Creso doubles down on LatAm with Brazil cannabis import licence
Health & Biotech
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Special Report: Creso Pharma has won a Brazil import licence for its cannaQIX®50 medical cannabis.
South America is the next frontier in medical cannabis and ASX pot stock Creso Pharma (ASX:CPH) has just won a licence to start importing its first medical cannabis product into Brazil.
Creso and its marketing partner SIN Solution have the nod from the health regulator ANVISA to import and begin selling cannaQIX®50, a lozenge designed to help manage chronic pain.
Latin American market access specialist SIN Solution will target the cities of Sao Paulo, Rio de Janeiro, and Curitiba (Parana) first which have a combined population of over 22m people.
The main targets are oncologists and neurologists with an initial estimated addressable market of over 50,000 patients.
“We are excited to receive this ANVISA approval for our first medicinal cannabis product for the Brazilian market,” said Creso commercial director Jorge Wernli.
“We can now provide patients in Brazil with access to the cannaQIX® product line which has additional benefits, particularly bioavailability, compared to currently available medical cannabis oils on the market.
“The challenge with medical cannabis products is the efficient delivery of the natural full spectrum plant substances to the body – a challenge that we at Creso have managed to overcome.”
Creso will import cannaQIX®50 through an established Brazilian company in San Paulo called MedDepot, that’s associated with the SR Group, a North American medicine distributor with headquarters in Miami.
cannaQIX®50 contains full spectrum hemp oil-based CBD that, combined with vitamins, minerals and capsicum in an innovative proprietary delivery system, provides fast absorption and a high bioavailability in the body.
Creso is not the first Australian company to target Latin America, but is the first to start selling products in the region.
Affinity Energy (ASX:AEB) and AusCann (ASX:AC8) both set up growing operations two years ago in the region, but neither are selling their own house-branded products there.
Creso is the only listed Australian cannabis company with pharma-grade, GMP cultivation and production operations and substantial assets in Canada, estimated to be worth over $C100 million.
It said recently that human health products CannaQIX® 10 and CannaQIX® 50 are growing steadily and four new CBD hemp-oil and hemp-seed oil based products are ready for launch: cannaQIX® NITE, cannaPEAL® and cannaPEAL®NITE for helping with stress and sleep, and cannaDOL® Revitalise, a functional topical gel for muscle pin relief and joints revitalisation.
This week, Creso also raised $5.35m as secured loans from five sophisticated investors, including $C800m Canada-listed cannabis company Pharmacielo.
Pharmacielo specialises in growing cannabis in open-air greenhouses in Colombia, a country Creso jumped into in December with the acquisition of medicinal cannabis group Kunna S.A.S and its parent company Kunna Canada.
That made Creso the only ASX-listed cannabis company to have direct exposure to Colombia, and now it has a Canadian strategic investor with eyes on that country too.
The other four companies to tip in money were Parry Capita, Jamber Investments, Pheakes, and Penn Financial.
The cash will go towards supporting the sales and marketing of Creso’s products and accelerating its global cannabis cultivation and production operations.