Canadian food franchise system Second Cup is actively reviewing locations in Ontario to be converted into cannabis retail stores in light of recent policy changes in the province.
Second Cup first revealed its expansion plans in April of this year with the announcement of a partnership with National Access Cannabis (NAC). The two companies intend to convert existing Second Cup locations to NAC-operated cannabis retail stores under the brand Meta Cannabis Supply (META).
The news follows the Ontario government’s announcement to introduce a private retail cannabis model in the province on April 1, 2019.
The companies intend to expand META stores into additional Canadian provinces when and where it is legally permissible. Conversion of any Second Cup location into a cannabis store will be conditional on obtaining a retail license from provincial regulators and the approval of Second Cup, the applicable franchisee, and the location’s landlord.
“Our strategic alliance with NAC allows Second Cup to leverage our real estate assets to increase value for our franchisee partners and our shareholders,” said Garry Macdonald, president and CEO of Second Cup. “NAC has developed a strong reputation as a leading operator in the cannabis industry and the ability to activate our partnership in Ontario is a strong growth opportunity for our two businesses.”