REG - Seed Innovations Ltd - Investee Company Update: Little Green Pharma Ltd

Seed InnovationsAnnouncement

09/05/2023 10:00

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RNS Number : 7946Y  Seed Innovations Limited  09 May 2023

09 May 2023

 

SEED Innovations Limited

 

("SEED" or the "Company")

 

Investee Company Update: Little Green Pharma Ltd

 

SEED Innovations Ltd, the AIM-quoted company investing in fast-growing and
industry-leading businesses with a focus on the medical cannabis, health, and
wellness space, is pleased to note an announcement released on the ASX by its
portfolio company, Little Green Pharma Ltd ('LGP')

 

The Company owns 7,324,796 ordinary shares in LGP representing 2.45% of LGP's
issued share capital.

 

The following extract from the announcement is set out without material
changes or adjustments and the announcement in full can be accessed from the
following link:  https://investor.littlegreenpharma.com/site/content/
(https://investor.littlegreenpharma.com/site/content/)

 

 

LGP wins extended French government tender

Highlights:

·    LGP appointed a primary CBD oil manufacturer for third year of
extended national French medicinal cannabis Trial

·    Reaffirms LGP's commitment to one of the largest EU markets critical
to LGP's EU strategy, which portfolio includes Germany, the UK, Denmark,
Poland, and Italy

·    Provides Company with significant first mover advantage in future
French market and cements LGP's reputation as a key and reliable medicinal
cannabisproduct supplier across France

·    Company to obtain unique insight and influence over development of
future medicinal cannabis statutory framework in France including
reimbursement status

·    Continued Trial participation consistent with Company's long-term
growth strategy and prior Trial investment as well as supplying much needed
medication to patients

·    Trial has reported consistently positive clinical results to date,
with continuing success anticipated to catalyse legalisation of a French
medicinal cannabis Total Addressable Market of up to €5.6 billion

·    Gives LGP a rare first mover opportunity to capitalise on one of the
largest potential medicinal cannabis markets in Europe

 

Little Green Pharma Ltd (ASX: LGP, "LGP" or the "Company") is pleased to
announce its re-appointment as a primary supplier of its 1:20 THC:CBD
medicinal cannabis oil to the extended French national medicinal cannabis
trial ("Trial") in partnership with leading French pharmaceutical distributor
IntselChimosand its manufacturing partner, Centre Lab ("Partnership").

 

The Trial has already shown consistently beneficial clinical outcomes over its
first two years, with 91% of the current 1,453 patients reporting positive
results and various expert reports on the Trial interim results all providing
positive feedback 1  (#_ftn1) .To date, the Company has supplied its 1:20
THC:CBD and CBD50 oils to patients in the Trial, and as the majority supplier
of the Trial during this period the Company has become a well-recognised
supplier in the French market and has a strong relationship with French
pharmaceutical regulators.

 

Following the Trial's initial success, in September 2022 the French government
announced it proposed to extend the Trial for a third year, until March
2024 2  (#_ftn2) . The terms of the extended Trial tender are substantially
similar to the original Trial terms 3  (#_ftn3) save that the suppliers will
now also be compensated with €14 per unit during the extended period. The
Company also tendered and has also been awarded on the basis that its total
supply obligation is capped at ~11,000 units.

 

The Trial is conducted across France and LGP is the only supplier to have
provided both ratios of CBD dominant products, with 85% of the 3,000 Trial
patients having started their Trial with an LGP product, and with
participating prescribers trained specifically in prescribing LGP products.

 

As the majority supplier to the Trial to date, LGP's continued participation
allows the Company to capitalise on its historic investment while cementing
its reputation among French regulators, prescribers and patients as a
longstanding and trusted supplier of medicinal cannabis products, as well as
providing access to the supply and dispensing pathways in France.

 

LGP's role as an ongoing supplier to the Trial will also consolidate the
Company's significant first mover advantage in a future French medicinal
cannabis market, as well as giving the Company unique insight and influence
over the development of a future medicinal cannabis statutory and economic
framework in France, including its reimbursement status.

 

The resulting Trial study will comprise one of the largest European data
collections on cannabis, with the success of the Trial already generating
calls by patient associations for the legalisation of medicinal cannabis as
soon as possible.

 

LGP's partners in the Trial comprise Intsel Chimos, a French pharmaceutical
company and recognised hospital distributor with a track record of more than
50 years in the space and specialising in the importation and distribution of
medicines (including narcotics) to French hospitals and dispensaries;and
Centre Lab, a pharmaceutical manufacturer who works closely with
IntselChimosin France. Under the Partnership, LGP will manufacture and supply
its medicines into France while IntselChimosand Centre Lab will undertake
batch-release, distribution, medical information, and pharmacovigilance
obligations to the Trial. LGP believes working with a longstanding local
French distributor provides the Partnership with unique insights into the
French pharmaceutical market. The Partnership will also share the costs of
manufacturing the extended Trial product equally between them.

 

The Company has also separately submitted a bid to supply its CBD 50 oil
product for the extended Trial period, which tender has now closed and is
being assessed for award. Under these tender terms, bidders are permitted to
bid commercial prices up to a cap of up to €1 million for the equivalent of
22,500 bottles of LGP's CBD 50 (50ml) medicinal cannabis oil.

 

LGP believes its success in the Trial continues to confirm the advantages of
developing a robust, export-led sales strategy as well as its status as a
significant global exporter of medicinal cannabis. With a potential Total
Addressable Market of $5.6 billion 4  (#_ftn4) , if legalised in France LGP
believes the limited number of Trial suppliers will give LGP a rare first
mover opportunity to capitalise on one of the largest potential medicinal
cannabis markets in Europe.

 

End of Little Green Pharma Ltd announcement:

- Ends -

 

 

For further information on the Company please
visit:    www.seedinnovations.co (http://www.seedinnovations.com/)
     or contact:

 

  Ed McDermott        SEED Innovations Ltd             E: info@seedinnovations.co 

 Lance de Jersey                                        
 James Biddle         Beaumont Cornish Limited,        T: (0)20 7628 3396

 Roland Cornish       Nomad                             
 Isabella Pierre      Shard Capital Partners LLP       T: (0)20 7186 9927

 Damon Heath          Broker
 Catherine Leftley    St Brides Partners Ltd,          E: info@stbridespartners.co.uk

 Isabelle Morris      Financial PR

 Max Bennett

 

 

Notes

 

Seed Innovations Ltd

 

SEED Innovations is an AIM quoted investment company focused primarily on
disruptive high growth life sciences and technology businesses particularly
within the medical cannabis arena. The Company's strategy is to identify
early-stage opportunities that have an upcoming investment catalyst and grow
its portfolio in terms of value whilst limiting the number of investee
companies to a level where relevant time can be devoted to each.

 

 

About Little Green Pharma

 

Little Green Pharma is a global, vertically integrated and geographically
diverse medicinal cannabis business with operations from cultivation and
production through to manufacturing and distribution.

The Company has two global production sites for the manufacture of its
own-branded and white-label ranges of GMP-grade medicinal cannabis products,
being a 21,500m2 cultivation and 4,000m2 GMP manufacturing facility capable of
producing over 30 tonnes of medicinal cannabis biomass per annum located in
Denmark (EU) and an indoor cultivation and manufacturing facility located in
Western Australia capable of producing ~3 tonnes of medicinal cannabis biomass
per annum.

 

Little Green Pharma products comply with all required Danish Medicines Agency
and Therapeutic Goods Administration regulations and testing requirements.
With a growing range of products containing differing ratios of active
ingredients, Little Green Pharma supplies medical-grade cannabis products to
Australian, European and overseas markets.

 

The Company has a strong focus on patient access in the emerging global
medicinal cannabis market and is actively engaged in promoting education and
outreach programs, as well as participating in clinical investigations and
research projects to develop innovative new delivery systems.

 

 1  (#_ftnref1)
https://www.cannabiz.com.au/patients-report-positive-outcomes-from-french-cannabis-trial/

 2  (#_ftnref2) See Company December Quarterly ASX release dated 16 January
2023

 3  (#_ftnref3) See ASX release dated 27 January 22021 for further information
related to the original trial

 4  (#_ftnref4) See https://www.euromonitor.com/cannabis-in-france/report
(https://www.euromonitor.com/cannabis-in-france/report)

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