High Tide Inc. Company Profile
Based in Alberta, High Tide Inc. (CSE:HITI) (OTCQB:HITIF) is a vertically-integrated downstream cannabis company focused on the manufacturing and wholesale distribution of cannabis lifestyle products and smoking accessories. With a decade of experience in retail cannabis accessories, the company has grown to become the largest counterculture chain in Canada.
High Tide has an impressive roster of subsidiaries that span from manufacturers of cannabis accessories and wholesale distributors like RGR Canada and Famous Brandz to brick-and-mortar retailers like Smoker’s Corner, Canna Cabana, and KushBar, to the global e-commerce smoking accessories business of Grasscity.
With 10 years of operational experience and six vertically-integrated businesses under its belt, High Tide Inc. is growing organically and through acquisition to become a valuable, retail-focused, vertically-integrated enterprise with global operations.
High Tide accessories are now sold in 3,000 stores worldwide in over 20 countries and the company continues to expand its reach through its brands.
High Tide's Brand Portfolio
High Tide began in 2009 as an independent smoke shop called Smoker's Corner that catered to cannabis enthusiasts located in Western Canada. The company has come a long way since, expanding its retail presence across the globe and growing its portfolio of brands. Smoker's Corner has grown significantly since then to become the largest chain of cannabis accessory stores in Canada, with 12 locations now open.
In 2011, High Tide founder, president and CEO Raj Grover launched RGR Canada Inc., a manufacturer and wholesaler of premium cannabis accessories, that distributes to independent retailers across Canada. RGR has a 27,000 square foot facility in Calgary, Alberta and 4,300 SKUs with over 70% of catalog designed and manufactured to maximize margins.
Then in 2016, High Tide co-founded Famous Brandz, a branded smoking accessories company that distributes products internationally with famous licensers like the Trailer Park Boys, Snoop Dogg, Paramount Pictures, Cheech & Chong’s Up in Smoke, Guns N’ Roses, Sublime, and Kevin Smith.
In two short years, Famous Brandz has become a dominant brand, carried by the largest distributors and retail chains across the globe. It will serve as a platform for new brands, products, and retail cannabis lounge concepts.
In 2018, High Tide went on to launch Canna Cabana, a modern cannabis retail chain. The company has continued to establish new locations and retrofit existing stores with its Canna Cabana concept. There are currently 27 branded Canna Cabana locations across Alberta, Ontario, and Saskatchewan, with stores being developed in British Columbia and Manitoba as well.
Then there is KushBar, another retail chain that offers cannabis consumers an elevated experience with excellent customer service, proprietary products, and attractive decor.
High Tide also has international reach through Grasscity.com, an Amsterdam-based e-commerce website that has earned the title of the world's premier online store for smoking accessories and cannabis lifestyle products.
Grasscity has a 20-year history as an online store and gets 5.8 million site visits per year from around the world. It has a large customer base in the US, with 90% of the orders coming from there.
Backed by the Cannabis Industry Giants
High Tide has been endorsed by some of the biggest players in the cannabis market since its inception. In February, Aurora Cannabis (NYSE:ACB) (TSX:ACB) invested $10 million into the company and also provided High Tide with its largest accessories purchase order to date.
Aurora commended High Tide for achieving so much in such a short period of time, which Aurora CEO Terry Booth said reinforced the value of its investment in the company. He was pleased with the rigor High Tide have shown in strategically allocating the capital from Aurora to fuel its growth initiatives and said he looks forward to what the company will achieve.
Aphria Inc. (TSX:APHA) (NYSE:APHA) is another cannabis giant that believes in High Tide and its products. In April, Aphria anchored the Company's non-brokered private placement with a $4.5 million order.
FSD Pharma Inc. (CSE: HUGE) (OTCQB:FSDDF) is another one of High Tide's strategic investors and has invested more than $2 million into the company to date.
Meet the High Tide Inc. Team
Raj Grover - Founder, President and CEO
Raj Grover is the founder of High Tide Inc. and its subsidiaries Smoker's Corner, RGR Canada, and Canna Cabana. He is also the co-founder of Famous Brandz. Raj started Smoker’s Corner in 2009 and RGR Canada in 2011 and has been operating as a pioneer in the cannabis accessories industry ever since. He is a national franchiser and entrepreneur with 17 years of experience in building and selling companies. Raj leads the industry in manufacturing capabilities and has built the largest network of comparable retail stores throughout Canada. He is also passionate about supporting children's charities that benefit underprivileged kids and those struggling with health issues.
Alex Mackay - Chief Operating Officer
Alex Mackay joined High Tide Inc. as its Chief Operating Officer in 2019, after 21 years at Shaw Communications, one of Canada's largest telecommunications companies. Alex is an adaptable leader with a proven track record of driving breakthrough business results. He has extensive operating experience and held key roles including Senior Director of Contact Centers and Retail Operations, National Sales Director, and National Director of Field Support Operations. Key milestones include achieving industry-leading customer satisfaction scores, proven significant steps to increase incremental sales and revenues, targeted talent acquisition of top performers, and the creation and implementation of a suite of Standard Operational Practices adopted within a +10K employee organization.
Nick Kuzyk - Chief Strategy Officer and SVP Capital Markets
Nick Kuzyk is the Chief Strategy Officer and Senior Vice President of Capital Markets at High Tide. He has over 15 years of experience in investor relations, business development, and mergers and acquisitions. From early-stage ventures to large-cap companies, Nick has developed qualitative and quantitative expertise rooted in strategic communications and financial analysis. He holds an HBA and MBA from the Richard Ivey School of Business at Western University, is the Treasurer of the Alberta chapter of the Canadian Investor Relations Institute (CIRI) and completed the CIRI/Ivey Strategic Management of Investor Relations Program.
Andy Palalas - Chief Revenue Officer
Andy Palalas is the Chief Revenue Officer at High Tide. Andy is a business growth and sales professional that offers a decade of experience in implementing sales programs for both established corporations and startups. He is responsible for developing distribution channels, sourcing new market opportunities, and overseeing the revenue portfolio of High Tide. Andy has extensive experience in the loyalty marketing sector, a proven track record of explosive growth in franchise sales and operations, and a holistic mastery of ground-level business development through to overarching marketing strategy. He took Famous Brandz from inception to one of the leading manufacturers of cannabis smoking accessories globally.
Rahim Kanji - Chief Financial Officer
Rahim Kanji is the Chief Financial Officer at High Tide. He has over 18 years of experience in various industries from startup tech to enterprise oil & gas. Most recently, Rahim was the Chief Operating Officer at Kudos Inc., an online employee experience and cultural platform. He is an expert in financial management, corporate efficiencies, profitability, meeting business goals, and corporate financial reporting. Rahim also has experience in international growth and expansion, mergers and acquisitions and business strategy development. Rahim holds an MBA from the Richard Ivey School of Business at Western University and a B.Com from the University of Alberta.