Green Thumb and RYTHM Convert Brand Royalties to $70 Million Fixed Annual Fee

Overview

• GTI Core, an indirect Green Thumb unit, revised its licenses with RYTHM’s VCP IP Holdings and MC Brands on Wednesday, replacing revenue‑based royalties with a $70 million yearly fee.
• Payments will be made monthly and will rise each year by twice a Consumer Price Index measure that tracks inflation.
• The amendments cover brand rights for RYTHM Premium Cannabis, incredibles, Beboe, Dogwalkers, Doctor Solomon’s, &Shine, and Good Green.
• Green Thumb said no other contract terms changed and labeled the deal a related‑party transaction under Canada’s MI 61‑101, a rule that protects minority investors in such deals.
• Green Thumb said it qualifies for MI 61‑101 exemptions based on deal size and will file a material change report, while both companies pointed to steadier long‑term economics and revenue visibility that RYTHM says support its Nasdaq profile.