High Tide Closes BMO Credit Facility, Issues Q3 Guidance

CALGARY – High Tide Inc. closed its C$40 million senior secured credit facilities with Bank of Montreal (BMO), replacing an existing arrangement with ConnectFirst Credit Union and substantially lowering the company’s cost of capital. The transaction marks the first time the Cannabis operator has secured a senior lending relationship with a Big Five Canadian chartered bank.

The new package consists of a C$25 million committed revolving credit facility with a three-year maturity and a C$15 million committed delayed-draw term loan intended to refinance existing second-lien debentures. A portion of the revolver was drawn at closing to retire the outstanding C$6 million ConnectFirst balance, leaving approximately C$19 million in available capacity for working capital, permitted acquisitions, and general corporate purposes. Both facilities are secured by substantially all assets of the company and certain subsidiaries.

The deal closed one day after High Tide released preliminary Q3 2026 guidance covering the fiscal quarter ended July 31, 2026. The company projected revenue between C$195 and C$200 million [year-over-year growth of 30-34%] with Adjusted EBITDA guided between C$15.2 and C$16.5 million, implying a 43-55% year-over-year gain. Gross profit is guided to C$51–C$53.5 million, representing at least 27% growth over the prior year.

The guidance is notable for where it sat relative to sell-side expectations. Even the low end of High Tide’s guidance exceeded the highest current analyst estimate across all three metrics, per FactSet data. The street had revenue modeled between C$180.8 and C$185.3 million, with Adjusted EBITDA consensus between C$13 and C$14.4 million, both ranges now below the company’s stated floor.

The international segment provided additional momentum. High Tide’s German pharmaceutical subsidiary, Remexian Pharma GmbH, distributed over 10 tons of medical Cannabis flower during the quarter [a quarterly record] representing 33% sequential growth and 60% year-over-year growth. Remexian holds approximately a 14% share of the German medical Cannabis market and is licensed to import from 19 countries, Canada included.

On the domestic retail side, Canna Cabana operates 229 domestic stores and one international location, holding about a 12% share of the Canadian retail Cannabis market. High Tide also recently closed the acquisition of Northern Helm, which added four Ontario locations ahead of Q3 reporting. Full quarterly results are scheduled for September 14, 2026, after markets close.

High Tide’s week amounts to an institutional and operational credibility reset. Securing a Big Five bank as senior secured lender is a meaningful signal in a sector that has historically struggled to access conventional credit in Canada. Meanwhile, guidance that clears analyst estimates across the board [including on Adjusted EBITDA, where Cannabis companies have routinely come up short] suggests the company’s retail-and-distribution model is producing genuine operating leverage. What September 14 confirms will matter to a wider group of institutional investors than it did a year ago.