth into the High Tide family and as a result have already achieved 71% of our targeted synergies. As market dynamics continue to evolve in Canada, we are taking aggressive steps to adjust our business model, where appropriate, while pursuing expansion opportunities in the United States and Europe that would have an immediate positive impact on EBITDA,” added Mr. Grover. 

Fiscal First Quarter 2021 – Operational Highlights:

• The Company completed the acquisition of META Growth Crop. and became the leading Canadian cannabis retailer by annualized revenue.
• The Company’s common shares moved up to the TSX Venture Exchange.
• The Company extended the maturity date on a $10.0 million credit facility with Windsor Capital to December 31, 2021 with a subsequent one-year extension to December 31, 2022 and a reduction of interest rate from 11.5% to 10.0%.
• The Company entered into a loan agreement for $6.75 million maturing on December 31, 2024 of an undrawn balance on a $20.0 million credit facility obtained through the acquisition of META Growth Corp. Additionally, the Company extended maturity of META’s existing debt to December 31, 2024 and a reduction of all-inclusive interest rate from 12.5% to 10.0%. As of the date of this press release, the $6.75 million facility remains undrawn.
• Approximately $7.4 million of debt converted into the Company’s common shares.
• The Company opened three cannabis retail locations under the Canna Cabana and META banners: one in Guelph, Ontario, one in Toronto, Ontario, and one in Calgary, Alberta.

Subsequent Events:

• The Company closed an oversubscribed bought deal equity financing for gross proceeds of $23 million.
• After the first quarter of 2021, approximately $23 million of debt converted into the Company’s common shares.
• The Company announced filing of Form 40-F with the U.S. Securities and Exchange Commission fulfilling a significant milestone for the NASDAQ listing.
• The Company completed the acquisition of Smoke Cartel, Inc. (OTCQB: SMKC) for US$8.0 million.
• Between February 1, 2021 and the date of this press release, the Company opened nine cannabis retail locations: seven in Alberta and two in Ontario.
• Through the COVID-19 pandemic, all retail branded locations have remained operational, despite the complex conditions facing the retail industry across Canada. The Company has been nimble and adapted to frequently changing regulations – often at a municipal level – including launching delivery services to continue serving customers.

Selected financial information for the first quarter ended January 31, 2021:

(Expressed in thousands of Canadian Dollars)

The following is a reconciliation of Adjusted EBITDA to Net Loss:

Outlook

With the transaction of META having closed, the Company has solidified its leadership position in Canada.  High Tide remains focused on the Ontario market.  While pandemic restrictions caused a delay in construction in much of the province, the Company is encouraged by the Alcohol and Gaming Commission of Ontario’s decision on February 16, 2021 to increase the pace of Retail Store Authorizations it issues from 20 to 30 a week.  The Company expects to reach 30 open stores in the province by September 30, 2021, the date on which the cap for any one retailer can own is set to increase from 30 to 75.

While competition is increasing in the Alberta cannabis market, the Company has still been able to find pockets of areas where it believes it can profitably open new stores.  With the slowdown in construction in Ontario, the Company has increased the pace of buildouts in Alberta and expects more locations to open in the province next month.

The Company has been actively following developments in the U.S. cannabis sector, and while it appears that further liberalisation regarding the federal regulatory and legislative environment is possible, our immediate strategy does not rely on regulatory change.  Despite this, we remain just one transaction away from entering the bricks and mortar retail market in the U.S. when federally permissible.  High Tide believes it is very well positioned to take advantage of the growing ancillary and hemp derived CBD markets and estimates its current revenue run rate in the U.S., pro forma for the Smoke Cartel acquisition, to be over $25 million today.  The Company is in discussions with various parties across the federally permissible ecosystem in the U.S. which could help further expand its operations – and believes that its current financial health and application to list its shares on the Nasdaq may help accelerate its growth.

About High Tide Inc.

High Tide is a retail-focused cannabis company enhanced by the manufacturing and distribution of consumption accessories. The Company is the largest Canadian retailer of recreational cannabis as measured by revenue, with 80 branded retail cannabis locations spanning Ontario, Alberta, Manitoba and Saskatchewan. High Tide’s retail segment features the Canna Cabana, KushBar, Meta Cannabis Co., Meta Cannabis Supply Co. and NewLeaf Cannabis banners, with additional locations under development across the country. High Tide has been serving consumers for over a decade through its numerous consumption accessory businesses including e-commerce platforms Grasscity.com and CBDcity.com, and its wholesale distribution division under Valiant Distribution, including the licensed entertainment product manufacturer Famous Brandz. High Tide’s strategy as a parent company is to extend and strengthen its integrated value chain, while providing a complete customer experience and maximizing shareholder value. Key industry investors in High Tide include Aphria Inc. (TSX:APHA) (NYSE:APHA) and Aurora Cannabis Inc. (NYSE:ACB) (TSX:ACB). 

For more information about High Tide Inc., please visit www.hightideinc.com and its profile page on SEDAR at www.sedar.com. 

Cautionary Note Regarding Forward-Looking Statements

Certain statements in this news release are forward-looking information or forward-looking statements, including, but not limited to (i) the Company’s application to list on the NASDAQ; (ii) the Company’s plans to adjust its business model and pursue expansion opportunities in the United States and Europe (iii) the Alcohol and Gaming Commission of Ontario’s intentions to increase the pace of Retail Store Authorizations it issues from 20 to 30 a week; (iv) the Company’s expectation to reach 30 open stores in Ontario by September, 30, 2021; (v) the Company’s expectations to profitably open new stores in Alberta, including several locations in the month of April; (vi) the Company’s belief that it is well positioned to take advantage of the growing ancillary and hemp derived CBD markets in the United States and estimates regarding its current revenue run rate in the United States, pro forma for the Smoke Cartel acquisition, to be over $25 million as of the date of this release; (vii) the Company’s expectations to further expand the Company’s operations in the United States through discussions with various parties across the federally permissible ecosystem in the United States; and (viii) the Company’s belief that its application to list its shares on the Nasdaq may accelerate the Company’s growth. Such information and statements, referred to herein as “forward-looking statements” are made as of the date of this news release or as of the date of the effective date of information described in this news release, as applicable. Forward-looking statements relate to future events or future performance and reflect current estimates, predictions, expectations, or beliefs regarding future events. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (generally, forward-looking statements can be identified by use of words such as “outlook”, “expects”, “intend”, “forecasts”, “anticipates”, “plans”, “projects”, “estimates”, “envisages, “assumes”, “needs”, “strategy”, “goals”, “objectives”, or variations thereof, or stating that certain actions, events or results “may”, “can”, “could”, “would”, “might”, or “will” be taken, occur or be achieved, or the negative of any of these terms or similar expressions, and other similar terminology) are not statements of historical fact and may be forward-looking statements.

Such forward-looking statements are based on assumptions that may prove to be incorrect, including but not limited to the Company’s ability to execute on its business plan and that the Company will have sufficient funds to execute on its strategic growth objectives in 2021, including the ability of the Company to pursue and finance the potential acquisitions and new store openings referenced in this release; the Company’s ability to successfully list its shares on the Nasdaq;  and that the Company will not be required to implement any measures to address unanticipated developments (including developments relating to COVID-19) affecting the Company’s business, which could adversely affect the Company’s proposed business plan. However, there can be no assurance that any one or more of the government, industry, market, operational or financial targets as set out herein will be achieved. Inherent in the forward-looking statements are known and unknown risks, uncertainties and other factors that could cause actual results, performance or achievements, or industry results, to differ materially from any results, performance or achievements expressed or implied by such forward-looking statements.

The forward–looking statements contained herein are current as of the date of this news release. Except as required by law, High Tide does not have any obligation to advise any person if it becomes aware of any inaccuracy in or omission from any forward-looking statement, nor does it intend, or assume any obligation, to update or revise these forward-looking statements to reflect new events or circumstances. Any and all forward-looking statements included in this news release are expressly qualified by this cautionary statement, and except as otherwise indicated, are made as of the date of this news release.

Neither 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.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States of America. The securities have not been and will not be registered under the United States Securities Act of 1933 (the “1933 Act”) or any state securities laws and may not be offered or sold within the United States or to U.S. Persons (as defined in the 1933 Act) unless registered under the 1933 Act and applicable state securities laws, or an exemption from such registration is available.

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SOURCE High Tide Inc.