Tetra Bio-Pharma Announces Upsizing of Previously Announced Offering
Momentum Public Relations
Press Release: February 8 2018
Tetra Bio-Pharma Inc. (TSX-V:TBP) (OTCQB:TBPMF) a global leader in cannabinoid-based drug development and discovery, announced today that it has entered into a revised agreement with Echelon Wealth Partners Inc. ( the “Underwriter”), pursuant to which the Underwriter will purchase, on a bought deal basis pursuant to the filing of a short form prospectus, an aggregate of 10,000,000 units (the “Units”) of the Company at a price of $1.00 per Unit (the “Offering Price”) for aggregate gross proceeds of $10,000,000 (the “Offering”).
Each Unit will consist of one common share (a “Common Share”) in the Company and one warrant (a “Warrant” and collectively the “Warrants”). Each Warrant will entitle the holder thereof to acquire one Common Share at a price of $1.30, for a period of 36 months from the Closing Date.
The Company has agreed to grant the Underwriters an over-allotment option to purchase up to an additional 1,500,000 Units at the offering price, exercisable for a period of 30 days after closing. If the over-allotment option is exercised in full, the gross proceeds from the Offering will be approximately $11.5 million.
“We are extremely pleased to partner with Echelon Wealth Partners in securing this financing agreement. As we are about to initiate our Health Canada’s recently approved phase 3 registration trial for our lead drug candidate, PPP001, in late stage cancer patients, the proceeds from this Offering will enable Tetra to continue, and even accelerate some of the key development projects in our pipeline. This is another milestone in working towards becoming the first biopharmaceutical company in the world to get a smokable dried cannabis product approved as a prescription drug by Health Canada, the FDA and other regulatory agencies around the world,” states Bernard Fortier, CEO of Tetra Bio-Pharma.
The Company intends to use the net proceeds of the Offering to advance the Company’s Phase 3 trial for PPP001 and other clinical trials, to effect the repayment of indebtedness and for general corporate and working capital purposes.
The Offering will be completed by way of a short form prospectus to be filed in all provinces of Canada and on a private placement basis in the United States pursuant to exemptions from the registration requirements of the United States Securities Act of 1933, as amended (the “U.S. Securities Act”).
The Offering is expected to close on or about February 28, 2018 and is subject to due diligence and other customary closing conditions including, but not limited to, the approval of securities regulatory authorities and the TSX Venture Exchange’s approval.
The securities described herein have not been, and will not be, registered under the U.S. Securities Act or any state securities laws, and accordingly, may not be offered or sold within the United States except in compliance with the registration requirements of the U.S. Securities Act and applicable state securities requirements or pursuant to exemptions therefrom. This press release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
About Tetra Bio-Pharma
Tetra Bio-Pharma (TSX-V:TBP) (OTCQB:TBPMF) is a biopharmaceutical leader in cannabinoid-based drug discovery and clinical development. Tetra is focusing on three core business pillars: clinical research, pharmaceutical promotion and retail commercialization of cannabinoid-based products.
More information at: www.tetrabiopharma.com
Source: Tetra Bio-Pharma
- Published in Tetra Bio Pharma
Tetra Bio-Pharma Receives Health Canada Phase 3 Clinical Trial Approval For Smokable Dried Cannabis Prescription Drug
Momentum Public Relations
Press Release: February 5, 2018
Tetra Bio-Pharma Inc. (“Tetra” or the “Company”) (TSX VENTURE:TBP)(OTCQB:TBPMF), a global leader in cannabinoid-based drug development and discovery, is pleased to announce that it has received a No Objection Letter (NOL) from the Therapeutic Products Directorate (TPD) Health Canada to its Clinical trial application (CTA) for the Company’s PPP001 prescription smokable dried cannabis product.
Coinciding with World Cancer Day 2018, Tetra is now ready to initiate its Phase 3 clinical trial of PPP001 in terminal cancer patients, the first registration trial in the world for smokable cannabinoid-based drug. This trial is expected to be a landmark study, enrolling a total of 946 subjects, evaluating the therapeutic benefits of a cannabinoid prescription drug in improving quality of life and treating pain in terminal cancer patients.
“This is an especially significant and noteworthy milestone for the lead candidate in our product pipeline,” said Bernard Fortier, Tetra’s CEO, “as it positions Tetra to potentially be the first company with a Health Canada approved, cannabinoid-based drug on the market aimed at treating breakthrough pain in cancer patients. The advanced cancer pain market is a $2.4B market1; this is a significant and important opportunity for the Company as our drug PPP001 has the potential to help reduce the reliance on opioids for the management of severe pain.”
The first and main recruitment center of the trial will be in Montreal at Santé Cannabis, Québec’s first medical clinic and resource centre specializing in cannabis and cannabinoids for medical purposes.
The PPP001 Phase 3 trial will evaluate the effects of Tetra’s smokable cannabinoid-based drug made from natural dried cannabis. Tetra previously entered into a supply agreement with Aphria Inc., to use Aphria’s unique blend of dried medical cannabis in its PPP001 clinical trial. Aphria owns an 8.5% stake in Tetra.
As part of the clinical trial, Tetra will also collect the pharmaco-economics evidence required from insurers in order to support the reimbursement of the first cannabis prescription drug. “Today, most private insurance plans do not cover cannabis treatment, nor is public reimbursement available, making this therapeutic option costly for patients. It is very important for us to bring a new therapeutic option for patients in the form of an approved prescription drug and to take action in order to have it reimbursed for patients” commented Bernard Fortier, CEO.
The trial aims to demonstrate that PPP001 eases suffering and facilitates a more serene experience of living and dying in terminal cancer patients. If conclusive, Tetra will submit a filing for a Drug Identification Number (DIN) to Health Canada in 2019, thus providing a new noninvasive treatment to relieve pain for cancer patient. With this approval, Tetra expects to be on time with its previously announced schedule with the development of PPP001, culminating in a potential launch in Canada by Q1, 2020 and in the US by Q3, 2020.
Dr Guy Chamberland, Tetra’s Chief Scientific Officer (CSO) explained that: “The development of PPP001 for patients with advanced cancer is an important commitment for Tetra, given that cancer patients suffer from severe pain which is often accompanied by depression and insomnia. Medical cannabis has been shown to help patients beyond the immediate benefit of pain relief.”
“With the expertise of Santé Cannabis, we expect to demonstrate the clinical benefits of PPP001 on the quality of life of advanced cancer patients. It’s important to note that our clinical program will also address the potential of PPP001 to reduce the reliance on opioids for management of severe pain. We expect that, once it is approved as a drug under prescription, PPP001 will be included over time ahead of opioids treatment for those patients with terminal cancer pain. The Company will continue to maintain a transparent and direct line of communication with Health Canada and the U.S. FDA to ensure that we address the issues required for drug approval. PPP001 is about patients first, ” added Dr. Guy Chamberland.
Tetra worked with Santé Cannabis physicians to design a clinical trial that would demonstrate the safety and efficacy of PPP001 in terminal cancer patients and have focused the clinical development on a first indication in patients with advanced cancer. The Phase III clinical trial will be performed by the medical team of Santé Cannabis.
“Throughout my clinical experience assessing and following more than 600 medical cannabis patients, cannabis inhalation remains a critical option to provide rapid relief from a wide variety of symptoms associated with advanced cancer, ” said Dr. Antonio Vigano, Principal Investigator of the trial and Research Director of Santé Cannabis. “We will rigorously assess the safety, efficacy and tolerability of PPP001 to support the population of cancer patients by bringing an important therapeutic tool to the same standard of prescription drugs It is great to be celebrating World Cancer Day 2018 with the first large scale clinical study to prove that medical cannabis can ease the suffering and improve quality of life of many cancer patients, particularly when they most need it.”
About Cancer Pain:
In the USA, 1,5 million patients suffer from cancer pain2. Pain is one of the most frightening of all cancer symptoms for patients and their families3. According to statistics published by the American Cancer Society in 20024, 50% to 70% of people with cancer experience some degree of pain, with a quarter of them actually dying in pain. Without adequate relief of their pain, their quality of life is negatively impacted. Furthermore, the incidence of pain in advanced stages of invasive cancer approaches 80% and it is 90% in patients with bone metastases5.
- https://decisionresourcesgroup.com/report/141466-biopharma-cancer-pain-2015
- Melnikova I. Pain market 2010 ;, doi:10.1038/nrd3226
- Winslow M, Seymour J, Clark D. 2005. Stories of cancer pain: a historical perspective. J Pain Symptom Manage, 29:22-31.
- American Cancer Society. 2002. Cancer facts and figures 2002
- Pharo GH, Zhou L. 2005. Pharmacologic Management of Cancer Pain. JAOA, 105:S21-28.
About PPP001:
PPP001 aims to be the first smokable marihuana for advanced cancer pain under prescription. It is a dried cannabis pellet designed to be smoked in an inhalation device specifically developed for this product. PPP001 is a unique blend of 3 strains of standardized dried cannabis, creating a drug substance with 9,5% THC and 2,5% CBD.
About Aphria:
Aphria Inc., one of Canada’s lowest cost producers, produces, supplies and sells medical cannabis. Located in Leamington, Ontario, the greenhouse capital of Canada, Aphria is truly powered by sunlight, allowing for the most natural growing conditions available. Aphria is committed to providing pharma-grade medical cannabis, superior patient care while balancing patient economics and returns to shareholders.
About Tetra Bio-Pharma:
Tetra Bio-Pharma (TSX VENTURE:TBP)(OTCQB:TBPMF) is a biopharmaceutical leader in cannabinoid-based drug discovery and clinical development. Tetra is focusing on three core business pillars: clinical research, pharmaceutical promotion and retail commercialization of cannabinoid-based products.
More information at: www.tetrabiopharma.com
Source: Tetra Bio-Pharma
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-looking statements
Some statements in this release may contain forward-looking information. All statements, other than of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words “may”, “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan” or “project” or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company’s ability to control or predict, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the inability of the Company, through its wholly-owned subsidiary, GrowPros MMP Inc., to obtain a license for the production of medical marijuana; failure to obtain sufficient financing to execute the Company’s business plan; competition; regulation and anticipated and unanticipated costs and delays, the success of the Company’s research strategies, the applicability of the discoveries made therein, the successful and timely completion and uncertainties related to the regulatory process, the timing of clinical trials, the timing and outcomes of regulatory or intellectual property decisions and other risks disclosed in the Company’s public disclosure record on file with the relevant securities regulatory authorities. Although the Company has attempted to identify important factors that could cause actual results or events to differ materially from those described in forward-looking statements, there may be other factors that cause results or events not to be as anticipated, estimated or intended. Readers should not place undue reliance on forward-looking statements. While no definitive documentation has yet been signed by the parties and there is no certainty that such documentation will be signed The forward-looking statements included in this news release are made as of the date of this news release and the Company does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
Tetra Bio-Pharma Inc.
Dr. Anne-Sophie Courtois, DVM
Vice President, Marketing & Communications
anne-sophie.courtois@tetrabiopharma.com
(514) 360-8040 Ext. 210
For media information, please contact:
Daniel Granger
Daniel.granger@acjcommunication.com
ACJ Communication
O: 1 514 840 7990 / M: 1 514 232 1556
- Published in Marijuana, Medical Marijuana, Tetra Bio Pharma
Tetra Bio-Pharma Receives Health Canada Approval for Phase 2 Cannabis Oil Trial in Partnership with Sante Cannabis
Momentum Public Relations
Press Release: January 29, 2018
Tetra Bio-Pharma Inc. (“Tetra” or the “Company”) (TSX VENTURE:TBP)(OTCQB:TBPMF), a global leader in cannabinoid-based drug development and discovery, is pleased to announce the approval by Health Canada of a Phase 2 clinical trial designed to evaluate the safety and efficacy of different doses and ratios of medical cannabis oil (THC & CBD) to improve uncontrolled chronic pain in cancer and non-cancer patients.
“To our knowledge, this is the first Health Canada-approved phase 2, randomized, double-blind, placebo-controlled clinical trial using encapsulated medical cannabis oil in Canada,” said Bernard Fortier, Tetra Bio-Pharma’s CEO. According to an Eight Capital analysis1, the cannabis oil market is expected to reach 1.5B$ in 2024.
“This is a significant milestone in our mission to become a global bio-pharmaceutical leader in cannabinoids-based drug development. We currently have a strong pipeline of five cannabinoid-based products, all launched last year and using different delivery systems, in various stages towards Health Canada and FDA approval.”
The Phase 2 trial will be conducted with Montreal-based Santé Cannabis, Quebec’s first medical clinic and resource centre specializing in cannabis and cannabinoids for medical purposes.
According to Health Canada data2, the annual Canadian cannabis oil production for medical purposes was 22,766 kg between October 1st 2016 and September 30th 2017, and is growing continuously. In the third quarter of 2017, it grew 24% from Q2 (Apr-Jun) to Q3 (Jul-Sep)1.
Dr. Guy Chamberland, Tetra’s Chief Scientific Officer (CSO), also commented that “there is limited scientific and clinical information on the different doses and ratios of medical cannabis oil in the management of pain. This type of clinical trial is required to generate the urgently needed safety and efficacy data required by physicians and pharmacists for the adequate care of patients”.
“We are excited to launch this trial to build the evidence base for medical cannabis in chronic pain, and to demonstrate the leadership of Santé Cannabis on the world stage” said Dr. Antonio Vigano, Research Director of Santé Cannabis and McGill University Associate Professor of Oncology. “At Santé Cannabis, our team observes the impact that cannabis oil has for our patients. For many, medical cannabis can reduce or even eliminate the need for other pharmacological medications. As clinicians and researchers, we must pursue these critical steps to quantify its benefits and to investigate potential risks.”
These studies are part of the Company’s sales and marketing strategy required to effectively penetrate a physician-pharmacist market. The outcome of these studies will also support Tetra’s overall drug development strategy and it is expected that this will allow Tetra to reduce the overall time-to-market for a number of its cannabinoids-based prescription drugs. The company will also use this data to create novel new products that will allow Tetra to further increase its share in the cannabis oil market.
Last year, Tetra launched a number of drug development programs that are expected to lead to the commercialization of cannabinoid-based prescription drugs, making it one of the world leaders in cannabinoid pharmaceuticals. Tetra’s vision is to develop an evidence-based approach similar to that of any other prescription drug, thereby allowing physicians to prescribe, and pharmacists to dispense, these medicines to patients in need.
After receiving approval of a phase 1 clinical trial for its PPP005 cannabis oil program in mid-January of this year, Tetra is now launching a phase 2 trial to assess if cannabis oil treatment will reduce the amount of concurrent pain medications and the need for rescue medications to control chronic cancer and non-cancer pain. This phase 2 clinical trial is a randomized, double-blind, placebo-controlled trial designed to evaluate the safety and efficacy of different doses and ratios of medical cannabis oil. In addition, the study will evaluate the effects on improving symptom burden and on cognition and mood in those chronic pain patients.
Tetra and Santé Cannabis have been preparing for several months to initiate this clinical program. The team at Santé Cannabis has grown to include qualified and experienced personnel in the conduct of clinical trials in compliance with Good Clinical Practices. This trial is driven by the medical experts of Santé Cannabis and will provide much needed safety and efficacy data in this patient population, as well as provide Tetra with critical knowledge of the benefits of different ratios of THC and CBD in pain management.
1: Cannabis Sector, Eight Capital Estimates, July 2017
2: Health Canada Market Data, [https://www.canada.ca/en/health-canada/services/drugs-health-products/medical-use-marijuana/licensed-producers/market-data.html]
About Tetra Bio-Pharma:
Tetra Bio-Pharma (TSX VENTURE:TBP)(OTCQB:TBPMF) is a biopharmaceutical leader in cannabinoid-based drug discovery and clinical development. Tetra is focusing on three core business pillars: clinical research, pharmaceutical promotion and retail commercialization of cannabinoid-based products.
More information at: www.tetrabiopharma.com
Source: Tetra Bio-Pharma
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-looking statements
Some statements in this release may contain forward-looking information. All statements, other than of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words “may”, “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan” or “project” or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company’s ability to control or predict, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the inability of the Company, through its wholly-owned subsidiary, GrowPros MMP Inc., to obtain a license for the production of medical marijuana; failure to obtain sufficient financing to execute the Company’s business plan; competition; regulation and anticipated and unanticipated costs and delays, the success of the Company’s research strategies, the applicability of the discoveries made therein, the successful and timely completion and uncertainties related to the regulatory process, the timing of clinical trials, the timing and outcomes of regulatory or intellectual property decisions and other risks disclosed in the Company’s public disclosure record on file with the relevant securities regulatory authorities. Although the Company has attempted to identify important factors that could cause actual results or events to differ materially from those described in forward-looking statements, there may be other factors that cause results or events not to be as anticipated, estimated or intended. Readers should not place undue reliance on forward-looking statements. While no definitive documentation has yet been signed by the parties and there is no certainty that such documentation will be signed The forward-looking statements included in this news release are made as of the date of this news release and the Company does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
Tetra Bio-Pharma Inc.
Dr. Anne-Sophie Courtois, DVM
Vice President, Marketing & Communications
(514) 360-8040 Ext. 210
anne-sophie.courtois@tetrabiopharma.com
- Published in Marijuana, Medical Marijuana, Tetra Bio Pharma
AREV Nutrition Sciences Inc. Announces a Reverse Takeover Transaction with we Grow BC Ltd.
Momentum Public Relations
Press Release: 2018-01-17
AREV Nutrition Sciences Inc. (” AREV ” or the “Company”) ( CSE – AREV ), is pleased to announce a binding agreement (the “Acquisition Agreement”) to acquire 100% of the issued and outstanding shares of We Grow BC Ltd. (“WGBC”).
WGBC is a private company strategically located in Creston British Columbia in the heart of the Kootenay’s, where BC grown marijuana originated, and holds a Cultivation License pursuant to the Access to Cannabis for Medical Purposes Regulations under Health Canada. The Company has scalable production facilities currently consisting of 100 acres of land with 100,000 square feet of indoor space of which 24,000 has been retrofitted for Phase 1 Cultivation.
The Acquisition Agreement provides for each shareholder of WGBC to receive 90,909 shares of AREV in exchange for each share of WGBC based on a $50,000,000 valuation of WGBC. It is anticipated a total of 100,000,000 AREV shares will be issued at a deemed price of $0.50 per AREV Share pursuant to the agreement.
AREV’s intention is to enter into an amalgamation by plan of arrangement where the amalgamation shall take place between a wholly owned subsidiary of AREV and WGBC.
AREV intends to call a Special Annual General meeting in order to approve the transaction and to affix its board of directors to 7 members of which 4 will be designated by WGBC.
The deemed aggregate value of $50,000,000 ($50 million) attributable to such 100,000,000 AREV shares shall be supported by a valuation of WGBC. Also, it is understood that the AREV shares to be issued by AREV to the WGBC Shareholders may be subject to certain resale restrictions including escrow requirements under applicable securities law and policies of the Canadian Securities Exchange (the “CSE”). ;
Both companies will have 5 business days from the date of execution of the Acquisition Agreement to provide the other party complete and commercially reasonable requests for due diligence.
The proposed acquisition of WGBC constitutes a fundamental change under the policies of the “CSE”. and shall be subject to shareholder and CSE approval. Accordingly, trading of AREV shares has been halted pending acceptance of the Acquisition Agreement by the CSE and the acceptance and posting of regulatory filings in connection with the Acquisition Agreement under the Company’s CSE profile.
“We believe this to be the perfect synergy between both companies, with AREV having the extraction technology and finished products and We Grow’s current 24,000 square feet grow facility and up to 100 acre cultivation abilities in the Kootenays,” stated Mike Withrow, AREV Chairman.
Further to the Company’s news release of October 31, 2017, the Company announces that it will not be proceeding with the letter of intent to acquire Verified Plant Genetics and a certain property in Parksville, British Columbia. The Company will revisit this transaction in the future.
For further information, contact Stephane Maher, CEO at stephane@arevnutrition.com.
On behalf of the Board,
Mike Withrow, Chairman.
About AREV Nutrition Sciences Inc.
AREV Nutrition Sciences Inc. (“AREV”) produces and delivers functional ingredients from its world-class extraction systems. AREV is revolutionizing the current delivery method of coconut oil, whey protein and nutrients through emulsification. These premium ingredients and products are targeted for the natural health, medical, functional food, nutraceutical, sport nutrition and bioceutical markets. AREV is also working with Pharmacy and Dispensary operators with an innovative emulsified base formula to disperse Cannabis oil extracts from specific selected genetic Cannabis strains that address 5 areas of health including Anxiety, Pain Management, Insomnia, Central Nervous System Disorders & Libido.
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATIONS SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
FORWARD LOOKING INFORMATION
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in policies of the CSE) accepts responsibility for the adequacy or accuracy of this release. This news release may include forward-looking statements that are subject to risks and uncertainties. All statements within, other than statements of historical fact, are to be considered forward looking. Although the Company believes the expectations expressed in such forward looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. There can be no assurances that such statements will prove accurate and, therefore, readers are advised to rely on their own evaluation of such uncertainties. We do not assume any obligation to update any forward-looking statements except as required under the applicable laws. This press release contains forward-looking statements. The use of any of the words “anticipate”, “continue”, “estimate”, “expect”, “may”, “will”, “project”, “should”, “believe” and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These statements speak only as of the date of this press release. Actual results could differ materially from those currently anticipated due to a number of factors and risks various risk factors discussed in the Company’s Management’s Discussion and Analysis under the Company’s profile on www.sedar.com.
- Published in AREV Nutrition Sciences
Tetra Bio-Pharma Enters into Agreement to Acquire Remaining 20% Interest in Phytopain Pharma Subsidiary
Momentum Public Relations
Press Release: January 2, 2018
Tetra Bio-Pharma Inc. (“Tetra” or the “Corporation”) (TSX VENTURE:TBP)(OTCQB:TBPMF), a global leader in cannabinoid-based drug development, today announced that it has entered into a share purchase agreement (the “Purchase Agreement”) with entities controlled by André Rancourt, Chairman of the Board of Directors of the Corporation, and Guy Chamberland, Chief Scientific Officer of the Corporation (collectively, the “Vendors”).
Under the terms of the Purchase Agreement, Tetra will acquire from the Vendors all of the remaining issued and outstanding common shares of Tetra’s subsidiary, Phytopain Pharma Inc. (“PPP”), currently held by the Vendors (representing 20% of the issued and outstanding shares of PPP) for an aggregate purchase price (the “Purchase Price”) of $12,425,089 (the “Transaction”). Upon completion of the Transaction, PPP will become a wholly-owned subsidiary of Tetra.
“Upon completion, this transaction will be a significant milestone for Tetra Bio-Pharma and all our stakeholders,” said Bernard Fortier, Tetra’s CEO.
“The two selling shareholders – our Chairman and our Chief Scientific Officer – are both committed to the long-term success of Tetra as evidenced by their agreement to accept shares in Tetra in lieu of an all- cash transaction. As well, a percentage of those shares are going to be released once certain key milestones for the company have been reached,” he said.
“This transaction will allow Tetra to gain 100% control of Phytopain Pharma, a key asset in the development of our pipeline of cannabinoid-based drugs and gives our company full flexibility to enter into other partnerships or agreements in the future.”
The Transaction is subject to customary closing conditions including, but not limited to, approval of the TSX Venture Exchange (“TSXV”) and any other approval that may be required by the TSXV.
The Transaction
Under the terms of the Purchase Agreement, the Purchase Price for the Transaction is comprised of the following:
- Cash: An aggregate cash payment of $248,000 (the “Cash Payment”). Under the terms of the Purchase Agreement, the Cash Payment is payable in escrow as of the signature of the Purchase Agreement and has been paid to the Vendors’ legal counsel in trust for the Vendors pending receipt of approval for the Transaction from the TSXV. In addition, Tetra has agreed to pay the Vendors, immediately upon signature of the Purchase Agreement, a non-refundable amount of $200,000, payable out of the funds available for the Cash Payment, to induce the Vendors to provide an exclusivity of negotiation to the Purchaser for the Transaction.
- Promissory Notes: Promissory notes issued by Tetra to the Vendors in an aggregate principal amount of $2,236,696 (the “Notes”), which Notes are payable in accordance with a specified milestone schedule as described in the Purchase Agreement. Pursuant to the terms of the Purchase Agreement, the Notes have been delivered to the Vendors’ legal counsel in trust for the Vendors pending receipt of approval for the Transaction from the TSXV.
- Tetra Shares: Common shares of Tetra (“Common Shares”) will be issued to the Vendors as follows:
- Upon completion of the Transaction, an aggregate of 2,485,218 Common Shares will be issued to the Vendors.
- Upon completion of the Transaction, 7,455,653 Common Shares will be issued to
Computershare Trust Company of Canada, as escrow agent (the “Escrow Agent”), to be held in escrow and released by the Escrow Agent under the terms and conditions set forth in the Purchase Agreement and the terms and conditions of an escrow agreement to be executed at closing by the Vendors, the Corporation and the Escrow Agent.
The Vendors under the Purchase Agreement are entities controlled by André Rancourt, Chairman of the Board of Directors of the Corporation, and Guy Chamberland, Chief Scientific Officer of the Corporation and are therefore considered “non-arm’s length parties” under the rules of the TSXV. Mr. Rancourt and Mr. Chamberland have properly disclosed their respective interest in the Transaction to the board of directors of the Corporation.
The Transaction constitutes a “related party transaction” within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). While MI 61-101 would generally subject the transaction to minority shareholder approval and formal valuation requirements, the Corporation will avail itself of the exemptions applicable under Section 5.5(a) of MI 61- 101.
Mr. Rancourt currently has ownership or direction and control over (i) an aggregate of 465,000 Common Shares, (ii) 1,600,000 options to acquire Common Shares and (iii) 4,000,000 Common Share purchase warrants, representing approximately 0.37% of the issued and outstanding Common Shares on a non- diluted basis and approximately 4.66% of the issued and outstanding Common Shares on a partially diluted basis. Further to the completion of the Transaction, and assuming that all of the Common Shares issued in escrow and allotted to Mr. Rancourt are released to Mr. Rancourt or an affiliate of Mr. Rancourt in accordance with the Purchase Agreement, Mr. Rancourt would then have ownership or direction and control over (i) 5,435,436 Common Shares, (ii) 1,600,000 options to acquire Common Shares and (iii) 4,000,000 Common Share purchase warrants, representing approximately 4.20% of the issued and outstanding Common Shares on a non-diluted basis and approximately 8.17% of the issued and outstanding Common Shares.
Mr. Chamberland currently has ownership or direction and control over (i) an aggregate of 1,250,000 Common Shares, (ii) 350,000 options to acquire Common Shares and (iii) 4,000,000 Common Share purchase warrants, representing approximately 1.00% of the issued and outstanding Common Shares on a non-diluted basis and approximately 4.32% of the issued and outstanding Common Shares on a partially diluted basis. Further to the completion of the Transaction, and assuming that all of the Common Shares issued in escrow and allotted to Mr. Chamberland are released to Mr. Chamberland or an affiliate of Mr. Chamberland in accordance with the Purchase Agreement, Mr. Chamberland would then have ownership or direction and control over (i) 6,220,436 Common Shares, (ii) 1,600,000 options to acquire Common Shares and (iii) 4,000,000 Common Share purchase warrants, representing approximately 4.78% of the issued and outstanding Common Shares on a non-diluted basis and approximately 8.70% of the issued and outstanding Common Shares.
Each of Mr. Rancourt and Mr. Chamberland proposes to acquire the common shares for investment purposes, and has no current intention to increase his beneficial ownership of, or control or direction over, securities of Tetra. These investments will be reviewed on a continuing basis and their holdings may be increased or decreased in the future.
The Transaction is subject to customary conditions including, but not limited to, approval of the TSXV. The Transaction has been unanimously approved by Tetra’s board of directors (with André Rancourt abstaining from voting) and Tetra anticipates that the Transaction will be completed in the first quarter of 2018.
About Tetra Bio-Pharma:
Tetra Bio-Pharma (TSX VENTURE:TBP)(OTCQB:TBPMF) is a biopharmaceutical leader in cannabinoid- based drug discovery and clinical development. Tetra is focusing on three core business pillars: clinical research, pharmaceutical promotion and retail commercialization of cannabinoid-based products. More information at: www.tetrabiopharma.com
Source: Tetra Bio-Pharma
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-looking statements
Some statements in this release may contain forward-looking information. All statements, other than of historical fact, that address activities, events or developments that the Corporation believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words “may”, “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan” or “project” or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Corporation’s ability to control or predict, that may cause the actual results of the Corporation to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the inability of the Corporation, through its wholly-owned subsidiary, GrowPros MMP Inc., to obtain a licence for the production of medical marijuana; failure to obtain sufficient financing to execute the Corporation’s business plan; the success of the Rx Princeps™ product offering and inhalation device; guidance on expected sales volumes associated with the Rx Princeps™ product offering and inhalation device; competition; regulation and anticipated and unanticipated costs and delays, and other risks disclosed in the Corporation’s public disclosure record on file with the relevant securities regulatory authorities. Although the Corporation has attempted to identify important factors that could cause actual results or events to differ materially from those described in forward-looking statements, there may be other factors that cause results or events not to be as anticipated, estimated or intended. Readers should not place undue reliance on forward-looking statements. The forward-looking statements included in this news release are made as of the date of this news release and the Corporation does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
Tetra Bio-Pharma Inc.
Bernard Fortier, MBA
Chief Executive Officer
(514) 360-8040 Ext. 206
bernard.fortier@tetrabiopharma.com
www.tetrabiopharma.com
- Published in Medical Marijuana, Tetra Bio Pharma
Tetra Bio-Pharma Announces the Signature of a Letter of Intent to Monetize GrowPros and its Late Stage ACMPR Application
Momentum Public Relations
Press Release: December 21, 2017
Tetra Bio-Pharma Inc. (“Tetra” or the “Company”) (TSX VENTURE:TBP)(OTCQB:TBPMF), a global leader in cannabinoid-based drug development and discovery, is pleased to announce that it has entered into a non-binding letter of intent (the “LOI”) with a private Canadian corporation (the “Purchaser”) and has started a transaction to monetize GrowPros (GrowPros MMP Inc., Tetra’s wholly-owned subsidiary) (the “Potential Transaction”), to allow Tetra to focus its activities on the drug development and its clinical trials of its pharmaceutical business. With this transaction, Tetra is expected to receive $350,000 and ensure another supply source of cannabis with pharmaceutical GMP quality for the pipeline of products under development.
It is expected that the Proposed Transaction would include the following main terms:
- Acquisition by the Purchaser of all the issued and outstanding shares of GrowPros held by the Company;
- Tetra will receive $350,0000 for the Potential Acquisition composed of (i) a first installment of $175,000 which was paid at the time of the signing of the LOI, (ii) a second installment of $175,000 which will be paid following signing of the definitive agreement giving effect to the LOI (the “Definitive Agreement”) and (iii) subject to stock exchange and securities regulatory approval and following the Purchaser’ initial public offering, 15,000,000 common shares of the Purchaser which would represent approximately a 33% equity interest in the share capital of the Purchaser post-initial public offering. The intention is for Tetra to eventually distribute these shares as a dividend in kind to its shareholders on a pro-rated basis;
- Purchaser’s responsibility to move GrowPros’ late stage ACMPR application forward (submitted in November 2014) with Health Canada;
- Grant by Purchaser and GrowPros of a right of first refusal to the Company on future cannabis production by GrowPros, which will ensure a second source of cannabis to the Company with pharmaceutical GMP quality for the production of the pipeline of products under development;
- Undertaking by the Purchaser to build a 15,000 square feet production facility located on 145 acres of agricultural land in Venosta, Quebec. The property has been approved for up to 1.5M square feet of production space; the Purchaser will ensure that a dedicated part of that production facility will be in compliance with good manufacturing practices for pharmaceutical product; construction of the production facility is expected to begin in the first quarter of 2018.
“We are very happy to leverage this asset that is Grow Pros. By finding a reliable partner, Tetra expects not only to immediately increase its cash flow, but also to enable its shareholders to maintain an investment in the high growth cannabis industry. As importantly, Tetra is further focusing on its core expertise and strength: the development of prescription drugs through the highest levels of clinical trials. Finally, we expect this deal to allow us to secure our production of dried cannabis for our lead drug candidate for its expected approval and eventual commercialization, and provide us with another partner from which we can supply our active pharmaceutical ingredients (API) for our drug development programs.” says Bernard Fortier, CEO of Tetra.
The Proposed Transaction contemplated by the LOI is subject to a number of significant condition precedents including but not limited to the entering into of the Definitive Agreement on terms satisfactory to both parties, the completion of the Purchaser’s initial public offering and receipt of all requisite approval (including stock exchange and regulatory approvals).
The parties intend to enter into the Definitive Agreement and close the Proposed Transaction by the end of the first quarter of 2018.
About Tetra Bio-Pharma:
Tetra Bio-Pharma (TSX VENTURE:TBP)(OTCQB:TBPMF) is a biopharmaceutical leader in cannabinoid-based drug discovery and clinical development. Tetra is focusing on three core business pillars: clinical research, pharmaceutical promotion and retail commercialization of cannabinoid-based products.
More information at: www.tetrabiopharma.com
Source: Tetra Bio-Pharma
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-looking statements
Some statements in this release may contain forward-looking information. All statements, other than of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words “may”, “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan” or “project” or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company’s ability to control or predict, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the inability of the Company, through its wholly-owned subsidiary, GrowPros MMP Inc., to obtain a license for the production of medical marijuana; failure to obtain sufficient financing to execute the Company’s business plan; competition; regulation and anticipated and unanticipated costs and delays, the success of the Company’s research strategies, the applicability of the discoveries made therein, the successful and timely completion and uncertainties related to the regulatory process, the timing of clinical trials, the timing and outcomes of regulatory or intellectual property decisions and other risks disclosed in the Company’s public disclosure record on file with the relevant securities regulatory authorities. Although the Company has attempted to identify important factors that could cause actual results or events to differ materially from those described in forward-looking statements, there may be other factors that cause results or events not to be as anticipated, estimated or intended. Readers should not place undue reliance on forward-looking statements. While no definitive documentation has yet been signed by the parties and there is no certainty that such documentation will be signed The forward-looking statements included in this news release are made as of the date of this news release and the Company does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
Tetra Bio-Pharma Inc.
Dr. Anne-Sophie Courtois, DVM
Vice President, Marketing & Communications
(514) 360-8040 Ext. 210
anne-sophie.courtois@tetrabiopharma.com
- Published in Medical Marijuana, Tetra Bio Pharma
Tetra Bio-Pharma provides update on status of its Phase 3 Clinical Trial Application of Lead Drug Candidate PPP001
Momentum Public Relations
Press Release: December 11, 2017
Tetra Bio-Pharma Inc. (“Tetra” or the “Company”) (TSX VENTURE:TBP)(OTCQB:TBPMF), a global leader in cannabinoid-based drug development, announced today that the Company has accepted the suggestion of Health Canada to change the order of its clinical trial application (CTA) review process. As such, the quality certification for the manufacturing of PPP001 will take place prior to the approval of its clinical trial protocol as Health Canada assesses its partner Aphria’s operations for Good Manufacturing Practices (GMP) for pharmaceutical products. Tetra agrees to this change from Health Canada because it is in the best interest of patients.
This change in the usual CTA approval process is expected to potentially extend the review process by 30 days. Tetra continues to expect PPP001 to become the first cannabis-derived inhalation drug to receive a drug identification number (DIN) from Health Canada, as well as pharmaceutical drug status from the FDA. The phase 3 trial should therefore begin in early 2018. The Company expects this change to have only a minor impact on time to market for PPP001.
Tetra received approval for the ethics review board on November 6th and subsequently submitted a Clinical Trial Application (CTA) for its Phase 3 clinical trial in cancer patients. This trial is expected to be a landmark clinical trial and is the first of its kind, enrolling a total of 946 subjects. Dr Guy Chamberland, Tetra’s Chief Scientific Officer (CSO) commented that: “a GMP certification from Health Canada’s drug inspectorate is welcome as this certification will signal to the company that its manufacturing partners comply with GMP requirements for drug approval and increases the measures put in place to ensure patients’ safety.” Once the trial is initiated, The Company will accelerate enrolment by expanding the number of clinical sites as it aims to adhere to its target date for filing PPP001 as a prescription drug (with a drug identification number – DIN) to Health Canada.
About Tetra Bio-Pharma:
Tetra Bio-Pharma (TSX VENTURE:TBP)(OTCQB:TBPMF) is a biopharmaceutical leader in cannabinoid-based drug discovery and clinical development. Tetra is focusing on three core business pillars: clinical research, pharmaceutical promotion and retail commercialization of cannabinoid-based products.
More information at: www.tetrabiopharma.com
Source: Tetra Bio-Pharma
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-looking statements
Some statements in this release may contain forward-looking information. All statements, other than of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words “may”, “will”, “should”, “continue”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan” or “project” or the negative of these words or other variations on these words or comparable terminology. Forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond the Company’s ability to control or predict, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the inability of the Company, through its wholly-owned subsidiary, GrowPros MMP Inc., to obtain a licence for the production of medical marijuana; failure to obtain sufficient financing to execute the Company’s business plan; the success of the Rx Princeps™product offering and inhalation device; guidance on expected sales volumes associated with the Rx Princeps™product offering and inhalation device; competition; regulation and anticipated and unanticipated costs and delays, and other risks disclosed in the Company’s public disclosure record on file with the relevant securities regulatory authorities. Although the Company has attempted to identify important factors that could cause actual results or events to differ materially from those described in forward-looking statements, there may be other factors that cause results or events not to be as anticipated, estimated or intended. Readers should not place undue reliance on forward-looking statements. The forward-looking statements included in this news release are made as of the date of this news release and the Company does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
Tetra Bio-Pharma Inc.
Dr. Anne-Sophie Courtois, DVM
Vice President, Marketing & Communications
(514) 360-8040 Ext. 210
anne-sophie.courtois@tetrabiopharma.com
www.tetrabiopharma.com
- Published in Medical Marijuana, Tetra Bio Pharma
Tetra Bio-Pharma Plays to Its Strengths with Pharma Approach, Plus Exclusive Interview — CFN Media
Tetra Bio-Pharma Plays to Its Strengths with Pharma Approach, Plus Exclusive Interview — CFN Media
SEATTLE, WA–(Marketwired – May 4, 2017) – CFN Media Group (“CannabisFN”), the leading creative agency and digital media network dedicated to legal cannabis, announces publication of an exclusive interview and article discussing Tetra Bio-Pharma Inc. (CSE: TBP) (OTCQB: GRPOF) and its transition to a pharmaceutical-like approach to the cannabis industry. The interview is with Dr. Guy Chamberland, Tetra’s Chief Science Officer.
Smoked Cannabis Trials
Most mainstream physicians are hesitant to recommend the use of medical marijuana to treat any medical conditions due to the lack of controlled clinical trials. In many cases, there’s only anecdotal evidence of efficacy in treating certain medical conditions and several studies have shown possible negative side effects. There’s also a huge difference between various strains available on their market and very little data supporting one over another.
Tetra Bio-Pharma’s flagship clinical program intends to assess the safety and efficacy of smoked marijuana in treating pain in patients with cancer and AIDS. By doing so, the company aims to achieve prescription drug coverage to make medical marijuana more affordable for patients while reassuring physicians that the treatment is both safe and efficacious. The move could have tremendous implications for the industry that still struggles with a negative stereotype.
The team worked closely with U.S. and Canadian regulators to design and implement a Phase I safety trial (ongoing) that will eventually move to a large-scale Phase III efficacy trial targeting pain in patients where opioids and other options have been ineffective.
Partnerships
Tetra Bio-Pharma has recently unveiled several different partnerships that help expand its footprint and advance its clinical pipeline. On April 3, the company announced a definitive agreement to develop and commercialize a drug product containing dronabinol for the management of anorexia and cancer chemotherapy-related pain. The new product will be an oral mucoadhesive tablet based on IntelGenx’s proprietary AdVersa® technology, which avoids common side effects associated with the original drug, including upset stomach and headache.
On April 19, the company announced plans for the joint distribution of dried medical cannabis in the Maritime Provinces and Quebec with Aphria Inc. The agreement provides the company with dried cannabis for use in its aforementioned clinical trial program while generating near-term revenue to help finance the program’s development. This helps the company avoid the cost of establishing its own grow operations.
Please follow the link to read the full article and see the interview: http://www.cannabisfn.com/tetra-bio-pharma-plays-strengths-pharma-approach-plus-exclusive-interview/
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About CFN Media
CFN Media (CannabisFN), the leading creative agency and media network dedicated to legal cannabis, helps marijuana businesses attract investors, customers (B2B, B2C), capital, and media visibility. Private and public marijuana companies and brands in the US and Canada rely on CFN Media to grow and succeed.
CFN launched in June of 2013 to initially serve the growing universe of publicly traded marijuana companies across North America. Today, CFN Media is also the digital media choice for the emerging brands in the space.
Disclaimer:
Except for the historical information presented herein, matters discussed in this release contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Emerging Growth LLC, which owns CFN Media and CannabisFN.com, is not registered with any financial or securities regulatory authority, and does not provide nor claims to provide investment advice or recommendations to readers of this release. Emerging Growth LLC may from time to time have a position in the securities mentioned herein and may increase or decrease such positions without notice. For making specific investment decisions, readers should seek their own advice. Emerging Growth LLC may be compensated for its services in the form of cash-based compensation or equity securities in the companies it writes about, or a combination of the two. For full disclosure please visit: http://www.cannabisfn.com/legal-disclaimer/.
- Published in Medical Marijuana, News Home, Tetra Bio Pharma
Prince of Pot Being Popped at Pearson En Route to Pot Festival Appears to Prompt Pot Stocks
Smoke and Mirrors in the Market:
Prince of Pot Being Popped at Pearson En Route to Pot Festival Appears to Prompt Pot Stocks
Marijuana stock prices went on something of a roller coaster ride last week. In Canada it looks as if a combination of factors drove down valuations. To begin with, two class action law suits were filed against licensed medical marijuana producers, Mettrum Ltd., and OrganiGram Inc. which may have driven down the market. The two companies shipped product that contained toxic pesticide residues.
Pot stock prices revived when Marc Emery’s Cannabis Culture “dispensaries” in Ottawa, Toronto, Hamilton and Vancouver were raided and The Prince or Pot himself, Marc Emery and his wife Jodie, presumably the Princess of Pot were arrested at Pearson International Airport as they were on their way to a marijuana festival in Spain.
The smart money has argued that pot stocks fell back because they had been oversold. Investors have been figuring in the profits that will flow when legalization takes place and the doors to a much wider market opened. Bill Blair, the former police chief who is Ottawa’s point man on legalization recently said that a marijuana legalization bill will be tabled this spring. He has also said that Ottawa will take its time to make sure they get it right. It now looks as if the elephant next door may have had more to do in driving Canadian marijuana stocks down than Mettrum and OrganiGram.
Trump’s new attorney general Jeff Sessions, well known for calling a white lawyer a race traitor for taking on a voting rights case, and as an anti-marijuana advocate, pronounced not once but twice last week, that he would enforce American federal marijuana laws in an appropriate way. This may open a rift between the states and the American federal governments because 29 states have legalized medical marijuana and 8 states have legalized recreational marijuana. Sessions has also been described as Donald J. Trump’s intellectual godfather.
Canadian marijuana stocks may have rebounded because Canadian producers have taken action to deal with the contamination issue. Mettrum and OrganiGram have both issued voluntary recalls. Their executive suites have also been reshuffled. The Cannabis Canada Association which includes almost every licensed medical marijuana producer has also voted for mandatory product testing.
At this point you may be asking yourself how is this going to affect companies like Tetra Bio Pharma (TBP:CSE) which is concentrating on scientifically developing and producing marijuana derived drugs for the treatment of chronic pain and other ailments. The simple answer is that this is a minor tempest in a minor teacup that won’t affect serious pharmaceutical companies. Companies like Tetra which are run by experienced research scientists with a history that includes bringing botanically derived drugs to market know that you can’t fudge the science. Tetra knows this well enough to be engaged in developing its own strain of marijuana to make sure that precise and scientifically measured doses will be delivered.
As for the marijuana companies listed on the TSX chances are that they will rebound as marijuana enthusiasts keep pushing the stock prices up. Remember, they have been waiting for this moment for 30 or 40 years.
As for the Emerys, they seem to be convinced that pot has already been legalized and simply not paid any attention to the numerous times the prime minister has said that until the marijuana laws are changed they remain in effect. We all know the market can be unpredictable but even so, it’s hard to believe the arrest of a well known gadfly, his wife and employees would drive up the price of what to all extents and purposes is an agricultural commodity. After all, people who break the law are arrested many times a day.
No, the recent Canadian arrests are more about market share and who gets to sell it rather than anything else. What the federal government has done is signal that it is not going to tolerate a wild west marijuana trade after legalization. In all probability the liberals will put in place a highly regulated sales environment to prevent criminal gangs from profiting.
Meanwhile, south of the border, American lawyers are advising their marijuana producing clients to remember to dot their i’s and cross their t’s. Just as Al Capone was finally sent to jail for income tax evasion they are suggesting that Sessions will launch his anti-marijuana jihad by prosecuting them for failing to meet labour standards, accounting standards or paying all their federal taxes. Sessions also has a history of playing fast and loose with the law. As a prosecutor in Arkansas he had a history of filing indictments against Democrats who had a chance to win against Republican candidates in local elections.
- Published in Blog, Medical Marijuana, Tetra Bio Pharma
Is Big Ganja The Next Big Pharma?
Is Big Ganja The Next Big Pharma?
2016 brought the demise of Bowie, the rise of the alt-right and the surprise election of a Cheeto as President of the United States.
The 420 front was one of few sectors growing by leaps and bounds. Last year may have been the biggest ever for marijuana reform, with three additional states giving the nod to medical pot and four to recreational use.
Cannabis research firm The ArcView Group predicts a staggering $22 billion in legal marijuana sales by 2020. Unwilling to let grass grow under their feet, tech giants are prepared to spend big for a place in the race to become the Google of cannabis.
Marijuana and tech conspired in a big way in 2016. Microsoft and Oracle Corporation backed seed-to-sale software helping medical cannabis companies transact in compliance with regulations.
However, the year’s fresh crop of cannabis hardware is the real talking point; 2016 introduced marijuana tech products of a novel strain. These innovations expertly blur boundaries between medical technology and consumer goods. One such gadget is LEAF, an automated home growing system managed via smartphone app.
“I’ve been using [medical cannabis] since I got out of the [Israeli] military in 2010,” says LEAF CEO Yoni Ofir. His Colorado-based company offers plug ‘n plant technology that automates every conceivable factor in the growing process, such as nutrition, temperature and humidity regulation. “You can use data and sensors to make everything accurate and increase the chance of a great crop,” says Ofir.
With LEAF on their side, medical marijuana patients and recreational users alike can grow their own cannabis with minimal physical input. “It’s basically a medical-grade lab,” says Ofir. Besides helping stoners get the best from their bud, LEAF could be a lifeline for patients with chronic illnesses and disabilities. Conserving time, money and effort makes it much simpler to maintain treatment plans.
From an aesthetic perspective, LEAF’s sleek device would look perfectly at home in an Apple store. “Design leads everything that we do at our company,” says Ofir. “It should be important for any upcoming marijuana tech company.”
The past year’s other marijuana tech innovations mirror LEAF’s preoccupation with both automation and aesthetics. Tel Aviv-based Syqe (pronounced ‘Psyche’) Medical’s pocket-sized cannabis inhaler delivers precision dosing through preloaded cartridges. The device’s current incarnation features chic white casing reminiscent of a Fujifilm Instax camera.
Photo courtesy of Syqe Medical
LEAF’s hefty price tag makes it near inaccessible to those who could benefit most from automated growing. The LEAF system itself will set consumers back a cool $2,990. Filters and nutrient packs required for a single grow cost $39 a pop. Once launched in the U.S., Syqe’s inhaler could also come at a similarly high buying cost with comparable long-term maintenance expenses.
Even though it’s usually cheaper than recreational pot, medical marijuana still isn’t cheap, and can cost around $40 for an eighth of an ounce, according to a user generated data bank called PriceOfWeed.com that’s on the low end of the spectrum. Investing in LEAF would certainly cut costs in the long run, it’s simply a case of spending money now to save money in the future. Investment buys are out of reach for many patients prescribed medicinal Mary Jane, whether we’re talking about a medical device or a Rolex.
If cannabis tech becomes user experience-focused at the expense of accessibility, essential innovations could be limited to the recreational market. Marijuana tech companies are ultimately profit-driven businesses, but there’s plenty that can be done on both company practice and federal policy levels.
“With technology, the more units being sold, the cheaper the price,” says Ofir. “Medical users have a lot to gain, because it just happens to be the same plant that the recreational users want.” However, companies have more socially responsible options available than developing a device and letting the free market decide its accessibility.
Price breaks from marijuana tech companies could offer a practical solution to increased accessibility. Several New Jersey dispensaries offer discounts to low-income patients, military veterans, senior citizens and minors. If cannabis companies applied this approach to their retail policy, medical users could have increased access to vital treatment tools without compromising on profitability.
In contrast with the inaccessibility of some medical marijuana hardware, accessible advances can and do exist in the realm of software. Releaf, a free app for Android and iOS helps patients manage cannabis dosing and gather treatment data for doctors. This sleek, intuitive app holds a five-star average rating across platforms.
Although currently unmonetized, Releaf offers ample opportunity for future monetization models such as in-app purchases and sponsorships. The only limit is developer Automata Studios’ creativity.
Photo courtesy of LEAF
A major shift in federal policy is also key to ensure widespread marijuana tech accessibility for medical users. The Controlled Substances Act classifies cannabis as a Schedule I drug without medicinal value, although policy at state levels often differs. Health insurance companies, whether funded privately or via social welfare programs, steer clear of this murky territory to the detriment of patients.
Medical marijuana patients are almost always forced to pay out of pocket for prescribed expenses. Marijuana Policy Project state policies director Karen O’Keefe blames bureaucratic obstacles for this lack of assistance. “In our experience, the vast majority of health insurance companies have not been willing to cover medical marijuana,” says O’Keefe. “Most or all medical marijuana laws explicitly say [insurance companies] are not required to cover the costs of medical cannabis.”
Without policy reform to facilitate coverage, technological bells and whistles like LEAF will remain inaccessible to those who could benefit from them most. “The passage of the CARERS Act, which would change federal law to formally recognize state medical marijuana programs, or the outright de-scheduling of marijuana are the most important,” says O’Keefe.
It’s too soon to tell what the incoming Trump administration could mean for medical marijuana policy. However, cannabis tech companies certainly hold sway in ensuring more immediate access to innovations for medical users. Rather than relying on trickle-down of treatment tools via recreational consumers, targeted price breaks and placing pressure on insurance providers could make the world of difference for patients without tarnishing turnover.
- Published in Blog, Medical Marijuana, Namaste Technologies, Tetra Bio Pharma