Acquisition is critical milestone for LeafLink
as it expands financial solutions for cannabis operators
NEW
YORK, July 24, 2024 /PRNewswire/ -- LeafLink,
the nation's leading cannabis wholesale platform, announced the
acquisition of the assets of Dama Financial's banking division, one
of the industry's largest cannabis banking platforms on the market.
This acquisition lays the groundwork for a future integrated
banking solution, signifying a monumental step towards eliminating
one of the most persistent hurdles facing cannabis operators: the
lack of access to secure, reliable, and compliant financial
services.
The LeafLink platform currently offers a suite of services for
cannabis brands and retailers, including integrated tools like
order and category management, payments, data and analytics and
advertising. As a result of strong performance, organic growth
opportunities, and focused mission to be the B2B operating system
for the regulated cannabis industry, LeafLink recently upsized its
Series D fundraising round from $100
million to $125 million.
Investors in the Series D financing include CPMG, Nosara, L2
Ventures, Thrive Capital, and Tiger Global.
"LeafLink provides customers with integrated tech solutions that
make it easier to run their business, and over the last year, we've
released several products that will significantly improve our
customers' operating performance and profitability," said
Artie Minson, CEO of LeafLink.
"After witnessing firsthand the negative impact the federal
prohibition has had on operators' access to traditional banks, we
are thrilled to add banking to LeafLink's product suite. Very few
companies and people have the expertise that Dama Financial offers
to the cannabis banking space. By joining forces and incorporating
Dama's banking product into our existing robust suite of services,
we will be well-positioned to usher in a new era of efficiency and
help address some of the biggest challenges cannabis operators
face."
"The cannabis industry is in need of integrated solutions at
scale and this deal is a great example of the benefits it will
bring to our industry," said Patrick O'Boyle CEO of GrowFlow
(formerly Dama Financial). "LeafLink is in a strong position to
take our established banking solution and build on it even further,
offering the industry a unified financial services experience. The
product lines not included in this acquisition will rebrand to
GrowFlow, remaining focused on enhancing and growing our retail and
wholesale product lines to service the cannabis industry."
The ongoing federal prohibition has limited cannabis operators'
access to traditional banks, leaving many businesses in a difficult
position with vital services often withdrawn without notice,
minimal feature availability, cumbersome processes, or expensive
operating costs riddled with hidden fees. Credit unions and small
state-chartered banks servicing the remainder of the industry have
similar limitations for cannabis operators.
With over $3 billion in processed
transactions, Dama Financial is one of the largest cannabis-focused
banking solutions in the industry and serves more than half of the
cannabis-legal states in the United
States. It has earned its reputation as a leader in the
space by working closely with leading U.S. sponsor banks to develop
bespoke financial solutions for cash-intensive industries,
particularly cannabis. With the expertise of banking and payments
industry veterans, Dama Financial has been at the forefront of
providing access to FDIC-insured banking partners that include
everything from checking accounts and payment processing, to cash
pickup services and on-site smart safes, all while ensuring
transparency and compliance with current banking and cannabis
regulations.
Contact: Press@leaflink.com
About LeafLink:
Founded in 2016, LeafLink is the wholesale cannabis industry's
leading B2B technology platform helping thousands of customers in
30 markets manage their business. LeafLink believes that better
access to modern financial services will propel the industry
towards sustainable growth, and in 2024, was awarded Green Market
Report's Best Cannabis Fintech.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/leaflink-acquires-leading-cannabis-banking-platform-dama-financial-to-offer-industry-access-to-secure-compliant--reliable-banking-solutions-302205522.html
SOURCE LeafLink