Cannabis multistate operator Green Thumb Industries Inc.’s board authorized a $50 million share-repurchase program over the next 12 months.
The Chicago-based MSO is authorized to repurchase up to 10,573,860 shares.
Under its previous repurchase program, which expired Sept. 10, the company repurchased 6.5 million shares for $73.3 million.
“This buyback program provides greater flexibility to use our cash reserves to repurchase more shares should the opportunity present itself,” Green Thumb founder, Chairman and CEO Ben Kovler said in a statement to investors.
The repurchase program begins Sept. 23 and expires Sept. 22, 2025.
Green Thumb isn’t obligated to purchase any shares if management determines it has a better use for its cash reserves.
“In light of recent refinancing, (we) remain open to strategic M&A, capital expenditures into the business and unique investment opportunities,” Kovler said.
Green Thumb recently closed a $150 million, five-year syndicated credit facility led by Valley National Bank.
The oversubscribed, non-brokered offering is the first bank-only financing of its kind in the regulated U.S. marijuana industry, according to the company.
GTI reported annual revenue of $1.05 billion and a gross profit of $528.05 million in February.
The company also said it’s still profitable despite delays in federal reform, such as the proposed rescheduling of marijuana from Schedule 1 to Schedule 3 of the Controlled Substances Act.
H/T: mjbizdaily.com
