Arizona Tribune - SETO Holdings Acquires Preferred Brands USA to Expand National Sales and Brand Management Capabilities

WASHINGTON, D.C. / ACCESS Newswire / March 18, 2026 / Seto Holdings, Inc , a publicly traded (OTCID:SETO), vertically integrated total beverage platform, operating at the intersection of consumer packaged goods, sales, marketing, and technology, today announced that it has entered into an agreement to acquire a controlling interest in Preferred Brands USA, Inc ( "Preferred Brands"), a premier, beverage sales and brand management agency focused on the spirits and functional beverage sectors. The acquisition adds a dedicated sales and brand management platform to SETO's operations, supporting engagement with national accounts, regional markets, and distribution partners across the United States, which complements SETO's existing import and wholesale distribution capabilities through its wholly owned subsidiary, CapCity Beverage adding a sales execution and brand management layer to the platform. Together, these capabilities support a more integrated approach to market development, including coordinated sales, distribution management, merchandising and brand representation across key U.S. markets.

Founded in 2002 by spirits industry veteran Kathleen "Cile" Moreno, Preferred Brands has a 20+ year track record of building breakout spirits brands. Under her leadership, the firm has been instrumental in scaling national brands such as Four Roses Bourbon and others since inception.. With nearly 40 years of industry experience and deep commercial relationships across key distributor networks and retail chains-including RNDC, Publix, Total Wine, ABC Fine Wine & Spirits, Costco, and more-Kathleen has earned a reputation as a trusted operator with executional precision and long-term brand-building expertise.

"Kathleen and her team understand the difference between placement and performance," said Janon Costley, Chairman & CEO of SETO Holdings. "Preferred Brands is an elite boutique retail and distributor-facing partner, and their involvement gives SETO the commercialization scale, distributor confidence and retail footprint to activate our portfolio-starting in Florida, then scaling into key regional and national markets, both on and off-premise."

Along with managing its existing client portfolio which includes, Big Machine Distillery ( Pickers Vodka & Borchetta Bourbon), Apogee 21 (Noble Oak Bourbon, Monkey in Paradise Vodka, Ronald Isley Brandy), After Hours RTD and others, Preferred Brands will take the lead on sales strategy execution and distributor management for SETO's core brands, including:

• Shinju Japanese Whisky

• A growing portfolio of Company owned and imported premium spirits, RTD's and functional beverage brands

"The partnership with SETO unlocks new opportunities for growth and creativity," said Kathleen Moreno, who will remain CEO of Preferred Brands. "SETO is bringing a new level of vision and innovation to the industry and we intend to build a platform for brands that are culturally relevant, retail ready, and strategically supported at every level-from supply chain to shelf. Preferred Has built one of the most respected independent spirits sales organizations in the Southeast," said SETO CEO, Janon Costley. "This relationship provides us immediate access to a seasoned team with proven retail relationships, trusted distributor rapport and the execution capabilities to scale our brands where it counts most, on the shelf and behind the bar."

In addition to its stronghold in traditional off-premise, on-premise and big-box retail channels, Preferred Brands brings deep expertise across C-stores and grocery chains, which is a strategic advantage as SETO expands its portfolio into the RTD (Ready-to-Drink), functional beverage, and low-ABV spirits segments. These channels have the potential to serve as critical growth engines for new product formats and wellness-forward innovations within SETO's ecosystem.

"The acquisition of Preferred providesmore than just sales velocity, it also gives us sales intelligence," stated, SETO CEO, Janon Costley. "Preferred's executional depth and channel fluency-especially in chain retail, grocery and convenience-position us to accelerate brand adoption across multiple product verticals, from premium spirits to purpose-driven RTDs and rapidly growing low abv and functional beverage categories ."

"C-stores and grocery are where the next wave of category disruption is happening," said Kathleen, who will remain CEO of Preferred Brands. "We know how to win in those spaces, and with SETO's brand pipeline and strategic vision, we're developing a playbook that transcends conventional spirits sales."

The acquisition was executed utilizing a combination of equity and committed working capital, with additional growth investment anticipated following the execution of key milestones and capital availability. For further details regarding this transaction and additional Company information please contact, [email protected] .

About Preferred Brands

Founded in 2002, Preferred Brands is a Florida-based spirits sales and brand development firm known for its execution excellence and long-standing relationships with distributors and top retail chains. The company specializes in building premium and challenger brands across multiple markets and categories.

About SETO Holdings, Inc.

A Gateway for Global Spirits, Innovation & Shareholder Value

SETO Holdings, Inc. is a publicly traded (OTCID: SETO) premium total beverage platform company focused on building and scaling culturally relevant, high-growth brands across spirits, ready-to-drink, and functional beverage categories, redefining the future of premium beverages through vertical integration and digital innovation. Guided by its mission to "Own the Spirit", SETO is developing a vertically integrated ecosystem spanning brand ownership, importation, distribution, experiential marketing, and digital engagement, supported by capital markets to create a unified engine for scalable brand growth for undervalued companies and founders.

By aligning brand ownership, infrastructure, and go-to-market execution, SETO intends to deliver a capital-efficient path to margin capture, consumer loyalty and long-term value creation for consumers, founders and shareholders alike .

Safe Harbor Statement: Statements in this news release may be "forward-looking statements." Forward-looking statements include, but are not limited to, statements that express our intentions, beliefs, expectations, strategies, predictions, or any other statements relating to our future activities or other future events or conditions. These statements are based on current expectations, estimates and projections about our business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and are likely to, differ materially from what is expressed or forecasted in forward-looking statements due to numerous factors. Any forward-looking statements speak only as of the date of this news release and the company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this news release.

Media & Sales Inquiries
www.preferredbrandsusa.com
www.capcitybeverage.com

Investor Relations
[email protected]
www.seto-holdings.com

Social:

X: @setoholdingsinc
IG : @setoholdingsinc

SOURCE: SETO Holdings, Inc.

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N.Mitchell--AT