Cannabis company Curaleaf (CURA.TO) has launched a 1-for-3 reverse stock split of its shares ahead of its planned U.S. stock exchange uplisting, the company said Tuesday.
The reverse stock split will become effective about June 5 and ensures that the company meets the share price level criteria established by U.S. exchanges.
The reverse stock split also allows the company's shares to trade above limits set by certain retail brokerage firms, and to broaden institutional investor participation, Curaleaf said.
Following the stock split, Curaleaf's issued and outstanding subordinate voting shares will be reduced to 232,909,336 from 698,728,008 shares.
"Rescheduling of medical cannabis has created a potential pathway toward uplisting to a major U.S. exchange, and we're now more prepared than ever," CEO Boris Jordan said.