The Valens Company Inc. (TSX: VLNS) (Nasdaq: VLNS) has partnered with a consumer packaged goods distributor to help with logistics and increase its reach in key markets.
On Wednesday, the cannabis manufacturer announced the partnership with Coldhaus Distribution which will assist with integrated logistics solutions for Valens across Ontario, Alberta and British Columbia.
Under the two-year partnership, Coldhouse will be responsible for store-level representation, brand advocacy, distribution route coverage and retail staff education with the aim of driving brand visibility and commercial retail presence.
Valens says Coldhaus’ direct-to-store management infrastructure will significantly increase the frequency, reach and touchpoints of its brands as it continues to penetrate key retail relationships.
Company stock went down on Tuesday by 2.25 per cent to $0.87 on the Toronto Securities Exchange.
Valens CEO Tyler Robson said Coldhaus has proven success in building large iconic brands in the beverage industry through robust distribution and he believes the partnership will accelerate growth in key markets and create long-term meaningful relationships with retailers and consumers.
“This partnership is a positive step forward for our revenue growth objectives with little to no additional overhead as we are able utilize the expert sales and logistics teams at Coldhaus that will serve as an extension to the Valens team,” he added.
“We are thrilled to partner with Coldhaus to expand our reach into the retail ecosystem, as they truly understand the relationship between brand owners and retailers.”
Coldhaus CEO David Millen said the company has maintained its independence as a private distributor positioned to lead and to seize generation-defining opportunities like this partnership.
“Today marks our first foray into the cannabis category, we are proud to select Valens as our exclusive partner to help bring their leading portfolio of products to market given their manufacturing capabilities and product innovation,” Millen said.
Coldhaus is a national consumer packaged goods distributor and fulfillment company that offers fulfillment, full service, national distribution, forecasting, analytics and reporting, financial services and account management.