Marijuana companies are gearing up for IPOs — and NYSE and Nasdaq are jonesing to list them

• NYSE has taken an early lead, listing Glass House Brands on June 30 and Trulieve earlier, after competition with Nasdaq over the latter company
• Listing fees differ significantly between exchanges, with NYSE costing upwards of $500,000 annually versus Nasdaq at less than half that amount
• Industry executives anticipate Trump will further downgrade marijuana to Schedule IV or V, effectively legalizing it and fully opening capital markets for recreational cannabis products

Market Summary: NYSE and Nasdaq Compete for Cannabis IPO Listings

Key Developments

U.S. marijuana companies are becoming a battleground in the "listing wars" between the NYSE and Nasdaq following significant federal regulatory changes. The $50 billion cannabis industry is projected to reach nearly $100 billion annually by 2030, attracting major exchange interest.

Regulatory Changes

In December, a Trump executive order reclassified marijuana from Schedule I to Schedule III, placing it alongside medications for medical use rather than equating it with heroin. This shift, formalized by the DOJ and DEA, allows U.S. cannabis companies to access capital markets if registered with the DEA as medical companies—ending long-standing banking service restrictions.

Company Activity

NYSE has secured the early lead:

• Glass House Brands (Long Beach, CA) officially listed on June 30, with executives ringing the closing bell Friday
• Trulieve (Jacksonville, FL) listed earlier after competitive bidding from both exchanges

Glass House representatives noted that Nasdaq approached them in spring, emphasizing faster listing processes after months of NYSE discussions.

Market Implications

Listings generate significant exchange revenue and provide companies with compliance credibility, enhanced liquidity, and branding opportunities. NYSE listing fees reach upward of $500,000 annually, while Nasdaq charges approximately half that amount.

The competition mirrors other high-stakes battles, including Nasdaq's successful poaching of Walmart—the largest switch in history—and upcoming contests for AI companies OpenAI and Anthropic.

Future Outlook

Industry executives anticipate Trump may further downgrade marijuana to Schedule IV or V classification, effectively achieving de facto legalization and fully opening capital markets for recreational cannabis products including joints and gummies.