Inner Spirit Holdings Announces Frank Rochon as New Director and Highlights Continued Expansion of Spiritleaf Stores

Published: July 15, 2020

Inner Spirit Holdings Announces Frank Rochon as New Director and  Highlights Continued Expansion of Spiritleaf Stores

Inner Spirit Holdings Ltd., a Canadian company that has established a national network of Spiritleaf retail cannabis stores, announced that Frank Rochon has joined the Company’s Board of Directors. The Company also provided updates on store openings and the continued expansion of the Spiritleaf retail cannabis store network.

Mr. Rochon was previously Vice Chairman and Managing Partner with Deloitte. In addition, he was a member of Deloitte’s executive leadership team for over 20 years in various capacities including Regional Managing Partner roles and as Deloitte Canada M&A Executive Leader. Mr. Rochon was also a member of Deloitte’s Global Executive leadership for over 8 years. During his 30-year professional career, he served many of Canada’s most iconic and emerging companies and was widely sought for his trusted counsel and experience. Mr. Rochon is recognized for his strong financial expertise, governance, market and operational executive leadership. He has been extensively involved in board leadership capacities for numerous large national not-for-profit organizations and foundations.

Mr. Rochon, who is expected to become a member of the Company’s Board audit committee, joins a strong and experienced group of Directors on Inner Spirit’s Board. Recent additions this year include Andrew MacMillan, an executive with Auxly Cannabis Group Inc.; Manjit Minhas, co-founder and CEO of Minhas Breweries, Distilleries and Wineries; and Russell Wilson, an executive with Prairie Merchant Corporation.

“We are building a board with deep expertise and a real passion for the cannabis market to support the Company’s expansion strategy in our pursuit of becoming Canada’s most iconic cannabis retailer while educating consumers on the safe and legal way to consume cannabis. Frank brings vast experience and his involvement can provide meaningful insights for the Company in a number of functions to make us a smarter, more agile and better organization,” said Darren Bondar, President and CEO of Inner Spirit.

CONTINUED EXPANSION OF SPIRITLEAF STORE NETWORK

In Alberta, the Company celebrated the opening of its 54th Spiritleaf store conveniently located in Red Deer’s Gasoline Alley on Highway 2, the province’s busiest and longest highway, on July 9. An additional franchise store in Calgary’s Southland community located at the Brick Plaza on Macleod Trail is expected to open on July 20 and a franchise location in Fish Creek Village is now fully built and awaiting final licensing. The Company has also conditionally secured five additional franchise locations in Calgary and two additional corporate store locations in Edmonton in anticipation of the Alberta Gaming, Liquor & Cannabis (the “AGLC“) increasing the licensing cap to over 45 permitted stores per operator later this fall.

In Ontario, the Company announced that two franchised stores and a corporate-owned store have secured Retail Store Authorizations from the Alcohol and Gaming Commission of Ontario to begin operations. Franchise stores will be opening in the suburban community of Stittsville near Ottawa on July 18 and in London’s Masonville neighbourhood on July 27. The corporate-owned store in Nepean just south of Ottawa is expected to open on July 27 bringing the total number of stores expected to be operating by the end of July to 58.

These stores follow on recent Spiritleaf store openings in TorontoOttawa and Guelph as well as the acquisition of the Spiritleaf store in Kingston that previously operated under a licensing agreement with one of the province’s lottery winners. By the end of July, the Company anticipates having nine Spiritleaf stores serving customers in Canada’s most populous province with an additional 16 locations under various phases of development.

Please visit www.spiritleaf.ca for additional information and details on opening times as well as store operating hours.

“We’re excited to continue our expansion of the Spiritleaf brand into additional communities across the country. We have aggressive growth plans and we’re staying focused on adding stores to serve local communities in the provinces where we currently operate. We have numerous franchise partners either working through licensing or constructing their stores to prepare for operations. Our franchise model is extremely effective as we’re able to partner with passionate local entrepreneurs and enable them to invest their capital, share their passion and knowledge of cannabis with their local communities, and contribute to the overall success of the Spiritleaf brand,” said Bondar.

CORPORATE UPDATES

The Spiritleaf retail cannabis store network now includes 54 franchised and corporate-owned stores operating in AlbertaBritish ColumbiaSaskatchewanOntario, and Newfoundland and Labrador. Due to the COVID-19 pandemic, Spiritleaf stores are operating with enhanced customer service processes to ensure the safety of employees and customers. Spiritleaf’s Select & Collect service enables customers to pre-shop and order online prior to pick-up. Customers can also connect with their local Spiritleaf store through The Collective customer benefits program to further streamline and individualize the shopping experience and now has over 57,000 members.

The Company also announced that Mr. Bondar filed reports this month on the System for Electronic Disclosure by Insiders regarding the sale of an aggregate of 1,500,000 common shares on July 6 and 8, at market prices, partly to other significant shareholders and affiliates. An additional 2,145,000 common shares are scheduled to be sold by Mr. Bondar through a private transaction in early August (the “August Transaction“). The transactions are conducted in the ordinary course of business as part of Mr. Bondar’s financial and tax planning program. He retains 12,186,000 common shares (10,041,000 common shares following the August Transaction) and 2,125,000 stock options and remains the largest individual shareholder of Inner Spirit.

Inner Spirit Holdings Ltd. is a franchisor and operator of Spiritleaf recreational cannabis stores across Canada. Learn more at www.innerspiritholdings.com and www.spiritleaf.ca.