💸 The Tape

New York just cleaned up one of the more awkward zoning missteps in its young cannabis program—and in the process, gave more than 150 licensed dispensaries a second lease on life.

On Wednesday, Gov. Kathy Hochul signed legislation revising how distances are measured between cannabis retailers and sensitive locations such as schools and houses of worship. The bills, sponsored by Stefani Zinerman and Liz Krueger, codify what regulators had originally intended: a “door-to-door” measurement standard.

The backstory is a classic case of regulatory geometry gone sideways.

When New York first rolled out its adult-use cannabis framework, the statute restricted dispensaries from operating within 500 feet of a school or 200 feet of a house of worship—measured from property line to property line. In practice, however, regulators at the Office of Cannabis Management (OCM) were often measuring from the center of one entrance to the center of another.

That discrepancy didn’t surface immediately. It was only later—after licenses had been granted and businesses had signed leases, built out stores, and opened their doors—that regulators realized dozens of approvals were technically out of compliance under a strict property-line interpretation.

The result: more than 150 retailers were told they might need to close or relocate.

For operators who had already invested heavily in build-outs and local hiring, the situation was existential. Litigation followed. Industry pressure mounted. And the governor publicly committed to fixing the issue legislatively rather than forcing compliant-in-good-faith businesses to pay for a regulatory measuring tape error.

The newly enacted law does two things.

First, it formally adopts the “door-to-door” standard. Distance must now be measured in straight lines from “the center of the nearest entrance” of the dispensary to “the center of the nearest entrance” of a school or house of worship. If a building is set back from the street, the walkway or stairs leading to the entrance are deemed the relevant measuring point.

Second—and perhaps more importantly—it grandfather’s in existing licensees and certain pending applicants who were approved under the prior interpretation. In plain English: if you were licensed under the door-to-door method before July 28, 2025, you’re protected.

There are still guardrails. Dispensaries cannot be located on the same street and within 500 feet of a school, nor on the same street and within 200 feet of a house of worship. But the methodology is now explicit, consistent, and—crucially—predictable.

From a market stability perspective, this is less about expanding cannabis access and more about reinforcing regulatory credibility. Investors and operators can tolerate strict rules. What they struggle with is shifting interpretations after capital has already been deployed.

New York’s adult-use rollout has already faced licensing delays, supply bottlenecks, and equity program challenges. A wave of forced relocations would have further destabilized a market that is still maturing.

Instead, Albany chose surgical correction over punitive enforcement.

For the 150-plus retailers caught in zoning limbo, that means continuity of operations. For the broader market, it signals that when regulatory missteps occur, there is at least a pathway to legislative repair.

In a sector where uncertainty is often the norm, sometimes clarity—measured door to door—is a meaningful win.

Source: Marijuana Moment

📈 Dog Walkers

$PLNH ( ▲ 2.85% ) Right-sizes Business

Planet 13 Holdings has officially closed the chapter on California.

The company announced that it has completed the previously disclosed divestiture of its Orange County retail and distribution licenses and finalized the sale of the real estate tied to its Coalinga cultivation facility. The transfer of the associated cultivation license is now underway, marking what management describes as the substantial completion of its planned exit from the state.

For Planet 13, this was not a reactive move—it was a stated strategic priority for the 2025–2026 period. And by all accounts, the company has executed on that objective with discipline.

“This milestone reflects our disciplined execution against a clear strategic objective,” said Co-CEO Bob Groesbeck, emphasizing that the California wind-down was deliberate and methodical rather than opportunistic.

From a capital allocation standpoint, the rationale is straightforward. California represented a relatively small slice of consolidated revenue and, more importantly, was cash-flow negative. In an environment where margin discipline and balance sheet strength are increasingly prized by investors, trimming underperforming operations can be as accretive as opening new stores.

With retail and distribution now closed and cultivation in the final transfer stage, Planet 13 has meaningfully simplified its operating footprint. The exit reduces operational complexity, overhead, and management bandwidth tied up in a challenging and highly competitive market.

The capital and attention freed up from California are expected to be redirected toward the company’s highest-return markets—particularly Nevada and Florida. Both states represent core pillars of Planet 13’s long-term strategy, with established brand equity in Nevada and significant growth runway in Florida as that market continues to evolve.

Strategically, this move signals a broader shift underway across multi-state operators: fewer markets, deeper focus, stronger unit economics. Rather than chasing national footprint headlines, companies are increasingly prioritizing return on invested capital and sustainable cash flow.

Planet 13 now enters 2026 with a leaner structure, enhanced liquidity profile, and a clearer geographic concentration. Whether that sharper focus translates into margin expansion and growth acceleration in its core markets will be the next chapter to watch.

For now, the message is simple: California is off the books, and Planet 13 is doubling down where it believes the returns are most compelling.Tilray Brands is quietly expanding its European pharmaceutical footprint—and this time, the move runs straight through the United Kingdom.

$TLRY ( ▼ 1.71% ) Executes Major EU Deal

Tilray Pharma, the pharmaceutical division of Tilray Brands, Inc. (Nasdaq: TLRY; TSX: TLRY), announced that its German-based distribution arm, CC Pharma, has entered into a strategic agreement with Smartway Pharmaceuticals, a leading UK distribution and supply chain services group. The objective: broaden pharmaceutical access across the UK through enhanced parallel import and specialist medicine distribution.

At its core, this is a supply chain story—but an important one.

Under the agreement, CC Pharma will leverage its European procurement capabilities and GMP-compliant infrastructure, while Smartway deploys its established UK-wide distribution network spanning pharmacies, hospitals, and private healthcare providers. The partnership is designed to strengthen reliability of supply, expand product availability, and streamline cross-border pharmaceutical sourcing into the UK.

The UK parallel import and specialist distribution segment alone is estimated at nearly £1 billion. For Tilray, this agreement positions its European infrastructure to participate meaningfully in that market—without having to build a UK platform from scratch.

Rajnish Ohri, President of International at Tilray, framed the move as a logical extension of the company’s broader European strategy. The UK remains a priority market within Tilray’s international medical roadmap, and embedding CC Pharma within established healthcare distribution channels enhances both product access and long-term optionality. Notably, the agreement is also expected to support eventual integration of Tilray’s own medicinal cannabis products into UK healthcare pathways.

This isn’t a brand-new relationship. CC Pharma and Smartway have worked together since 2009, building a foundation of cross-border collaboration and regulatory execution. What changes now is scale and strategic intent. The new agreement formalizes and expands that cooperation at a time when healthcare systems across Europe are prioritizing continuity of supply and diversification of sourcing.

For Smartway, the alignment reinforces its position as a regulated, compliance-first distribution partner. For CC Pharma—already one of Germany’s leading pharmaceutical distributors serving pharmacies nationwide—the UK expansion represents a natural extension of its cross-border capabilities.

From a capital allocation perspective, the move is consistent with Tilray’s broader strategy: build scalable, partnership-led platforms in regulated international markets. Rather than overextending into fragmented consumer cannabis markets, Tilray has increasingly emphasized pharmaceutical-grade distribution, regulatory expertise, and established healthcare channels.

This approach carries an additional strategic benefit. By strengthening its position inside formal healthcare systems, Tilray deepens institutional relationships that could become increasingly valuable as regulatory frameworks evolve—particularly in markets like the UK where medical cannabis access continues to mature.

For now, the agreement focuses on parallel import and specialist medicines. But both companies have signaled openness to expanding collaboration over time. In practical terms, that could mean broader product categories, deeper integration, or support for additional licensing pathways.

In a European medical market defined by regulatory nuance and supply chain complexity, execution matters. Tilray’s latest move suggests it is betting on infrastructure, partnerships, and compliance as durable competitive advantages.

The headline may read as a distribution agreement. Strategically, it looks more like another brick in Tilray’s long-term European medical platform.

🗞️ The News

📺 YouTube

The Media Narrative Turning Against Marijuana | TTB Powered by Flowhub

What we will cover:

✅ In the latest Trade To Black podcast presented by Flowhub, hosts Shadd Dales and Anthony Varrell challenge the conventional narrative around the cannabis industry.

Most people believe cannabis struggles because of regulation, oversupply, and price compression. But what if those aren’t the root causes? What if the real constraint holding the industry back is capital structure and liquidity timing?

Adam Stettner, CEO of FundCanna, joins us to break down the structural cash flow mismatch facing operators today — paying bills in 30 days while waiting four to five months for revenue to cycle through. We explore why more cannabis companies are turning to structured financing, why POS platforms haven’t fully embedded finance solutions, and whether liquidity is the missing infrastructure piece preventing scalable growth.

In Segment 2, Kevin McKernan joins the show to respond to the wave of negative mainstream media coverage, including the recent New York Times op-ed claiming America has a marijuana problem, and Grant Cardone’s public criticism of cannabis. Is there a coordinated narrative forming?