SNDL Inc. (NASDAQ:SNDL) ("SNDL") and 1CM Inc. (CSE:EPIC) (OTCQB:MILFF) (FSE: IQ70) ("1CM") are pleased to announce that they have entered into an arrangement agreement (the "Agreement") pursuant to which SNDL will acquire 32 cannabis retail stores (the "Transaction") operating under the Cost Cannabis and T Cannabis banners in Ontario, Alberta and Saskatchewan (the "1CM Stores"). Unless otherwise specified herein, all amounts are in Canadian currency.

Under the terms of the Agreement, SNDL will acquire, with the option to assign, the 1CM Stores for total consideration (the "Purchase Price") of $32.2 million in cash, subject to certain adjustments at the closing of the Transaction (the "Closing"). The 1CM Stores are comprised of 2 stores in Alberta, 3 stores in Saskatchewan and 27 stores located in Ontario. The 1CM Stores generated annual revenue of an aggregate of $53 million the fiscal year ended August 31, 2024 with 30 active stores at the fiscal year end. The acquisition of the 1CM Stores will bring SNDL's total owned and franchised cannabis retail store count to 219.