UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported): July 10, 2019

 

DAVIDsTEA Inc.

(Exact name of registrant as specified in its charter)

 

 

001-37404

(Commission File Number)

 

 

(888) 873-0006

(Registrant’s telephone number, including area code)

 

Not Applicable

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common shares, no par value per share	DTEA	NASDAQ Global Market

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company x

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. x

 

 

Item 2.02 Results of Operations and Financial Condition

 

On July 10, 2019 DAVIDsTEA Inc., a corporation incorporated under the Canada Business Corporations Act (the “Company”), issued a press release announcing the signing of additional distribution agreements with major Canadian grocery chains, expanding the availability of its tea sachets to over 2,500 grocery and pharmacy locations across Canada beginning fall of 2019.

 

The Company also presented a business update and outlined its priorities in a presentation made at its Annual General and Special Meeting of Shareholders.

 

Item 9.01 Financial Statements and Exhibits

 

(d) Exhibits.

 

Exhibit No.		Description
99.1		Press Release, dated July 10, 2019
99.2		Annual Meeting of Shareholders Presentation

 

2

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

	DAVIDsTEA INC.
Date: July 10, 2019	By:	/s/ Frank Zitella
	Name:	Frank Zitella
	Title:	Chief Financial Officer and Chief Operating Officer

 

  

3

 

EXHIBIT 99.1

 

 

DAVIDsTEA EXPANDS AVAILABLITY OF TEA SACHETS IN ADDITIONAL NATIONAL GROCERY CHAINS

 

Combined with previously announced agreements, DAVIDsTEA’s iconic tea sachets to be sold in over 2,500 grocery and pharmacy locations across Canada this Fall 

 

Montréal, Québec – July 10, 2019 - DAVIDsTEA Inc. (Nasdaq:DTEA), North America’s leading tea merchant, is pleased to announce the signing of additional distribution agreements with major Canadian grocery chains, expanding the availability of its tea sachets in the Canadian and Quebec grocery aisle to an additional 1,250 new grocery stores, effective in the fall of 2019.

 

DAVIDsTEA’s iconic tea sachets are already available in over 450 Loblaw Companies Limited (TSX:L) banner locations across Canada since last August. In May, DAVIDsTEA expanded its arrangement with Loblaw and effective in the Fall, its tea sachets in a variety of best-selling flavours will be available in over 1,250 Loblaw pharmacy and grocery storefronts across Canada. Today’s announcement adds new major grocery chains and brings the total number of retail locations that will carry DAVIDsTEA tea products to over 2,500 across the country.

 

“In the last 12 months, we have made significant headway as we aim to grow our wholesale business to diversify our distribution channels and stimulate long-term revenue growth. Sales in this channel have thus far surpassed our expectations and we see strong potential for continued growth,” commented Frank Zitella, Chief Operating Officer and Chief Financial Officer.

 

Mr. Zitella added: “Our strategy is clear; wherever fine tea is purchased or consumed, we want it to be DAVIDsTEA. We will continue to actively explore additional opportunities to expand our wholesale distribution sales and capabilities. As a result, we anticipate our distribution channel mix to evolve in the coming years as we execute on our omnichannel strategy and adapt to evolving market dynamics. While our brick-and-mortar business remains key, over time, e-commerce and wholesale channels could come to represent a more significant portion of our total sales. We believe that by diversifying our distribution channels over the long term, our business will be stronger, our leadership position as specialty tea merchants will be further solidified, and we will be able to provide consumers with enhanced access to a true omnichannel shopping experience.”

 

The expansion of the availability of DAVIDsTEA products in grocery stores across Canada was confirmed today, in conjunction with the Company’s Annual and Special Meeting of Shareholders. The presentation from today’s meeting is available for download in the Investor Relations section of the Company’s corporate website at www.davidstea.com.

 

About DAVIDsTEA

DAVIDsTEA is a leading retailer of specialty tea, offering a differentiated selection of proprietary loose-leaf teas, pre-packaged teas, tea sachets and tea-related gifts, accessories and food and beverages through over 230 company-owned and operated DAVIDsTEA retail stores in Canada and the United States, as well as through its e-commerce platform at davidstea.com. A selection of DAVIDsTEA products are also available in grocery stores across Canada through its growing wholesale distribution channel. The Company is headquartered in Montréal, Canada.

 

Investor Contact	Media Contact
MaisonBrison Communications	PELICAN PR
Pierre Boucher	Lyla Radmanovich
514.731.0000	514.845.8763
investors@davidstea.com	media@rppelican.ca

EXHIBIT 99.2