Petalfast's Arizona Acquisition Forges Path For New Cannabis Brand Partnerships

Cannabis sales and distribution platform Petalfast announced on Thursday the acquisition of the sales and distribution subsidiary of Arizona-based Flow Distribution.

Founded in 2017, Flow has been operating from Phoenix as a cannabis cultivator, manufacturer and distributor. It collaborated with several California cannabis brands such as Stiiizy, Wana and 22 Red, providing statewide sales coverage, marketing, warehousing and logistics.

See also: Petalfast Teams Up With 3 Cannabis Brands That ‘Can Stand Out From The Pack’

Why It Matters

The acquisition is expected to result in a "robust suite of distribution services to new and existing brands who wish to service their valued retail partners and scale efficiently and effectively," Petalfast said in a press release. The terms of the deal were not disclosed.

The move comes shortly after Petalfast closed roughly $8 million in a non-dilutive strategic equity financing round.

“After recently concluding an accretive equity capital raise, Petalfast’s acquisition of Flow is another significant strategic milestone for our business and push towards becoming the largest cannabis distributor in the country,” Petalfast CEO Jason Vegotsky said. “Flow’s presence in the growing Arizona market and established relationships with major retailers and brands will ultimately benefit existing and new brand partnerships."

Flow CEO Brad Ottomeyer praised Petalfast and their new partnership.

"With a commitment to delivering exceptional value to their clients and a culture of professionalism and positivity, Petalfast seamlessly aligns with the foundation we have built here at Flow,” he said. "Flow Arizona will continue to provide cannabis brands seeking to scale with our top-notch white-label cultivation and manufacturing services.”

New Cannabis Partnerships At Benzinga’s April Event

If you are interested in learning more about new exciting partnerships in the cannabis space, come and join us at the upcoming Benzinga Cannabis Capital Conference which is returning to Florida, in a new venue in Hollywood, on April 16 and 17, 2024.

The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow. Renowned for its trendsetting abilities and influence on the future of cannabis, mark your calendars – this conference is the go-to event of the year for the cannabis world.

EXCLUSIVE: DEA-Licensed Cannabis Co. Maridose To Launch Series A Funding Round At Upcoming Benzinga Conference