Celadon Prescribed drugs 

Celadon Prescribed drugs has seen its inventory value spike this week after revealing that its provide settlement with Danish agency Valeos is now ‘actively contributing to Celadon’s operations.’

In September 2024, Celadon introduced that it had entered right into a strategic partnership with Valeos to spice up its high-THC medical hashish manufacturing capability in a deal it mentioned would ‘considerably speed up’ its potential to produce medical hashish to European markets, particularly Germany.

The deal sees Celadon license its proprietary genetics to Veleos, which is able to then produce pharmaceutical-grade Lively Pharmaceutical Elements (APIs) on its behalf, growing manufacturing capability by 100%, permitting Celadon to domesticate an extra 3 tonnes a yr.

Celadon will obtain 50% of the earnings from Valeos’ Danish EU-GMP facility and could have the choice to decide on money or fairness as compensation.

In accordance with the corporate, this new capability helps Celadon’s potential to fulfil its commitments underneath a German provide contract, introduced in 2023, which is anticipated to generate as much as £26m in income over its three-year time period, or £8.7m yearly.

“The collaboration is now starting to ship tangible outcomes, with Celadon elevating its first bill to Valeos as a part of this settlement. Transferring ahead Celadon now anticipates common income to be generated as operations at Valeos’ facility progress and manufacturing utilizing Celadon’s genetics and IP scales additional,” it mentioned in an RNS replace.

Celadon’s CEO James Quick, mentioned: “It is a pivotal second for Celadon as we see the early outcomes of our collaboration with Valeos come to life. By leveraging Valeos’ cultivation capability and our proprietary genetics and IP, we can expedite provide to our current prospects, together with our key German contract, whereas concurrently creating a brand new income stream for the corporate.”

The announcement got here simply weeks after Celadon supplied an replace on its precarious monetary state of affairs.

Enterprise of Hashish lately reported that, as of November 15, 2024, Celadon had simply £0.3m of money reserves, which means it solely had assured runway till January 2025.

That is because of the continued delay of funding from two sources. From its £7m credit score facility, the corporate has obtained £0.5m to this point (£0.3m initially and an extra £0.2m lately), however remains to be owed £0.5m.

Earlier this month, Celadon mentioned that the supplier of the dedicated credit score facility has now transferred an extra £147k underneath the corporate’s £1m drawdown request, and it expects to obtain an extra £103k this month.

Nonetheless, Celadon mentioned this could solely assure it a runway till March 2025.

Phillip Morris, Avicanna 

Vectura Fertin Pharma, a subsidiary of tobacco big Phillip Morris, has introduced a brand new strategic collaboration with Canadian medical hashish agency Avicanna.

The scientific and medical affairs collaboration settlement will purpose to enhance the understanding of medical hashish entry and functions in Canada.

The collaboration will prioritise engagement with the Canadian medical group, sufferers, and insurers to achieve insights into the challenges related to accessing medical hashish.

To attain this, the 2 corporations will set up a joint Scientific and Medical Affairs Committee, which is able to facilitate analysis research and ship evidence-based academic assets. Avicanna’s medical hashish platform, together with Mymedi.ca, will play a key function in bettering entry and affected person assist.

This marks the newest inroad into the medical hashish business by Philip Morris Worldwide, the world’s largest tobacco firm by market cap.

Not like rivals Altria and British American Tobacco, which have invested in consumer-oriented hashish corporations, PMI has chosen to focus extra on the medical hashish business as a cornerstone of its diversification technique.

Its not but clear whether or not this deal marks the primary steps in direction of an eventual acquisition of Avicanna, however the firm’s funding in Syqe Medical in 2016 ultimately changed into full possession in 2023

DanCann Pharma 

DanCann Pharma has develop into the newest listed firm to approve a reverse inventory cut up in a bid to inflate its share value.

At a rare basic assembly this week, DanCann Pharma shareholders unanimously accredited a proposal to implement a reverse share cut up with a 1,000:1 ratio.

Which means that each 1,000 current shares with a nominal worth of DKK 0.001 can be consolidated into one new share with a nominal worth of DKK 1.

This consolidation course of will happen over the subsequent 4 weeks, throughout which period shareholders can nonetheless purchase and promote their previous shares as traditional. After the four-week interval, shareholders with fewer than 1,000 previous shares will obtain a money fee of DKK 0.0023 per share.

The corporate will preserve the redeemed shares, aside from a small quantity that can be cancelled. It is a commonplace apply to assist the corporate handle its share construction. The redeemed shares which can be saved can be held by the corporate as treasury shares.

As a part of this course of, the corporate’s management has been given permission to purchase again a few of its personal shares over the subsequent few years, if wanted. It is a widespread apply that helps corporations handle their share construction and guarantee the whole lot runs easily.