Heritage Cannabis Holdings Corp. (CSE: CANN) (OTCQX: HERTF) announced on Monday that its subsidiary Opticann signed two supply agreements with two well-established Australian companies for the supply of medical cannabis products.
IntelGenx Corp. (TSX V: IGX) (OTCQB: IGXT) teamed up with Canadian medical cannabis producer last year Heritage Cannabis Holdings Corp. to produce wrap products containing CBD. Using IntelGenx’s proprietary VersaFilm, the strips are placed under the tongue where CBD is released and quickly absorbed into the bloodstream. The film strips, the size of a postage stamp and containing 10 milligrams of CBD, will be distributed in the Canadian and Australian markets.
Under the terms of the agreement, IntelGenx received its first order from Heritage for 50,000 CBD films in January 2021. In March, IntelGenx completed its first shipment to Heritage Cannabis Holdings Corp.
“Australia is a large and rapidly growing medical market as it is set to grow at over 30% CAGR by 2028 according to Grand View Research,” said Umar Syed, president of the medical division of Heritage. “Our Australian distribution partners have been carefully selected for their ability to develop the market for CBD products and monitor the evolution of TGA regulations, including a possible S3 classification which allows the distribution of over-the-counter CBD products. Our proprietary, Quick Dissolving Sublingual CBD Film Strips are unique (CB4 Control Film Strips in Canada) in providing medical patients with rapid onset and maximum bioavailability of CBD compared to oral products. We are delighted to have completed our first shipments to Australia and plan to add additional products in the future. “
David Schwede, CEO of Heritage, seemed equally satisfied.
“As we continue to develop our market and the distribution of our brand in Canada, it is important for us to monitor and act in new markets with a strategic approach in order to capitalize on new market opportunities,” said Shwede. “By partnering with these well-established companies in Australia, we can leverage their local knowledge and expertise, while minimizing the costs and risks of entering new markets,” said Business Wire.