The cannabis sector entered 2026 on the back of extraordinary momentum sparked by U.S. federal rescheduling developments. Equity markets responded aggressively, with operators such as Tilray Brands and Curaleaf Holdings recording triple-digit share price gains in the aftermath of the announcement.
Beyond plant-touching operators, cannabis-focused real estate investment trusts also regained investor attention. Analysts highlighted Innovative Industrial Properties, trading at relatively low forward FFO multiples while maintaining double-digit dividend yields. NewLake Capital Partners has similarly been flagged as a potential beneficiary should U.S. banking reform advance, particularly if future uplisting pathways reopen.
Together, these movements underline a renewed appetite for cannabis exposure across both operating and ancillary segments, as investors reassess long-term risk under a shifting regulatory outlook.
Germany Becomes a Legal and Strategic Battleground
That renewed confidence has carried directly into corporate maneuvering, particularly in Europe. In Germany’s rapidly expanding medical cannabis market, High Tide’s German subsidiary, Remexian Pharma, has emerged at the center of a closely watched legal confrontation.
Shortly after High Tide completed its €26.4 million acquisition of a majority stake in Remexian, competitor Vayamed challenged Remexian’s regulatory practices, alleging breaches of Germany’s Medicines Act related to product authorisations. The dispute escalated into the courts, drawing industry attention due to its potential implications for how cannabis authorisations are interpreted across Europe.
In January 2026, Berlin’s Court of Appeal partially granted an injunction restricting Vayamed from distributing specific allegations to third parties. Crucially, the court classified the disputed statements as opinions rather than provable facts, yet still ruled that disseminating them externally before formally notifying Remexian constituted unlawful disparagement under German competition law. The court deliberately avoided ruling on whether Remexian’s underlying practices were compliant, leaving the regulatory question unresolved.
Remexian has simultaneously pursued legal action against telemedicine platforms it claims are operating in violation of Germany’s advertising and prescription rules. A preliminary injunction granted by the Hamburg Regional Court against Dr Ansay Ltd. reflects mounting scrutiny of online cannabis distribution models, even as enforcement challenges persist due to cross-border jurisdictional issues.
North American Expansion and Capital Deployment Continue
While Europe grapples with legal interpretation, North America has seen steady consolidation and capital deployment. In Canada, Sensi Brands expanded its footprint through the acquisition of a major cultivation campus in Norfolk County, Ontario. The facility, one of the country’s largest and holding EU GMP certification, positions the company for scaled domestic production and international exports, particularly into European medical markets that remain import-dependent.
Capital markets have also rewarded biotechnology-focused cannabis firms. Zelira Therapeutics saw its share price more than double following a US$32.98 million investment into its HOPE 1 special purpose vehicle. The funding secures the next phase of FDA development for a cannabinoid-based treatment targeting Phelan-McDermid Syndrome, reinforcing investor interest in pharmaceutical cannabis pathways distinct from recreational volatility.
Australia Signals Accelerating Global Consolidation
Consolidation trends are equally visible in Australia. Little Green Pharma has agreed to acquire Cannatrek, creating a vertically integrated medicinal cannabis group with operations spanning Australia and Europe. With excess production capacity in Denmark and established GMP infrastructure, the combined entity is positioning itself as a platform for further global acquisitions.
The transaction reflects a broader shift toward scale, balance-sheet strength, and international reach, all qualities increasingly favoured by institutional investors as the cannabis sector transitions away from early-stage speculation.
Outlook: A More Disciplined Cannabis Investment Cycle
Taken together, the opening weeks of 2026 suggest the cannabis industry is entering a more disciplined phase. Regulatory clarity remains uneven, legal risks persist, and competition is intensifying. Yet, capital is flowing toward companies with defensible assets, deep compliance, and international optionality.
For investors, the current environment underscores a clear divide: mature operators and infrastructure-backed businesses are gaining traction, while weaker models face heightened scrutiny. As consolidation accelerates and legal frameworks evolve, selectivity (not blanket exposure) appears set to define cannabis investment strategies in the year ahead.
Rita Ferreira
Rita is a seasoned writer with over five years of experience, having worked with globally renowned platforms, including Forbes and Miister CBD. Her deep knowledge of hemp-related businesses and passion for delivering accurate and concise information distinguish her in the industry. Rita's contributions empower individuals and companies to navigate the complexities of the cannabis world, and her work remains a valuable resource for those seeking a deeper understanding of its potential.
