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

Seed InnovationsAnnouncement

07/12/2023 17:00

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RNS Number : 0885W  Seed Innovations Limited  07 December 2023

7 December 2023

SEED Innovations Limited

("SEED" or the "Company")

Investee Company Update: Little Green Pharma Ltd

 

SEED Innovations Ltd, the AIM-quoted company investment company providing
shareholders with exposure to early-stage health, wellness and medical
cannabis companies to which, in normal circumstances, they have limited access
to, is pleased to note an announcement from its portfolio company, Little
Green Pharma Ltd ('LGP') on the ASX. LGP is well-positioned to capitalise on a
significant amendment to the French health security bill, one which is set to
bring about a substantial transformation in the integration of medicinal
cannabis into the French healthcare system.

 

The Company owns 7,324,796 ordinary shares in LGP representing 2.44% of LGP's
issued share capital.

 

Commenting on the announcement, Ed McDermott, CEO of Seed said: "I am thrilled
to see LGP's continued commitment to supplying the French medical cannabis
market. The French government securing a post-pilot transitional period supply
of up to nine months, followed by a bespoke, subsidised public access regime
for an indefinite period, is a significant step forward. As one of the select
few companies supplying during this transitional period, LGP remains at the
forefront of the market. This positions LGP as a key player not only during
the transitional phase but also underscores its strong potential to play a
pivotal role as the French market develops well beyond. This achievement marks
a positive milestone for both LGP and the advancement of medical cannabis
accessibility in France."

 

The following announcement extract is set out without material changes or
adjustments and the announcement in full can be accessed from the following
link:
https://www.investlittlegreenpharma.com/site/showdownloaddoc.aspx?AnnounceGuid=00ebb2cd-0780-48fa-81ec-dc3b5300386b
(https://www.investlittlegreenpharma.com/site/showdownloaddoc.aspx?AnnounceGuid=00ebb2cd-0780-48fa-81ec-dc3b5300386b)

 

LGP to capitalise as France integrates medicinal cannabis into healthcare
system

 

·    LGP to significantly benefit from new laws governing two-stage
post-French Pilot medicinal cannabis supply in France

·    First stage is a 9-month transitional period covered by a €10m
budget during which LGP and two other suppliers have an exclusive right to
supply

·    Second stage is a bespoke, subsidised public access regime for
medicinal cannabis products meeting certain product registration requirements

·    LGP and its distribution partners to capitalise on first mover
advantage following their continuous supply to the Pilot since 2021 and
long-established relationships with existing patient, hospital prescriber, and
pharmacy networks

·    France represents one of the largest potential medicinal cannabis
markets in Europe with a Total Addressable Market of €5.6 billion (A$9.3
billion)¹

 

Little Green Pharma Ltd (ASX: LGP, "LGP" or the "Company") is poised to
significantly capitalise on a major amendment to the French health security
bill, paving the way for a substantial transformation in how medicinal
cannabis is integrated into the French healthcare system.

 

In 2021, LGP and leading French pharmaceutical distributors, Intsel Chimos and
Centre Lab, were appointed as primary supplier and distributor of LGP's 1:20
THC:CBD and CBD50 medicinal cannabis oils for a two-year French pilot of
medicinal cannabis products in the treatment of certain clinical conditions
("Pilot").² Both 1:20 THC:CBD and CBD50 medicinal cannabis oil products were
produced at LGP's Australian operations.

 

Following its initial success, the Pilot was extended for a third year until
March 2024³ with LGP and Intsel Chimos re-appointed as primary CBD oil
supplier for both products.⁴

 

With the program nearing the end of the extension period, the French
Government has signed into law an amendment to the Projet de loi de
financement de la Sécurité sociale (Social Security Financing Order)
("PLFSS") which supports the post-Pilot supply of medicinal cannabis from
March 2024.

 

The Amendment confirms up to a 9-month transitional period ("Transitional
Period") followed by a bespoke, subsidised public access regime for an
indefinite period ("Supply Authorisation Period").

 

 During the Transitional Period, an exclusive supplier pool of only the
existing suppliers engaged in the Pilot program - LGP, Aurora and Panaxia -
will be entitled to supply patients with medicinal cannabis.

 

The Supply Authorisation Period will see the establishment of a subsidised
public access regime for medicinal cannabis in France, providing improved
accessibility to French patients. Full announcement:
https://tinyurl.com/3cte6884 (https://tinyurl.com/3cte6884)

 

¹  EUR = 1.66549 AUD

² Refer to ASX announcement dated 27 January 2021

³ Refer to December Quarterly ASX release dated 16 January 2023.

⁴ Refer to ASX announcement dated 8 May 2023

-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: seed@stbridespartners.co.uk

 Ana Ribeiro        Financial PR

 Isabelle Morris

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.

 

 

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