Otter Co-op has entered into an asset purchase agreement to acquire 19 Liquor Depot, Liquor Barn and Wine Cellar stores located in the Lower Mainland and Okanagan.
Pending completion of customary conditions and consents, the transaction is expected to close on or about March 31, 2021.
Chief Executive Officer Jack Nicholson said the strategic acquisition aligns with Otter’s long-term goal of growing and improving current diversified business lines and to continue to provide membership benefits and returns to member/owners.
“This acquisition is expected to bring an additional $85 million in sales to Otter Co-op in the first year, and add in excess of $5 million in bottom line net savings,” Nicholson explained.
READ MORE: Co-op says members should not be concerned after private Mountain Equipment sale
“Along with our current six liquor stores, it will position Otter Co-op as the largest private liquor retailer in the province, and see our total liquor division sales exceed $100 million,” he continued.
The acquisition will also allow Otter Co-op to expand opportunities in private label wine, beer and spirits.
As well, Otter will offer employment to the 217 team members that are currently working at these locations.
Cities with Otter-acquired stores include Vancouver, Vernon, Kamloops, Surrey, Coquitlam, Kelowna, Chilliwack, Abbotsford, and West Kelowna.
“We look forward to transitioning these locations to the Angry Otter Liquor brand, as we continue to grow and offer new products and services to our growing membership base,” Nicholson added.
Have a story tip? Email: newsroom@aldergrovestar.com
