COPENHAGEN, Denmark, 18 January 2021 - DanCann Pharma A/S (SS: DANCAN) ("DanCann Pharma" or the "Company") hereby announces that its strategic partner, Cannassure Therapeutics Ltd. (TASE: CSURE), an Israeli company specializing in the development and manufacture of innovative medicinal cannabis products, has signed an exclusive licensing agreement with Lipidor AB (Nasdaq First North: LIPI). Under the agreement, Cannassure has the exclusive right to use Lipidor's proprietary drug delivery technology AKVANO® in medicinal cannabis products for the treatment of selected indications such as psoriasis, atopic dermatitis, pain, and lesions. DanCann Pharma is the exclusive multinational distributor of the Israelian-based company's product portfolio for whole Scandinavia.
The exclusive licensing agreement between Cannassure and Lipidor
Under the terms of the agreement, Cannassure shall during the coming years develop products with the goal of entering the market in the non-prescription segment (OTC), and later in the prescription (Rx) segment. Lipidor retains the right to develop cannabis-related products in other indications than those covered by the exclusive licensing agreement. The agreement is valid as long as Lipidor has patent protection of the AKVANO® formulation under existing patents or under possible new patents that may arise during the collaboration.
Cannassure assesses, based on public information, that the market for topical therapies for indications under the scope of this license agreement will undergo a significant growth in the next few years and may exceed USD 50 billion by 2027. Cannassure's ambition is to compete successfully in these fields with innovative cannabis products.
The Distribution Agreement between DanCann Pharma and Cannassure
DanCann Pharma and Cannassure announced back in December 2020 their strategic partnership. Under the terms of the Distribution Agreement, DanCann Pharma will be the exclusive Scandinavian distributor for the product portfolio from Cannassure, including all Cannassure's products in various formulations and further additional products that Cannassure have in their future pipeline.
The Distribution Agreement does not counteract DanCann Pharma's current agreements but creates an even broader product portfolio in terms of dosage, formulation, and delivery (delivery systems) of cannabinoid-based pharmaceuticals for DanCann Pharma with the goal of becoming the leading supplier of medical cannabis in Scandinavia.
Under the terms of the Distribution Agreement, DanCann Pharma will employ its sales, regulatory, and distribution department, to distribute Cannassure's product portfolio in the Territory. The specific products, as well as the branding will be determined mutually by both parties. The Distribution Agreement covers both pharmaceuticals for the Rx- and OTC-market.
DanCann Pharma will submit its first product approval application to the Danish Medicines Agency ("DMA") for the Distribution Agreement in the beginning of 2021 to have the products approved for the Danish Medical Cannabis Pilot Programme. The products are expected to produce significant and strong revenues for DanCann Pharma when successfully commercialized.
Comments by the CEO's
Ran Amir, Cannassure CEO, stated: "We look forward to continuing the successful cooperation with Lipidor in the field of medical cannabis. The AKVANO® non-touch application paired with an excellent uptake of active substance in different skin layers opens for new high-potential treatments with great patient benefits. The common goal is to introduce innovative topical treatments to the fast-growing global market for medical cannabis products."
The CEO of DanCann Pharma, Jeppe Krog Rasmussen, said: "We continue to be very pleased and excited about the future with Cannassure. The strategy is transparent, and we share the same business interests based on the IP-based approach to the market and the unique position. This is confirmed once again by the announcement of this partnership between Cannassure and Lipidor regarding their exclusive agreement for the AKVANO® technology. We look forward to the launch of the product portfolio based on the technology, both for the prescription drug market (Rx) and over-the-counter pharmaceuticals (OTC)."
"This partnership provides further recognition of DanCann Pharma's platform and pipeline - and verify and sustain that we are faithful to our values with this collaboration in terms of quality and innovation. This agreement aligns well with our strategy to strengthen our diversified business and expand our pipeline and product portfolio by becoming the leading Scandinavian brand in the manufacturing and distribution of medical cannabis", said Jeppe Krog Rasmussen, CEO, DanCann Pharma.
About DanCann Pharma A/S (Publ)
DanCann Pharma A/S (SS: DANCAN) was founded in 2018 and is a Danish biopharmaceutical company powered by cannabinoids. DanCann Pharma is a vertically integrated, licensed production and distribution company based in Denmark. The company focuses on discovering, developing, manufacturing, and commercializing new therapeutic cannabinoids in a wide range of disease areas.
About Cannassure Therapeutics Ltd (Publ)
Cannassure Therapeutics Ltd. (TASE: CSURE) is a leading, world class, trusted developer and provider of top-quality-grade medical cannabis products and pharmaceutical cannabinoid medicines, addressing a broad range of unmet medical needs.
AKVANO® is an innovative water-free and sprayable technology for the formulation of drugs and is particularly suitable for local application, for example, to the skin. AKVANO® is comprised of carefully selected lipids and a volatile solvent, which together form a delivery system for selected active substances. By combining different lipids, AKVANO® can be optimized to achieve the desired function of active components in the formulation. When applied to the skin, the solvent evaporates, and a thin lipid layer is formed on the skin surface for effective release of the active substance.
For further information, please contact:
Jeppe Krog Rasmussen, CEO
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