Epsilon signs long-term manufacturing agreement for cannim’s Jamaican cannabis products

0
73

Epsilon has signed another major contract as its world-leading GMP manufacturing facility in Southport continues to attract the attention of medical cannabis power plants.

The global cannabis company Cannim has a two-year contract with. signed Epsilon Healthcare (ASX: EPN) to be its Australian GMP manufacturing partner.

Epsilon has the largest GMP cannabis manufacturing facility in the southern hemisphere in Southport, Queensland, which will manufacture medicinal cannabis products from cannim’s raw materials on a large scale for supply to the Australian market and for global export.

As a global cannabis company that mainly grows on a 500-acre Good Agricultural and Collection Practice (GACP) farm in Jamaica, Cannim has significant supply contracts for flowers and oils to Germany, the UK and Australia.

Over the next two years, Epsilon’s manufacturing line, THC Pharma, will receive bulk imports of dried flowers for packaging and approval of Australian GMP dried flowers.

THC Pharma will also work on contract manufacturing opportunities for global third parties using Cannim’s cannabis material as an active pharmaceutical ingredient (API), including delivery to parties referred to by Cannim.

Cannim’s first HummingBud products released

After receiving the Jamaica-grown cannabis material from Cannim in September, Epsilon packaged, tested, and approved for delivery dried flower products under the Cannim branded HummingBud.

These products are only available on prescription now and are also prescribed by Tetra Health – Epsilon’s wholly owned network of clinics.

To date, Epsilon has received three imports of Cannim’s cannabis feedstock, with additional imports on the way for the remainder of 2021 to be launched as a finished product in the remainder of the fourth quarter of 2021 and through 2022.

The company expects to continue receiving ongoing orders from Cannim and its partners as it collaborates with Cannim.

Praise for Southport manufacturing facility

Cannim’s chief operating officer Lachlan Cameron said he was excited to be working with Epsilon to bring their product to Australia.

“Following our approval of the Jamaican flower in Germany, our manufacturing agreement with Epsilon enabled us to bring our Jamaican cannabis flower to Australia,” he said.

“Your high quality, GMP-certified manufacturing facility will ensure that we provide the best possible expression of our product to patients in need across Australia and beyond.”

Jarrod White, CEO of Epsilon, said Cannim is a leader in the cannabis growing market, demonstrating the significant performance of its Southport facility.

“The combination of our high-volume, EU-GMP-compliant Southport facility with Cannim’s high-volume GACP Jamaican medical cannabis puts both companies in a strong position to supply significant volumes of high quality medicines to both the Australian and global export markets,” he said.

“The partnership encompasses all areas of the Epsilon value chain, from local import and handling of dry product know-how to export and support with the logistics and distribution of the end product.

“This reflects the significant progress and performance improvements at our Southport facility over the past 12 months.”

Epsilon’s Southport facility continues to attract the attention of major medical cannabis manufacturers around the world. In September, Epsilon announced an exclusive partnership with The Valens Company of Canada.

Under the agreement, Valens will fund all operating and capital expenditures at the Southport facility in exchange for preferential access of up to 85% of the facility’s operating capacity over the next five years.

This article was developed in collaboration with Epsilon, a Stockhead advertiser at the time of publication.

This article does not constitute financial product advice. Before making any financial decisions, you should consider independent advice.

SUBSCRIBE TO

Get the latest Stockhead news delivered to your inbox for free.

It’s free. Sign out whenever you want.

This might interest you