News Roundup May 2019
A monthly summary of the key events taking place in the Colombian medicinal cannabis industry
Finance and Acquisitions
Khiron Life Sciences agrees to acquire Uruguayan NettaGrowth International
Khiron Life Sciences (TSXV: KHRN) signed a definitive agreement to acquire NettaGrowth International, as previously announced in January. Once the deal is closed, NettaGrowth will own all of the outstanding shares of Dormul SA, the Uruguayan company that obtained the first li- cense to produce and export THC medicinal cannabis in Uruguay. This agreement would increase Khiron’s total production capacity to 220 tons.
One World Pharma receives approval for 13 THC strains
One World Pharma (OTC Pink: OWPC), fully licensed cannabis producer in Colombia, announced it received approval from the ICA (Colombian agriculture authority) to start cultivating 13 proprietary high THC cannabis strains, as well as two high CBD strains. The company’s next step is to go through the characterization and registration process to confirm their genetic attributes in specific local environments in the region of Popayán.
Blueberries Medical begins process to cultivate cannabis in Argentina
Colombian medical cannabis producer, Blueberries Medical Corp (CSE: BBM), which entered into a definitive Argentinian rights agreement with BBV Labs in March, have now begun phase one of the process. The first phase of the joint venture with Argentinian state-owned company Cannabis Avatara SE is a pilot project to cultivate cannabis on a one ha area to produce 4,000 kg of dry cannabis flower, and extract about 400 liters of cannabis oil. The pilot project will evaluate cannabis strains and seeds that are ideal for cultivation in Jujuy, Argentina. Blue- berries is in the process of preparing the pilot documents for Cannabis Avatara’s approval to further process permit applications. The goal is to complete the pilot program by May 2020, with an estimated investment of USD$750,000 - USD$1 million.
Pideka receives GMP certification
Colombian licensed producer, Pideka received its GMP certificate in medicinal product manufacturing from the International Society for Pharmacoepidemiology. The company owns five warehouses in Cundinamarca for indoor cultivation and processing, with a cultivation capacity of approximately 15,000 cannabis plants.
ICC and AgraFlora team up to bring native Colombian strains to international markets
ICC International Cannabis Corp (CSE: WRLD.U) entered an agreement with AgraFlora Organics International (CSE: AGRA) in which AgraFlora will transfer its portfolio of Colombian cannabis genetics to ICC for international marketing and distribution. ICC estimates this partnership will allow them to distribute in approximately 39,000 outlets. Pure Grow Medicinals SAS, AgraFlora’s wholly owned subsidiary in Colombia, will transfer a library of 20 strains from Cauca, Valle del Cauca, Magdalena and Antioquia to ICC.
Blueberries Medical Corp to collaborate with international research center
Blueberries Medical Corp (CSE: BBM) signed a definitive joint venture agreement with the International Research Center on Cannabis and Mental Health (IRCCMH) to develop medical education programs on product formulation for physicians and patients in Latin America. IRCCMH will use its background and expertise to support the development of Blueberries’ commercial and educational initiatives, in order to develop a treatment- focused medical education program. This initiative will initially be rolled out through the company’s partnership with El Manantial Medical Centers in Bogotá, who will provide the necessary platform, resources, patients and expertise.
Khiron Life Sciences LoI for Colombian medical cannabis distribution
Khiron Life Sciences Corp (TSXV: KHRN) signed a Letter of Intent with Copservir Ltda, Colombia’s largest pharmacy chain, to distribute their products throughout the country. Copservir operates in 900 stores across 200 cities and municipalities. The parties will continue to work on establishing final commercial and distribution agreements to begin sales in the second half of 2019.