Cannabis corporation High Tide Inc. is acquiring Daily High Club (DHC), one of the top five global cannabis retailers.
The acquisition will give High Tide USA Inc., a wholly-owned U.S. subsidiary of Canada-based High Tide, 100 percent ownership of DHC. It will also unlock access to Daily High Club’s nearly one million social media followers on Instagram and TikTok and more than 15,000 Canadian subscription box members.
With the acquisition, High Tide’s portfolio will include three out of five cannabis-focussed eCommerce platforms, totaling 91 million annual site visits.
The acquisition is a strategic move for High Tide as it positions the brand to quickly extend its products and services to U.S. customers through subscription boxes, online and brick and mortar stores, when cannabis is federally legalized in the country.
“In alignment with our intention to become a dominant player in the U.S. e-commerce marketplace through a combination of organic growth and accretive acquisitions, specifically targeting businesses with strong brand loyalty, I am thrilled to announce the acquisition of Daily High Club,” said Raj Grover, president and CEO of High Tide.
“Daily High Club stood out to us because it is an increasingly popular consumption accessories online retailer, with a rapidly growing subscription box model which can easily be tailored to include cannabis products in the event of U.S. federal legalization. This subscription box model is complementary to our existing accessories e-commerce portfolio, and as such creates numerous opportunities for potential synergies,” Grover added.
Under the terms of the deal, Harrison Baum, founder and CEO of Daily High Club, will join High Tide as the company’s director of digital marketing and he will be charged with overseeing social media initiatives for High Tide globally.