SNDL (SNDL) agreed to acquire, with an option to assign, 32 cannabis retail stores in Canada from 1CM for 32.2 million Canadian dollars ($22.7 million) in cash, the companies said Wednesday.

The acquisition, which consists of two stores in Alberta, three stores in Saskatchewan and 27 stores in Ontario that operate under the Cost Cannabis and T Cannabis banners, will bring the number of SNDL's total owned and franchised cannabis retail stores to 219, the companies said.

The deal is expected to close by the end of Q3, assuming receipt of all necessary approvals.