Following a reverse takeover last year, major shareholders holding more than 1% of the overall Curaleaf Holdings, Inc. (CSE: CURA; OTCQX: CURLF) stock have been under a lock-up agreement.
The company recently asked shareholders to extend that lock-up, with the amended schedule officially approved today.
Under the newly approved terms, 15% of the locked shares will be released today. The remainder of those shares will then become available to sell on a staggered quarterly schedule, with 100% of the lock-up ending the last day of March 2021.
Discussing the approved new plan, Curaleaf Executive Chairman Boris Jordan issued this statement:
Jordan snapped up 100,000 shares earlier this month at an average price of $8.21, which is just under $0.50 higher than the current trading price.
Improving shareholder confidence has become a major focus for cannabis companies in the second half of 2019 after a major downward spiral of stock prices following lacklustre Q2 earnings reports across the board.
Curaleaf is trading at $6.01 this morning, after peaking in the $11 range back in the spring before the entire cannabis industry saw a major stock price decline that is still ongoing.
While the industry prepares for a new wave of legalization ballot initiatives and state-level bills to increase access in various states, companies like Curaleaf are currently expanding their product options in states that have already legalized cannabis.
Curaleaf is now the first licensed producer to legally sell dried flower products in the state of New York, reaching a deal with the Department of Health to offer vapable flower pods to customers. All other dried flower products remain banned under the state’s current medical marijuana program.
In other news, Curaleaf additionally released a new line of mint-flavoured cannabis tablets for Florida’s medical patient customer base. Those slow release tablets dissolve on the tongue and provide another option for patients who don’t want to smoke or vape cannabis.