News

High Tide revives takeover prevention plan

Published on August 20, 2026 by Pat Bulmer

Photo: Contributed

The owner of Canna Cabana stores is reviving a shareholders rights plan.

Calgary-based High Tide’s board of directors has approved an amended plan as well as a temporary plan, the company revealed in a news release.

Shareholder rights plans are usually enacted to prevent hostile takeover bids, although in its July 6 statement High Tide declared: “The plans have not been adopted in response to, or in anticipation of, any known or anticipated take-over bid or similar transaction.”

Why then? “The purpose of the plans is to ensure the company maintains compliance with applicable cannabis laws and is able to maintain its cannabis licenses, and to ensure that all shareholders are treated fairly in connection with any offer to acquire the outstanding common shares of the company and that the board has the opportunity to identify, solicit, develop and negotiate value-enhancing alternatives to any unsolicited take-over bid,” the release said.

Thanks. That’s wordy, but almost clarifying.

High Tide originally enacted a shareholders rights plan in April 2025 after rival SNDL had increased its stake in the company.

“Because the company’s existing Shareholder Rights Plan may only be amended with shareholder approval, the board adopted the Temporary Shareholder Rights Plan as an interim measure,” High Tide explained.

Shareholder ratification of the amended plan will be sought at an Aug. 11 meeting. If approved, it will be in effect for three years and the temporary plan will lapse.