Key Takeaways CURLF plans to domesticate in Delaware, aiming to better align governance with its U.S.-focused operations.The move may help regulatory alignment and capital market access without affecting CURLF's daily operations.Ex-U.S. sales jumped 63% YoY in the first nine months of 2025, partially offsetting U.S. pricing pressure.Curaleaf Holdings (CURLF) recently announced plans to domesticate its corporate structure from Canada to the United States.CURLF’s Delaware Domestication: A Strategic Reposition ...

Core Insights - The potential rescheduling of cannabis from a Schedule I to a lower classification could lead to significant tax savings for marijuana producers [1][7] - Recent optimism in the cannabis industry is driven by renewed hopes for regulatory changes, particularly under President Trump's administration [2][5] - Rescheduling cannabis does not equate to legalization or decriminalization, and while it may facilitate research, it does not guarantee imminent legal changes [4][6] Industry Overview - Cannabis is currently classified as a Schedule I substance, which includes drugs with no accepted medical use and a high potential for abuse [4] - President Trump is considering rescheduling cannabis to Schedule III, which would align it with substances like testosterone and ketamine [5] - The process of rescheduling can be lengthy, as seen with previous attempts under former President Biden [5] Company Impact - The most immediate benefit of rescheduling could be a reduction in tax liabilities for cannabis companies, particularly through the elimination of section 280E, which restricts tax deductions for cannabis businesses [7][8] - Curaleaf Holdings estimates potential annual savings of approximately $150 million if rescheduling occurs, highlighting the financial impact on multi-state operators [9] - Despite being a leading cannabis operator, Curaleaf reported a revenue decline of 8% year-over-year, with a net loss of $114 million in the first half of the year [10] Stock Performance - Curaleaf's shares increased to over $3, marking the highest level since the previous year, driven by positive news regarding potential rescheduling [11] - Other cannabis stocks, such as Tilray Brands, also experienced significant gains, with Tilray's stock rising by over 58% in a short period [12] - However, rescheduling will not allow companies like Tilray to transport products into the U.S., indicating that excitement around legalization may be premature [13]