Tetra Bio-Pharma (TBP.T), a leader in cannabinoid-derived drug discovery and development, has announced that is has signed a Definitive Agreement with DanCann Pharma for the exclusive distribution of Reduvo™ Adversa®, QIXLEEF™ and ENJOUCA™ in Denmark, Norway, Sweden, Finland, and Germany.
“…Both organizations strongly believe that cannabinoid-derived medicines will help improve the quality of life of patients suffering from pain and chemotherapy induced nausea and vomiting (CINV). We look forward to working with DanCann Pharma in the Nordic Countries and Germany. Both organizations set the bar very high when it comes to delivering impactful therapeutic value medicines to patients. This partnership will strengthen our business model and demonstrates that Tetra keeps delivering on our commitment to shareholders to monetize our assets and transitioning from a pre-revenue biopharma company to an in-revenue biopharma company,” said Guy Chamberland, CEO at Tetra Bio-Pharma.
Tetra Bio-Pharma has been making headlines recently, with a flurry of press releases related to the Company’s upcoming portfolio of medicinal cannabis products. From its proprietary veterinary ocular formulation to its botanical cannabinoid-derived medications, Tetra Bio-Pharma has managed to cover a variety of bases while cementing its position as a leader in the medicinal cannabis market. With this in mind, Tetra Bio-Pharma’s latest agreement with DanCann Pharma represents a major milestone for the Company.
In 2019, Europe dominated the cannabis pharmaceuticals market, representing a revenue share of 67.6%. By signing a distribution agreement with DanCann Pharma, a Danish pharmaceutical biotechnology company, Tetra Bio-Pharma now has its foot in one of the largest medical cannabis markets in the world. Additionally, a larger number of physicians are turning to more quantifiable methods of medical cannabis administration. For example, alternatives like cannabis oils, extracts, and pills have become increasingly popular. With this in mind, Tetra Bio-Pharma’s portfolio of products are accurately dosed through a variety of delivery system including tablets and vaporizers.
Tetra Bio-Pharma’s Reduvo™ Adversa® is administered via tablet and is intended to treat patients living with CINV as well as those suffering from AIDS-related anorexia. Furthermore, the Company’s Reduvo™ Adversa® technology will allow DanCann Pharma to release a largely improved version of dronabinol in the Nordic countries and Germany. On the other hand, Tetra Bio-Pharma’s QIXLEEF™ is a botanical cannabinoid-derived medicine inhaled via a Health Canada approved vaporizer, and is indicated for use in treating patients suffering from advanced cancer pain and breakthrough pain.
Subject to registration with the European Medicines Agency (EMA), DanCann Pharma will handle the sales and distribution in the Nordics and Germany for Tetra Bio-Pharma’s cannabinoid-derived medicines as well as the Company’s medicinal cannabis product, ENJOUCA™. The agreement encompasses, a sum of upfront and milestone payments of up to CAD$1.5 million, and expected cumulative royalties in excess of CAD$46 million on DanCann Pharma’s cumulative sales for Reduvo™ Adversa®, QIXLEEF™ and ENJOUCA™ from 2021 to 2028.
“We have very high expectations for the collaboration with Tetra Bio-Pharma. They have a unique portfolio within the pain management and CINV segments, and we look forward to introducing these lines to our markets. We have mutual expectations for the sales to commence during the first half of 2022. DanCann Pharma estimates reaching peak sales of CAD 67 – 81 million by 2028, depending on the development of the markets” says DanCann Pharma’s CCO John Morell Frellsen.
With its latest distribution agreement, Tetra Bio-Pharma has positioned itself nicely in the European medical cannabis market. Moreover, through countless news updates and press releases, the Company has maintained transparency with its shareholders and garnered investor interest.
Tetra Bio-Pharma’s share price opened at $0.475 and has since dropped to $0.455 as of 12:10PM ET.