Vejii Closes $6.25M Deal for B2B Plant-Based Wholesaler VEDGEco

Digital vegan marketplace Vejii is acquiring B2B plant-based wholesaler VEDGEco for $6.25 million in a share purchase agreement, a move that will help Vejii grow its distribution network, Vegconomist reported.

Among the first digital wholesale platforms committed to plant-based products, VEDGEco strives to reach small businesses that want to sell the products but can’t handle the big minimum order requirements that many distributors demand, according to the report.

The deal gives Vejii 100% of VEDGEco’s shares. It’s anticipated that VEDGEco’s team will stay on following the closing of the transaction, the report stated.

See also: Plant-Based Platform Aims to Be ‘The New Way People Shop’

With VEDGEco, Vejii’s distribution network will include facilities in Hawaii, Northern California and Georgia. At the same time, VEDGEco will get access to Vejii’s distribution centers, according to the report.

Based in Canada, Vejii expanded into the U.S. in November 2020 and went public on the Canadian Securities Exchange at the end of last year, the report stated.

In February, Vejii launched Vejii Express, a service that guarantees shipping in 48 hours, according to the report. The company also entered into an agreement with United Natural Foods (UNFI), the largest publicly-traded grocery distributor in the U.S. and Canada, in August.

Read also: Private Label Brands Take on Plant-Based Category

“We heard consistently from the brands that we serve that they were seeking to make the leap from eCommerce to grocery and foodservice distribution,” Vejii CEO Kory Zelickson said in the report. “This could mean shipping samples, managing broker relationships or gaining access to those restaurants and grocers not served by the larger wholesalers. We already work with our brand partners on a business-to-consumer strategy through our marketplace, but now we can also help our brand partners get access to distribution in local restaurants and grocers, expanding Vejii’s capabilities from just B2C to also include B2B and food service.”

See also: UK AgTech Firms Use AI, New Technology to Reduce Labor Costs, Improve Food Production