Glass House Brands has applied to list its subordinate voting shares on the New York Stock Exchange, the company announced Wednesday.
The move follows a deconsolidation transaction designed to separate Glass House’s dual-use cannabis business from its medical cannabis business, a restructuring similar to steps taken by other marijuana companies seeking access to major U.S. exchanges.
As part of the transaction, Glass House and its indirect wholly owned subsidiary, GHB Usub, LLC, entered into several agreements that deconsolidate Glass House Retail, LLC from the company. Glass House Retail now holds the company’s former dual-use cannabis business, except for certain assets that remain subject to regulatory approval and will transfer automatically once approval is received.
Glass House’s subsidiary now holds non-voting and non-participating units in Glass House Retail. The voting units are held by a third-party investor. Those non-voting units may only be converted into voting units after the NYSE allows companies to list while consolidating financial statements from businesses that cultivate, distribute or process marijuana for non-medical use in the United States.
The announcement comes as major cannabis operators increasingly look for pathways to uplist to U.S. exchanges while federal restrictions continue to complicate listings for companies tied to adult-use marijuana activity.
Glass House said additional information about the deconsolidation transaction is available through its filings on SEDAR+.
Glass House Brands is a vertically integrated cannabis company focused on the California market, with brands including Glass House Farms, PLUS Products, Allswell and Mama Sue Wellness.
