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Cannabis

Kiva Sales & Service and Petalfast Merge

The cannabis distributors aim to expand reach beyond California, Arizona markets.

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April 13, 2026

Kiva Sales & Service (KSS) has merged with Petalfast, uniting two major cannabis distributors and expanding reach for supplier partners across California, Arizona and beyond.

The transaction expands commercial capacity by preserving and enhancing both teams' sales organizations, ensuring continuity for all partners. Suppliers and buyers will maintain their existing relationships without disruption while enjoying expanded capabilities and services. Long-term, this structure provides the foundation for two dedicated selling divisions organized by category segmentation, allowing each team to develop deeper expertise and sharper market positioning.

"By combining forces with Petalfast, we aren't just growing our footprint; we are building a more resilient, technology-driven engine that ensures the best cannabis products have a sustainable, professional path to consumers," said Scott Palmer, CEO and co-founder of KSS. "This strategic alignment will enhance service for our partners, combining best-in-class digital capabilities and talent to meet every need and deliver growth."

The resulting organization will ensure every brand has a reliable, efficient path to the shelf. Central to the combined organization is the launch of KSS Lite, a streamlined, "no-frills" distribution tier engineered for brands that prefer to lead their own sales efforts. While KSS continues to offer its "Full Partnership" model, KSS Lite provides the logistical precision and retail access of the KSS network without the full-service overhead.

KSS' digital marketplace, KSS Live, will also expand capabilities and improve service on behalf of all partners. KSS Live boasts a 60% buyer adoption rate, making it one of the most powerful ordering platforms in the industry. For self-managed brands, the marketplace delivers visibility and buyer access typically reserved for those with large field sales teams. For full-service partners, it layers cutting-edge technology over human sales execution.

Arun Kurichety, Petalfast co-founder and CEO, will serve as acting CEO of the combined organization following completion of the transaction.

"We are scaling with intention, ensuring that our increased market presence and keen focus on customer service translates directly into superior outcomes for the brands we represent," Kurichety said. "This transaction accelerates our path to becoming the country's top cannabis sales and distribution company."

Concurrent with the transition, Scott Palmer will lead the combined board, which will evaluate the long-term leadership needs required to build on the companies' joint success in California and Arizona, and future expansion into promising markets like New York and New Jersey.

KEYWORDS: distribution merger and acquisition

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