IDY DISTRIBUTORS, ONE OF COLORADO'S FIRST SOCIAL EQUITY BUSINESSES SET TO CLOSE ACQUISITION OF ASSETS OF LOWSPARK, INC
DENVER, June 28, 2022
DENVER, June 28, 2022 /PRNewswire/ -- InDyspensable Wholesale Distributors Corp., (IDY Distributors or the "Company"), announced today that they have entered into an agreement to acquire all of the current assets of Lowspark, Inc. "Lowspark" located in Denver, CO. The planned transaction includes the Lowspark fleet and warehousing equipment as well as any distribution contract services for 2022. This transaction solidifies IDY Distributors as the market leader in distribution and logistics services in Colorado.
The considerations of the planned acquisition have been undisclosed and are set to close in the third quarter of 2022 pending Marijuana Enforcement Division and local licensing approvals. Lowspark's current licensing is not a part of the listed assets as HB22-1135 (Marijuana transporter license transfer) is currently not in effect until late November 2022.
"We are excited about the opportunity to expand our services in Colorado by adding the Lowspark assets to the IDY business. This helps us ensure that every product is delivered to every area in Colorado in a timely manner and at a fair cost to our current customers and new customers transitioning over from Lowspark," said Joshua Ortivez, IDY Distributors VP of operations.
The Acquisition will allow IDY to expand service areas all across Colorado and increase staffing by 80%. Dyspense Technologies, Inc (Dyspense) will be the operating system that will manage more than 2500 deliveries and over $5.1 million in payment exchanges moving between licensed businesses on a weekly basis.
About IDY Distributors
IDY Distributors is building supply chain efficiencies for over 1061 retailers across Colorado. Working with Colorado leading manufacturers has established a more streamlined delivery process for vendors and had helped retailers with order management and wholesale order lead times.
The Company is also one of Colorado's first social equity-approved businesses that have successfully delivered over 700,000 orders valued at $807 million, annually since 2019. After the close of the acquisition, the Company plans to start to establish a centralized distribution hub that handles long terms storage, order fulfillment, and just-in-time order management for its over 475 partnered manufacturers and growers.
Lowspark is one of Colorado's first-generation transportation companies to be approved back in 2017. At the time Lowspark worked directly with over 250 brands and over 600 retailers in Colorado becoming the largest distributor in Colorado. Today Lowspark services retailers across Colorado and has established key relationships with manufacturers and grows.
SOURCE IDY Distributors Corp