WA Cannabis stock Little Green Pharma chosen to supply a significant French medical cannabis trial
Health & Biotech
Health & Biotech
Little Green Pharma (ASX:LGP) has announced it is taking part in a major French medicinal cannabis trial.
The WA company, one of the few local cannabis companies to grow its own produce locally and export overseas, has been hired as the primary medicinal cannabis oil manufacturer in partnership with local drug distributor Intsel Chimos.
France’s health regulator (the ANSM) is running a 3,000 patient clinical trial testing the efficacy, safety and quality of medicinal cannabis products for the French public.
While medicinal cannabis hasn’t yet been legalised in France, the market value has been estimated as €4 billion ($6.27 billion) at maturity.
Little Green Pharma reckons this trial could be a key catalyst to unlock this value and once this happens, it will have a head start over other companies.
“We believe the trial will demonstrate the partnership’s credibility and reliability to the French medicinal community, giving both companies a significant advantage once medicinal cannabis is legalised in France,” said managing director Fleta Solomon.
Speaking about the partnership with Intsel, Solomon commented,” We trust this marks the beginning of a long and rewarding partnership as we look to grow and cement our reputation amongst French patients and prescribers as a world class medicinal cannabis supplier.”
Other tender winners include Canadian company Aurora Cannabis and Israeli company Panaxia. Cannabis Wire is reporting that fellow ASX cannabis stock Althea (ASX:AGH) has been chosen too although Althea has not commented this morning.
Little Green Pharma has been listed on the ASX since last February. While shares lagged for much of its listed life, it has taken off in recent months in conjunction with the broader sector.
This has been a result of substantial deregulation such as the TGA and the UN declassifying of certain cannabis products as well as hope that federal decriminalisation is on the way with the Democrats retaking the White House & Congress.
Little Green Pharma gained another 10 per cent this morning taking it to 64 cents – 42 per cent higher than its IPO price.