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THC Global (ASX:THC) signs production and supply agreement with Medleaf

June 24, 2020
in Science
Reading Time: 2 mins read
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THC Global (ASX:THC) signs production and supply agreement with Medleaf
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  • THC Global (THC) has signed a production agreement with Medleaf Therapeutics, who is a major supplier of cannabis medicines in New Zealand
  • THC Global will produce and supply an initial 2250 bottles of Full Spectrum CBD and Balanced THC:CBD medicines, to be labelled under the Medleaf brand
  • This deal comes just three months before New Zealand will require cannabis medicines to be reviewed and registered
  • This means the parties will have a higher potential of reaching more patients
  • The initial agreement is valid until August 2021 and will be automatically renewed
  • THC’s shares have dropped 4.69 per cent and are currently trading for 30.5 cents each

THC Global (THC) has signed an agreement with JC Logistics, trading as Medleaf Therapeutics, to produce and supply GMP-manufactured medicines in New Zealand.

Medleaf was only established in 2018 but has quickly become a major supplier of cannabis medicines in New Zealand.

Under the production agreement, THC will produce and supply pharmaceutical cannabis medicines to Medleaf following the registration of medicines in New Zealand.

From October 1, new medicinal cannabis regulations will take effect in New Zealand. The regulations will require all medicines supplied in the country to be submitted for review and registration. THC will seek registration of the medicines before it supplies them to Medleaf.

Medleaf has made an initial order of 2250 bottles. This includes Full Spectrum CBD and Balanced THC:CBD medicines which will be labelled under the Medleaf brand.

The initial agreement is valid until August 2021 with automatic renewal following the first term.

“The new cannabis medicine regulations in New Zealand are a significant opportunity for established brands to reach more patients in need who may benefit from medicinal cannabis,” Medleaf CEO Courtney Letica said.

“We are very pleased to be working with Medleaf as one of New Zealand’s leading cannabis medicine brands, and look forward to working together on providing choice in high quality and affordability of medicinal cannabis to patients in New Zealand,” THC Global CEO Ken Charteris said.

THC’s shares have dropped 4.69 per cent and are trading for 30.5 cents each just after midday trade.

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