The Financial Post reports in its Wednesday edition that The Hydropothecary wants to follow the footsteps of Quebec leaders such as Alimentation Couche-Tard, owner of the Circle K chain, which started with one store outside Montreal and gobbled up rivals from Ontario to Norway. A Bloomberg dispatch to the Post reports that Hydropothecary secured about a third of its home market last month, when it signed a letter of intent with the province's alcohol distributor to supply 20,000 kilograms of cannabis products in the first year of recreational sales.
Chief executive officer Sebastien St. Louis says: "I plan to be one of the two to three multinational companies still standing in five years. Our strategy is to go to Quebec first, then expand to Ontario, then to Western Canada, and then internationally."
Hydropothecary shares have fallen 22 per cent to $3.89 from a Jan. 23 peak. That is not stopping Mr. St. Louis from "very seriously" considering a Nasdaq listing after a planned move from the junior to the main Toronto stock exchange in the next few months. The company says it has $260-million in cash, half of which is available for acquisitions.
It has a market capitalization of about $696-million.
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