Medipharm Labs (LABS.T) completed its first shipment of bottled cannabis topicals under a contract manufacturing agreement, and accelerated their research and development program to expand the company’s presence in the topicals market, yesterday.
The company completed its first shipment of topicals from its GMP certified Barrie facility this week including the filling and packaging on behalf of its customer. The topicals, shipped earlier this week, will be distributed by the customer.
“We completed our first topical unit shipment direct to our customer earlier this week. As we continue to evolve our platform and add expertise in the area of topicals, we will be able to forge new agreements that will engage more of our capabilities including innovation services that extend customers’ product solutions,” said Pat McCutcheon, CEO of Medipharm Labs.
The company’s focused R&D effort is dedicated to creating base compounds that are the foundation of cannabis topicals like lotions, salves, gels and creams. The company would look to commercialize its in-house developed compounds initially within Canada, and then in other international markets where permissible.
“Following cannabis 2.0 legalization in Canada, it’s clear there is demand for cannabis topicals. We also expect worldwide demand for topicals could increase as new cannabis markets start to come on line and legalize concentrate-based products. With our GMP-certified platform, and deep scientific resources, Medipharm Labs is capable of creating novel, high-quality, high-potency base compounds that our customers and medical and adult-use consumers can trust,” said McCutcheon.
Also, following cannabis 2.0 legalization in October of 2019, Medipharm Labs started delivering its first white-label products, conducting sensory tests, process, package and distribute cannabis-derivative products for others, including CPG (consumer packaged goods) companies and direct-to-consumer brands.
Cannabis-infused topicals are already legal in Canada, providing an excellent near-term market opportunity. Medipharm Labs believes that as new jurisdictions legalize products made from cannabis concentrates, including topicals, that it will be well-positioned to become an essential part of the topicals supply chain with its GMP-certified production capabilities, product traceability, manufacturing scale and deep knowledge of cannabis science.
The company’s first product—called Medipharm Labs CBD Regular Formula 25—is a 25:1 high-CBD, low-THC regular strength oil containing approximately 25 milligrams/millilitres of CBD to one mg of THC. It’s made using full-spectrum cannabis concentrates processed at Medpharm Labs’ GMP-certified facility under strict manufacturing standards, producing a product with exceptional quality and purity, and with a unique flavour profile. The coconut/palm-based MCT carrier oil has been carefully chosen for its sustainable practices from plantation through manufacturing.
“True to our pharma roots, based on a foundation of quality, our first branded product is a high-concentration CBD oil, created by our expert pharmaceutical team, specifically for medical and wellness purposes. We believe our focus on purity, potency and price will make Medipharm Labs CBD Regular Formula 25 Canada’s preferred choice,” said McCutcheon.
Medipharm Labs will continue to expand its product portfolio and develop other derivative products such as gel caps and topicals under its brand name. The company’s in-house R&D team includes experts in chromatography, minor cannabinoid isolation and water-soluble cannabinoid technologies to support these efforts.