Connect with us

Hi, what are you looking for?

Wednesday, Aug 17, 2022
Mugglehead Magazine
Alternative investment news based in Vancouver, B.C.

Business

Trees finishes acquiring Camp Cannabis pot shop

The pot shop is located in Burlington, Ontario

Trees to acquire Camp Cannabis for $780K
Camp Cannabis shop in Milton, Ontario. Photo via Trees

The retailer company Trees Corporation (NEO: TREE) has added one more pot shop to its store footprint.

On Wednesday, the company said it has acquired 100 per cent of the equity interests of Camp Cannabis or 2707461 Ontario Ltd. from Barnard Cann Ltd.

Camp has one licensed pot shop in Burlington, Ontario that is located in the heart of the city which has been operational since February 2020. The location was a round two license lottery winner which made it one of the earliest entrants to the community.

Trees paid $25,000 in cash to Camp following a payment of $50,000 previously given as well as any working capital deficiency or excess paid in accordance with the SPA. Camp has debts of around $380,000 that include $300,000 owing to Trees from a promissory note in March 2020 and $80,000 to a third-party vendor.

In closing, a further debt in the amount of $350,000 owing by Camp to a creditor was terminated in exchange for the issuance by Trees of an unsecured convertible debenture in the amount of $180,000 payable to the creditor.

Read more: Trees announces first quarter results, posting $1.7M in revenue

Read more: Trees to acquire Camp Cannabis for $780K

This March, the Trees entered into an agreement to purchase all of the issued and outstanding shares of the Camp which included 3 additional stores in Ontario but the previous agreement was terminated in agreement with both parties.

The previous agreement involved buying the shops at Burlington, Milton and Kanata as well as a fourth location in Gloucester to be open soon.

“We are thrilled to add Camp Cannabis in Burlington to our growing portfolio of successful Trees branded storefronts in Ontario, now counting 13 stores nationwide,” Trees CEO Michael Klein.

“With plans to ramp up our acquisition pace in the months ahead while also leveraging the strength of the cannabisMD.com platform, Trees will continue to reach and educate new consumers across ever broadening consumer segments and need states.”

 

Follow Mugglehead on Twitter

Like Mugglehead on Facebook

Click to comment

Leave a Reply

Your email address will not be published.

You May Also Like

Business

Trees posted $1.7 million in revenue during the first quarter compared to $0.5 million in Q1 2021, representing an increase of 225 per cent

Business

The deal will expand the retailer's footprint by around 40%