Shares of both Canadian and U.S. cannabis companies moved higher Wednesday morning after New York became the latest state to vote to legalize recreational marijuana use. At 11:30 a.m. EDT, shares of Canadian growers Aphria (NASDAQ: APHA) and Aurora Cannabis (NYSE: ACB) had gained 5.8% and 4.6%, respectively. Shares of U.S.-based Green Thumb Industries (OTC: GTBIF) had jumped 7.6%.
New York’s governor, Andrew Cuomo, said he would sign the legislation, which will make New York the 15th U.S. state to legalize adult recreational marijuana use. (The District of Columbia has also done so.) Green Thumb Industries is based in Chicago and has manufacturing facilities plus licenses for 97 retail locations and operations across 12 U.S. markets. The Canadian companies won’t immediately benefit from the state’s legalizing pot and will need federal legalization to transact across the border. But the Canadian companies are preparing for it and are also growing business elsewhere.