This Cannabis Giant Prepares For Potential U.S. Uplisting With Reverse Stock Split

Curaleaf Holdings, Inc. (TSX: CURA) (OTCQX: CURLF) announced on Tuesday a 1-for-3 reverse stock split.

What Happened

The move, green-lighted by the company’s board of directors, would reduce outstanding shares from about 698.7 million to 232.9 million, the company said in a press release.

Why It Matters

The strategic decision seeks to help the company qualify for a potential uplisting to a major U.S. stock exchange.

The company opted for a reverse stock split to increase the per-share trading price and attract more institutional investors.

The company’s CEO, Boris Jordan, said Curaleaf is preparing for possible U.S. exchange opportunities tied to ongoing federal cannabis rescheduling developments.

“With a hearing on the full rescheduling of cannabis expected to end in July, and U.S. Treasury guidance supporting the normalization of the industry forthcoming, we believe there will soon be greater clarity around the regulatory and tax framework for our industry,” Jordan said. “These developments should improve access to capital, broaden the investor base, and further legitimize cannabis in the public markets. We are preparing today to move quickly and decisively when that opportunity comes into view.”

What’s Next

The reverse stock split is expected to take effect around Friday, June 5.

The company’s shares will continue trading on the TSX under the ticker “CURA,” Curaleaf said.

The Background

Curaleaf launched an $83 million share repurchase program in April. That move allowed the company to repurchase up to about 5% of its public float. Curaleaf’s management described the buyback deal as a way to return value to shareholders.

In February, the company refinanced debt via a $500 million private placement of senior secured notes due 2029, while redeeming older 2026 notes. The company said the financing is planned to support global growth initiatives.

That said, Curaleaf recently wrapped up the acquisition of the remaining 45% stake in Germany’s Four 20 Pharma, making it a wholly owned subsidiary. That deal bolstered the company’s European medical cannabis supply chain while expanding its international footprint.

The company reported its first quarter fiscal 2026 net revenue amounted to $324.2 million and net income totaled $70.1 million.

CURLF Price Action

Curaleaf’s shares traded 3.01% lower at $3.22 per share at the time of writing on Tuesday.