Green Thumb Industries Secures $50M in Additional Senior Debt

Green Thumb Industries closed an additional $50 million in senior debt financing, expanding the multi-state operator's existing credit facility as the company continues its national expansion.

The Chicago-based cannabis company, which operates the RISE Dispensaries chain across multiple states, announced the debt increase Thursday. The move comes as larger MSOs increasingly tap traditional debt markets despite ongoing federal prohibition.

Green Thumb trades on the Canadian Securities Exchange under ticker GTII and on the U.S. over-the-counter market as GTBIF. The company ranks among the largest cannabis operators by revenue in North America.

The Numbers

The $50 million represents an expansion of Green Thumb's existing senior debt structure rather than an entirely new facility. Senior debt typically carries lower interest rates than subordinated debt because it holds priority in repayment if a company faces financial distress.

For context, Green Thumb reported $1.04 billion in revenue for 2025, making it one of the top-performing MSOs by sales volume. The company operates 94 retail locations across 15 markets and manufactures branded products including Rythm, Dogwalkers, and incredibles.

Access to traditional debt financing has historically challenged cannabis companies due to federal illegality. Most operators have relied on expensive private credit or sale-leaseback arrangements. But the landscape is shifting—slowly.

Market Context

Green Thumb's ability to secure senior debt reflects the maturation of cannabis capital markets. Several factors are driving this:

Larger MSOs now generate consistent cash flow, making them more attractive to institutional lenders. Green Thumb posted positive EBITDA of $282 million in 2025, a key metric lenders examine.

Specialized cannabis lenders have emerged, willing to navigate the regulatory complexity in exchange for higher yields than traditional corporate debt. These lenders structure deals carefully to avoid direct "touching" of the plant, focusing instead on real estate and equipment financing.

The SAFE Banking Act's repeated failures in Congress haven't stopped creative financing solutions. While federally-chartered banks remain largely sidelined, private credit funds have filled the void.

What This Means

The additional capital gives Green Thumb flexibility for several strategic options. The company could deploy funds toward new dispensary openings in emerging markets like Ohio or Florida, where adult-use programs are expanding. Or it might pursue acquisitions of smaller operators in fragmented markets.

Debt financing also allows Green Thumb to preserve equity, avoiding the dilution that comes with issuing new shares. For shareholders, that's generally preferable to equity raises—assuming the company can service the debt from operating cash flow.

Market watchers note that Green Thumb's debt-to-equity ratio remains manageable compared to some peers who've loaded up on expensive credit. The company has been selective about leverage, preferring organic growth over debt-fueled expansion.

Industry Implications

Green Thumb's financing comes as cannabis companies prepare for potential federal rescheduling of marijuana from Schedule I to Schedule III. That change, if finalized, could improve access to traditional banking and reduce the effective tax rate MSOs pay under IRS Code 280E.

But rescheduling won't immediately open the floodgates to traditional bank lending. Federal prohibition would remain in place, and most major banks will likely stay cautious until full legalization passes Congress.

Still, the trajectory is clear. As the largest MSOs demonstrate consistent profitability and operational sophistication, capital becomes more accessible. Green Thumb's latest debt raise is another data point in that evolution.

The company has not disclosed specific plans for deploying the additional $50 million, though management typically discusses capital allocation during quarterly earnings calls. Green Thumb's next earnings report is expected in March.

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This article is based on original reporting by www.newcannabisventures.com.