urban-gro, once among the more prominent names in CEA facility design and systems integration, completed a merger with Flash Sports and Media, Inc. on February 17, 2026, a deal that moves the Nasdaq-listed company away from controlled environment agriculture and into live events, branded experiences, and digital media.
The company had been facing significant financial pressure heading into the transaction. Revenue fell 43% in 2024, dropping from roughly $70 million to $40 million, while gross profit declined from $9.9 million to $2.9 million. Stockholders' equity turned negative. The company also defaulted on a $10 million credit line and, in September 2025, settled a $1.49 million lawsuit from lender Gemini Finance by issuing common stock rather than cash, after Gemini had already foreclosed on assets of urban-gro's construction subsidiary at auction.
As recently as August 14, 2025, however, the company's public messaging pointed in a different direction. In a press release announcing the planned sale of its architectural design subsidiary 2WR of Georgia, a deal valued at approximately $2 million, CEO and co-founder Bradley Nattrass framed the divestiture as a return to roots. "As we streamline the Company to again focus on the Controlled Environment Agriculture sector," Nattrass said at the time, "the proposed sale of this entity reflects our continued focus on streamlining operations and aligning resources with our strategic growth priorities."
Two months later, on October 14, 2025, urban-gro announced the merger with Flash Sports and Media.
A source familiar with the company, who asked not to be named, said urban-gro had been shifting away from CEA facility builds toward more general architectural and commercial work for some time before the Flash announcement was made public, a trajectory at odds with Nattrass's August statement.
The Nasdaq situation added further pressure throughout the period. The company had failed to file its 2024 annual report and its Q1 and Q2 2025 quarterly reports on time, triggering a non-compliance notice under Nasdaq Listing Rule 5250(c)(1). Stockholders' equity had also fallen below the exchange's $2.5 million minimum threshold. In February 2026, the company implemented a 1-for-25 reverse stock split to address a separate minimum bid price deficiency. Nasdaq confirmed restored compliance in early March 2026, placing the company under a monitoring period.
Attempts by MMJDaily to reach urban-gro for either an update on a small outstanding invoice, or to comment on the matter, were unsuccessful. Over the course of reporting this article, more than 20 individuals listed as current or recent employees were contacted by email. None responded. Calls to the company's previously active office numbers also went unanswered. Nattrass's LinkedIn profile lists him as a strategic advisor at Faex Technologies, in addition to his role at urban-gro.
What the merger means for urban-gro's remaining CEA activity, if any, is unclear. Whether the CEA chapter closes here entirely remains an unanswered question.
