[Asia Economy Reporter Hyunseok Yoo] Midas AI announced on the 27th that it has signed a Memorandum of Understanding (MOU) with BUDZDELI.INC, a Los Angeles (LA)-based cannabis product delivery specialist company, for the acquisition of the company.
Founded in 2001, BUDZDELI is a company providing cannabis product delivery services based in LA and LA County. BUDZDELI offers customer-tailored delivery services by shipping purchased products via its own online shopping mall and mobile app or providing fast pickup services similar to Baedal Minjok.
They have built a strong customer base by offering sales services that match customer preferences not only for their own products but also for various products from other companies. Midas AI plans to expand its sales channels online by acquiring BUDZDELI, which has secured a significant customer base, as well as offline sales through store acquisitions.
California is the world's largest cannabis market, with about 28 million adults aged 21 and over residing there. The company explained that this market size is more than twice that of the four states where cannabis was legalized last year in the U.S. (Arizona, New Jersey, Montana, North Dakota) combined.
A Midas AI official said, "LA is the largest cannabis market in California, with about 7 million adults aged 21 and over," adding, "BUDZDELI currently operates three small agency stores in the LA area."
He continued, "By acquiring a delivery specialist company, the cannabis business in the U.S. will have the entire value chain including manufacturing, sales, and online and offline distribution," and added, "We will maximize sales and profits through full-scale cannabis business expansion to enhance the company's future value."
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