Couche-Tard Backed Fire & Flower Brand Officially Enters U.S. Cannabis Market
The Palm Springs, Calif., store is the first of numerous locations planned for targeted, high-growth markets.
TORONTO, Canada — Fire & Flower Holdings Corp.'s strategic licensing partner, formerly American Acres Managers, has officially changed its name to Fire & Flower U.S. Holdings and opened its first Fire & Flower branded store at 4810 E Camino Parocela in Palm Springs, Calif.
Fire & Flower announced its strategic entry into the U.S. cannabis market earlier in 2021 when it signed an agreement with Canada-based American Acres to license its Fire & Flower brand, store operating system and Hifyre technology platform for dispensaries in California, Arizona and Nevada, as Convenience Store News previously reported.
Through this licensing arrangement, American Acres will expand Fire & Flower's retail footprint in the U.S. by rolling out new Fire & Flower stores in targeted, high-growth markets to deliver best-in-class technology and retail functionality to U.S. cannabis consumers.
"We have reached a significant milestone for our company as we have officially planted our roots in the U.S. cannabis market through our strategic partner, American Acres," said Fire & Flower CEO Trevor Fencott. "Our Hifyre cannabis digital retail and analytics platform has propelled our growth and leadership position in Canada allowing us to successfully capture consumer buying behaviors and apply predictive and real-time analytics unlike any of our competitors.
"As we have continued to demonstrate the value of our technology through the rapid expansion of our multi-banner retail network of over 85 stores throughout Canada, the expansion of our brand and technology into the U.S. is the next step in our evolution," Fencott continued. "We are pleased to now be delivering the same omni-channel, convenience-oriented cannabis retail experience to U.S. consumers and pave the way for the future of cannabis retail in the U.S as legislation continues to develop."
In connection with the licensing agreement with American Acres, Fire & Flower received an option exercisable to acquire American Acres at a discount to fair market value. The acquisition is anticipated to occur upon the federal legalization of adult-use cannabis in the U.S. or when otherwise permitted by the policies of the Toronto Stock Exchange or any other stock exchange on which the Company's securities are listed for trading, the company stated.
Toronto-based Fire & Flower Holdings Corp. owns all issued and outstanding shares in Fire & Flower Inc. and Friendly Stranger Holdings Corp., licensed cannabis retailers that own and operate cannabis retail stores in the provinces of Alberta, Saskatchewan, Manitoba and Ontario, and the Yukon territory.
Fire & Flower is a multi-banner cannabis retail operator that owns and operates the Fire & Flower, Friendly Stranger, Happy Dayz and Hotbox brands.
Laval, Quebec-based Alimentation Couche-Tard Inc. officially entered the cannabis retailing sector with the closing of its investment in Fire & Flower Holdings Corp. in 2019.