Thrive Capital, Tiger Global-Backed Cannabis Wholesale Platform LeafLink Buys Leaf Trade: Co. Will Process ~$9B In Annual GMV

LeafLink, a cannabis wholesale platform, has announced its acquisition of Leaf Trade, a specialized marketplace catering to multi-state operators (MSOs) and enterprise cannabis businesses. The combined entity is poised to process nearly $9 billion in annual gross merchandise value (GMV). The price tag or conditions of the transaction were not disclosed.

Streamlining Cannabis Operations

This strategic acquisition aligns with LeafLink's mission to optimize cannabis operations through advanced technology and financial solutions. “Leaf Trade has been the clear industry leader serving the MSO and enterprise segment, and we are thrilled to welcome the Leaf Trade team to LeafLink. Our mission is to help the regulated cannabis industry reach its greatest potential by streamlining operational processes and improving financial performance,” said LeafLink's president and CEO, Artie Minson.

The merger combines Leaf Trade's expertise in the MSO sector with LeafLink's tools, offering solutions tailored to both small-scale businesses and large enterprises. While the two platforms will initially operate independently, plans are in place for a comprehensive integration.

Expanding The Toolbox For Cannabis Businesses

The acquisition adds considerable depth to LeafLink's suite of offerings, which now includes tools for B2B marketplace transactions, business banking and advertising, as well as fintech solutions like Payment on Sell-Through. This innovative tool addresses the pervasive issue of delinquent payments in the cannabis sector, providing a financial lifeline to businesses struggling with cash flow.

Leaf Trade’s CEO, Brian Ward, highlighted the benefits for customers. "This acquisition is an incredible win for our team, our customers, and the advancement of the cannabis industry. With LeafLink's acquisition, we're unifying our strengths to create innovative solutions that drive growth and value across the supply chain."

Following this transaction, Sweed, a logistics partner under Leaf Trade's High Tech Holdings, will remain independent. This separation allows Sweed to capitalize on its momentum and continue building smarter tools for operational efficiency.

Financial Momentum And Industry Innovations

LeafLink has experienced remarkable growth, driven by its expanding product portfolio and strategic acquisitions like Dama Financial, which bolsters its cannabis banking capabilities. Its Series D fundraising round, recently upsized from $100 million to $125 million, attracted high-profile investors such as Tiger Global Management, a global leader in tech and growth equity, and Thrive Capital, renowned for backing companies like Stripe and Instagram.

As the cannabis industry faces increasing regulatory and financial pressures, LeafLink's unified platform aims to address critical pain points, creating a more seamless and reliable infrastructure for operators. By leveraging synergies from the Leaf Trade acquisition, the company is positioning itself as the definitive B2B operating system for the cannabis industry.

Cover image by Benzinga