In this episode of Trade To Black presented by Flowhub, Trulieve Cannabis Corp. (CSE: TRUL) (OTCQX: TCNNF) has unveiled a corporate structure that could provide the first real roadmap for U.S. cannabis operators seeking access to senior U.S. stock exchanges under the current federal framework. In Segment two, Anthony Coniglio, CEO of NewLake Capital Partners (OTCQX: NLCP), joins us to discuss capital market movement in the wake of uplisting news.
Trulieve made headlines after filing to list on the New York Stock Exchange, a move that sent cannabis multi-state operator stocks higher in pre-market trading. The company is restructuring its business by separating its adult-use operations into a distinct entity — using the Harvest Enterprises LLC shell from a prior acquisition — while creating a pure medical cannabis company eligible for a senior exchange listing under Schedule III.
With roughly 75 percent of Trulieve’s revenues coming from medical operations, CEO Kim Rivers is engineering a structure that positions the company to uplist before the upcoming DEA administrative law judge hearing, and that can just as easily be unwound should the regulatory landscape shift.
NewLake Capital Partners CEO Anthony Coniglio discusses the broader implications of the filing. Coniglio drew on his investment banking background to explain that stock exchanges operate like any other business, with salespeople actively cultivating relationships with potential listings — meaning conversations between major MSOs and the NYSE or Nasdaq have likely been years in the making. Coniglio emphasized that for a CEO with a federally legal majority of business and a window of opportunity, pursuing uplisting isn’t optional — it’s a fiduciary duty to shareholders.
The conversation explores DEA registrations and the growing pressure on cannabis operators to apply. Coniglio noted that Oklahoma has already moved to require a DEA registration for operators to remain in good standing with the state medical program, a development the group expects other states to replicate.
Approximately 50 percent of NewLake’s portfolio is pure medical, with another 48 percent dual-use under medical licenses — leaving less than two percent as adult-use only. Coniglio outlined the institutional investment thesis: NewLake currently trades at roughly a 14 percent implied cap rate compared to the six percent typical of conventional REITs, and even a partial compression of that spread would deliver significant stock price appreciation on top of the company’s existing dividend yield, a combination that resonates strongly with income-focused investors and financial advisors.
Looking ahead, the group discussed what a successful uplisting cycle could unlock for the broader industry. Catch the whole conversation when you tune in.
