CALGARY,
AB, Aug. 29, 2024 /PRNewswire/ - SNDL
Inc. (Nasdaq: SNDL) ("SNDL" or the "Company")
announced today that, in the context of proceedings pursuant to
Indiva Limited's ("Indiva") filing under the Companies'
Creditors Arrangement Act (Canada) (the "CCAA") and the sales and
investment solicitation process, the stalking horse bid of SNDL has
been chosen as the successful bid in the acquisition of the Indiva
business and assets (the "Transaction"), subject to approval
by the Ontario Superior Court of Justice (Commercial List)(the
"Court") overseeing the CCAA proceedings.
SNDL's acquisition includes Indiva's state-of-the-art facility
in London, Ontario and a portfolio
of leading owned and licensed brands including Pearls by Grön, No
Future, Wana, and Bhang Chocolate. The Transaction is expected to
enhance SNDL's product offerings and further solidify SNDL's
position in the Canadian cannabis market.
"We are thrilled by the opportunity to partner with our
colleagues at Indiva to deliver high quality products and brands to
consumers," said Zach George, SNDL's
Chief Executive Officer. "This transaction will materially improve
our market share in the edibles category and is expected to unlock
value through improved capacity utilization, a reduction in
aggregate corporate expenses, and the potential sale of redundant
real estate holdings."
Indiva is a leading producer of cannabis edibles in Canada and produces award-winning products
across a wide range of brands, with a portfolio of 7 brands and 53
listed SKUs, all manufactured in the Company's 40,000 square foot
production facility on Hargrieve Road in south London, Ontario.
Indiva will seek approval for the Transaction from the Court on
or about September 19, 2024. The
Transaction is subject to, among other things, the Court granting
an approval and vesting order and the Transaction receiving the
approval of other regulatory authorities. The Transaction is
anticipated to close during SNDL's fourth quarter following the
receipt of all such approvals.
Advisors
McCarthy Tétrault LLP is acting as legal counsel for SNDL,
Bennett Jones LLP is acting as legal counsel for the Indiva Group,
and Osler Hoskin & Harcourt LLP
is acting as legal counsel for the Monitor.
ABOUT SNDL INC.
SNDL is a public company whose shares are traded on the Nasdaq
under the symbol "SNDL." SNDL is the largest private-sector liquor
and cannabis retailer in Canada
with retail banners that include Ace Liquor, Wine and Beyond,
Liquor Depot, Value Buds, Spiritleaf, and Firesale Cannabis. SNDL
is a licensed cannabis producer and one of the largest vertically
integrated cannabis companies in Canada specializing in low-cost biomass
sourcing, premium indoor cultivation, product innovation, low-cost
manufacturing facilities, and a cannabis brand portfolio that
includes Top Leaf, Contraband, Palmetto, Bon Jak, Versus, Value
Buds, and Vacay. SNDL's investment portfolio seeks to deploy
strategic capital through direct and indirect investments and
partnerships throughout the North American cannabis industry. For
more information on SNDL, please go to https://sndl.com/.
Forward-Looking Information Cautionary Statement
This news release includes statements containing certain
"forward-looking information" within the meaning of applicable
securities law ("forward-looking statements"). Forward looking
statements in this release include, but are not limited to, the
anticipated timing for closing of the Transaction, improvements to
the Company's market share, reduction in corporate expenses,
potential sale of redundant real estate holdings, potential
expansion plans of the Company in Canada, the Company's ability to provide
uninterrupted supply to its customer, and statements regarding the
future performance of the Company. Forward-looking statements are
frequently characterized by words such as "plan", "continue",
"expect", "project", "intend", "believe", "anticipate", "estimate",
"may", "will", "potential", "proposed" and other similar words, or
statements that certain events or conditions "may" or "will" occur.
These statements are only predictions. Various assumptions were
used in drawing the conclusions or making the projections contained
in the forward-looking statements throughout this news release.
Forward-looking statements are based on the opinions and estimates
of management at the date the statements are made, and are subject
to a variety of risks and uncertainties and other factors that
could cause actual events or results to differ materially from
those projected in the forward-looking statements. The Company is
under no obligation, and expressly disclaims any intention or
obligation, to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as expressly required by applicable law.
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SOURCE SNDL Inc.