McCarthy, Clark Wilson and Bennett Jones advising on $346 million buyout of liquor retail giant

The Alberta-based liquor retailer is operating in 171 locations across Canada

McCarthy, Clark Wilson and Bennett Jones advising on $346 million buyout of liquor retail giant

Cannabis producer Sundial Growers Inc. has agreed to acquire Canada’s largest private liquor retailer Alcanna, for a total purchase price of $346 million.

McCarthy Tétrault LLP is acting as legal counsel to Sundial. Clark Wilson LLP is acting as legal counsel to the special committee of Alcanna and Bennett Jones LLP is acting as legal counsel to Alcanna.

Under the deal, Sundial will acquire all the issued and outstanding common shares of Alcanna for a total consideration of approximately $346 million. The deal will be carried out by way of a court-approved plan of arrangement under the Canada Business Corporations Act and is expected to close in December 2021 or in the first quarter of 2022.

Alcanna is operating in 171 locations under the retail brands Wine and Beyond, Liquor Depot and Ace Liquor. Alcanna also owns 63-per-cent equity interest in marijuana retailer, Nova Cannabis, which is operating in 62 stores across Alberta, Saskatchewan and Ontario under the brands Value Buds and Nova Cannabis.

Sundial is a licensed cannabis producer with a brand portfolio that includes Top Leaf, Sundial Cannabis, Palmetto and Grassland. Sundial expects that the combined company will be a Canadian cannabis retail market leader. Zach George, chief executive officer of Sundial, said in a press release "This made-in-Alberta transaction allows Sundial to further its mission to own the customer relationship and deliver sustainable value to shareholders.”

Alcanna’s vice chair and chief executive officer, James Burns, said, “We have been successful at achieving customer loyalty, and operating at levels of efficiency that are industry-leading and Sundial will provide great opportunities as a larger and significantly more liquid company. We look forward to working with Sundial to complete this transaction.”

Recent articles & video

Alleged Norval Morisseau forgery leads to 9-year defamation and harassment campaign against lawyer

Stikeman Elliott expands New York office with arrival of new principal Jamie Koumanakos

No medical decision-making right for father opposed to COVID-19 vaccine: Sask. Court of Appeal

Stikeman Elliott, Thornton Grout Finnigan, Fasken in two multimillion-dollar commercial cases

Shouting obscenity does not alone cause disturbance of peace in public place: N.L. Court of Appeal

Ontario Court of Appeal upholds credibility assessments in spousal support case

Most Read Articles

Coquitlam family law lawyer named in Superbad enjoys his name becoming a meme

Ontario's Chief Justice George Strathy on his legacy and plans to advocate for mental health

Permanent resident applicants experiencing processing delays amid labour shortage

SCC denies leave to challenge of Alberta law prohibiting ‘essential infrastructure’ protests