Cannabis Wheaton has inked a strategic alliance with an unnamed convenience store operator to distribute and sell marijuana.
The streaming company says the deal gives it the exclusive right to handle the sale and distribution of recreational cannabis at 350 convenience stores over the next 10 years. In return, Cannabis Wheaton will grant the convenience store operator warrants to buy up to 1 million shares in the company at a price of $1 each over five years.
Cannabis Wheaton Chief Executive Officer Chuck Rifici said the convenience store industry’s experience selling regulated products like tobacco makes for a good fit with marijuana retailers.
“Convenience stores offer un-paralleled access for consumers and are well equipped to deal with age-restricted products, a category which recreational cannabis will fall squarely into,” he said in a press release.
In spite of Rifici’s optimism, no province has yet outlined plans to allow the sale of marijuana through convenience stores, with Ontario applying a government-owned framework and Alberta continuing to evaluate its options.
Cannabis Wheaton was not immediately available for comment on the identity of the convenience store operator.