Nova Cannabis is looking to expand in B.C. after gaining control of four Dutch Love store locations in the province.

Calgary-based SNDL assigned the stores to Edmonton-based Nova in early April for $8.12 million in Nova shares. SNDL also extended the maturity date of a $15-million credit facility that the company provides Nova by another two years to March 2026.

Now, Nova intends to grow its B.C. presence.

“Our agreement with SNDL to own or operate four Dutch Love stores marks our entry into British Columbia, paving the way for Nova to open our first Value Buds locations in the province and further highlights the benefits of our partnership with SNDL,” said Marcie Kiziak, Nova’s CEO, in a news release that accompanied the firm’s quarterly report.

“This move strengthens our store footprint in an impactful way, and we are excited to spread the Value Buds experience to consumers across the country.”

Nova is looking to capitalize on a potential B.C. government policy change that could allow a cannabis licensee to operate more than the current maximum eight stores.

The company is also focused on expanding in Ontario, where the provincial government has doubled its cap on the number of cannabis stores that a licensee can operate to 150 from 75.

“Nova continues to pursue opportunities based on the quality of the real estate and the potential of attractive economic returns while avoiding unsustainable valuations,” said the company.

As a result of the acquisitions, Nova now owns and/or operates 99 stores in Alberta, Ontario, B.C. and Saskatchewan. The shops do business mainly under the company’s Value Buds and Firesale Cannabis banners.

Photo: Dutch Love/SNDL

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