Cannabis Wealth Issue 1 by gary-aspectpublishing.co

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Why I swapped a career in precious metals for cannabis Innovating the cannabis supply chain in Europe Should London pilot a legal cannabis industr y?

CW- 2021

THE UK’S CONSUMER CANNABIS ORIGINAL SETS OUT A PLAN TO TAKE THE COMPANY TO NEW HEIGHTS

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Your daily dive into the amazing world of cannabis health and wellbeing, featuring: Inspiring stories from people using cannabis products to overcome adversity The unbiased facts on the very latest cannabis medicine research findings Interviews with leaders at the heart of the cannabis wellbeing revolution Expert opinions from patients, doctors, entrepreneurs, government and the law Plus CBD trends, recipes, hemp fashion, breaking news and more...

www.cannabishealthnews.co.uk @CannabisHnews cannabishealthmag

Covering CBD from every angle

CONTENTS

06 10

Contents 06

COVER

How the UK’s consumer cannabis original is reaching new heights

NEWSDESK

ITALY DECRIMINALISATION

Cannabis and the UK opportunity post-Covid-19

Epidyolex gains MHRA approval

BUILDING BACK GREENER

NEW FRONTIERS

MGC Pharma on drug delivery innovation

TREATING TUBEROUS SCLEROSIS

LIQUID TECHNOLOGY

Fast-acting products hit European market

Half a million sign campaign for referendum

How Christina DiArcangelo is revolutionising patient care

Building Europe’s largest public cannabis company

Can hemp help save the planet?

New report projects major growth

‘NEW HOPE’ FOR MILLIONS

DATES FOR YOUR DIARY

KANABO EXPANSION

INFLUENTIAL WOMEN

20 women leading the way in cannabis

CARBON CAPTURE

MEDICINAL

NCRI backs cannabis research

GROW GROUP

Innovating medicines and improving access

ANALYSIS

A NUMBERS GAME

EVENTS

The full spectrum of events coming up across the industry

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LONDON CANNABIS STUDY

Calls for legalisation as early as 2022

PATIENTS FIRST

Reporting on the historic re-emergence of research into psychedelic medicines in the UK and Europe. Europe has a deep-rooted history with psychedelics and is home to the world’s leading scientists that have pioneered this field of research. Psychedelic Health aims to psychedelic medicine a platform of its own as research and policy progresses.

Our aims

Report specifically on the developments that are being made across the UK and Europe as the ecosystem around the industry evolves

Bring together key individuals Share the stories and perspectives of patients to convey the real-life impact of psychedelic medicines Facilitate wider discourse around the topic

Contact:

Commercial: sales@handwmedia.co.uk Editorial: stephanie@handwmedia.co.uk www.psychedelichealth.co.uk

@PsychHealthNews @PsychHealthNews Facebook: @PsychedelicHealth LinkedIn: /PsychedelicHealth

WELCOME

Welcome Welcome to the first edition of Cannabis Wealth. When we launched our flagship title, Cannabis Health, in 2019, our aim was to tell the story of everyone involved in medical and wellbeing cannabis in the UK.

check us out online for more regular content and to sign up for updates: www.cannabiswealth.co.uk

Having successfully established this as the UK’s leading and most credible public-leaning cannabis title, we are now expanding and, in recent months, have been working on enhancing our B2B coverage.

Until next time, happy reading!

Cannabis Wealth is our new platform covering cannabis entrepreneurialism, investment and business news in Europe and further afield. Having launched online earlier this year, we are now delighted to be bringing you our first print edition. By aligning these two titles - Cannabis Health and Cannabis Wealth – we hope to highlight the entire spectrum of the cannabis market for readers in every corner of the industry. Cannabis Wealth is UK-based with a global outlook, and will report on the people, businesses and trends driving growth in cannabis markets in Europe and beyond. Led by journalists with years of newspaper and business reporting experience, we are motivated by a desire to give cannabis professionals a world class trade publication that informs decisions, opens up opportunities and builds networks. This is an exciting, pivotal time for cannabis sectors, with emerging technologies, legislative changes, growing investor appetite, research breakthroughs and new ways of working all conspiring to create new opportunities and possibilities. Cannabis Wealth aims to bring all these influences and more together, to help cannabis industry professionals collaborate, work smarter and, ultimately, unlock the great potential we all know the industry has.

Stephanie Price, editor, Cannabis Wealth stephanie@handwmedia.co.uk @Cannabis_Wealth Cannabis Wealth Cannabis Wealth is produced by H&W Media Ltd a registered company in England and Wales (number 12235652). DISCLAIMER: This publication is intended for an 18+ audience. The comments and opinions given by contributors, quoted sources and interviewees are not the views of the editorial team or publisher unless otherwise stated. This is an editorial magazine, not a peer-reviewed medical journal. Anyone interested in accessing medicinal cannabis is urged to consult their GP first. Cannabis Wealth cannot accept liability for any issues or comments raised by individuals featured in this publication.

For advertising enquiries contact gary@handwmedia.co.uk Send your stories and opinions to stephanie@handwmedia.co.uk Also on the Cannabis Wealth team:

We thank our commercial partners, including this issue’s cover sponsor British Cannabis, whose support has made this first quarterly edition possible.

Sarah Sinclair, Managing editor | sarah@handwmedia.co.uk Gary Wilding, Sales | gary@handwmedia.co.uk Kevin McAuley, Commercial partnerships | kevin@handwmedia.co.uk Andrew Mernin, MD/founder | andrew@handwmedia.co.uk Sophie Dinsdale, Design Paul Newton, Operations and finance manager Contributors: Caroline Barry

I hope you find something within these pages that inspires and informs you in your working life. And, don’t forget to

For the latest news and developments from the cannabis industry visit cannabiswealth.co.uk

COVER STORY

P OWE RED BY BR ITISH CA NNABIS

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™

British Cannabis™ has been busier than ever in 2021, building plans for future growth. The cornerstone of this endeavour will be the Winter 2021 relaunch of its flagship pharmacy CBD brand - Canabidol™.

We spoke to the leadership team at the UK’s ‘consumer cannabis original’ as they prepare to take their multi-faceted business back on the road with a return to live events at The Pharmacy Show, Birmingham NEC on 17th18th October. In 2017, Canabidol™ by British Cannabis™, became the first CBD brand to exhibit at The Pharmacy Show. Each year, their presence at the show grew in parallel with the CBD category’s exponential growth in the UK. In 2021, the company are set to greet pharmacists and retail buyers at the largest open plan stand occupied by a CBD company to date.

COVER STORY

We have never put something out to market unless we’re satisfied that it is what it says and that it will work for people.

David recalls that over time, British Cannabis came to sum itself up with the line “We know more, because we do more”. The continuous programme of research and innovation at British Cannabis most recently saw the launch of the Canabidol™ CBD Dermal Patch. Each patch is designed to deliver cannabis plant benefits via an easyto-use direct dermal application to any part of the body, over a 24 hour period. Unlike ‘weaker’ patch products on the market, Canabidol’s unique formula contains 17 natural plant terpenes and essential oils as well as 50mg of pure cannabisextracted CBD. The new CBD Dermal Patches, along with

the rest of the Canabidol range (including Refined and RAW Cannabis CBD Oils, CBD Capsules and CBD Rescue Cream™) are debuting in all-new packaging for the first time at The Pharmacy Show. British Cannabis marketing director, Steve Batchelor, can hardly wait, commenting: “Canabidol has always set standards when it came to looking professional, credible and approachable.” “Even when many CBD brands back in 2016 had a fairly ‘earthy’ and ‘canna-centric’ look and feel, Canabidol carved out a niche as a mainstream range underpinned by quality and attention to detail. With our Q3 2021 relaunch, the range is looking stunning; allnew premium-feel shoulder boxes, colourcoordinated strengths and beautiful gold foil finishing. Our hard-working British Cannabis Creative team have outdone themselves and I look forward to seeing our retail and pharmacy customers receiving this new-look range on shelves, well in time for the upcoming key winter season for CBD products.” As these innovations are made-ready, the firm is investing in a new HQ facility for 2022, which will see it treble capacity and start to manufacture more CBD supplements than ever, as well as launch many new CBD cosmetics lines. The facility will also include a state of the art ISO-accredited testing lab, under the rebranded British Cannabis Analytics division of the business. As one of 35 testing labs selected to participate in the 2021 UK Government Chemist ring trial assessment for measuring CBD and cannabinoid content in commercial products, British Cannabis Analytics received a vote-of-confidence in their product testing services and the accuracy of their results. The LGC stated that the trial was “very successful”, with 82 percent of labs demonstrating their capability to determine CBD in consumer products successfully. CEO and founder, Tom Whettem,

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Canabidol is a UK-made CBD brand, developed specifically to meet the exacting standards required in pharmacies for the retail sale of CBD products. This includes transparent batch-by-batch analytical testing, publicly available online test results and class-leading accurate CBD strengths and assured product purity and safety. These high standards for product quality helped see British Cannabis ship over half a million product units across multiple retail channels. David Ralson, British Cannabis’ managing director, commented: “Over the years British Cannabis won awards for the wholeplant cannabis distillate ingredients behind our retail brands, as well as a number of accolades across the brands themselves; these included Pharmacy CBD Product of The Year 2020 with Independent Community Pharmacist and two CBD Product of The Year awards with healthy lifestyle magazines. Meanwhile, our white label and private label partners also picked up a number of awards for the products we produce for them.” “We have never put something out to market unless we’re satisfied that it is what it says and that it will work for people,” says David. “Helping people in a wide range of ways with our products is what drives the company forward; the positive stories on our Trustpilot pages – which have accumulated over 4,000 combined 5-Star reviews to date, make all the efforts more than worthwhile”. With over 1,500 product options, all with registered FSA Novel Foods applications, other leading CBD brands have turned to being ‘Powered by British Cannabis’ in 2021 as white-label clients. From reaching the no.1 spot on the Amazon UK Herbal Supplements department in 2016 with Canabidol™ CBD Gel-Tabs™, to the development of the first UK-made refined, golden and smooth cannabis oils, to the first clinically proven cannabis cosmetics, Canabidol set trends which more recent entrants to the UK market have had to follow.

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COVER STORY

commented: “Having this amount of trust and faith put into our analytics services is further ratification that British Cannabis’ labs are up to par with other established testing facilities used in the cannabinoid industry.” “After nearly six years of pioneering in the UK consumer cannabis industry, the exciting relaunch of Canabidol™ and establishment of British Cannabis Analytics takes the company one step closer to establishing a legacy the likes of British Sugar, British Telecom and British Airways, who all established themselves as household names in their industries. We stand on the shoulders of those UK giants and by using the understanding gained by these major thinkers that developed industries before us, we aspire to one day be able to stand shoulder-to-shoulder alongside them.” Following the recent trend of cannabis

companies gaining London Stock Exchange (LSE) listings, David Ralson confirmed that British Cannabis are also close to securing a long term investment boost. “As an established company that has generated over £15m in revenues and demonstrated a profitable trading history since its conception in 2016. We are now primed to build on those solid foundations, tapping into the capital markets to further our strategic investment plans.” he said. “With no previous ties to a larger parent company, being independent and familyowned is something we are very proud of. However, we will also be moving with the times and strengthening British Cannabis for the long term. This will allow the right investors the opportunity to be the first to partner with a British company that has all the high growth potential to become a household name.”

British Cannabis returns to The Pharmacy Show for a record-setting 5th year, offering Pharmacists the chance to apply for up to £1,000 of free Canabidol™ products when they open an account Come and visit British Cannabis at stand H40 in The Pharmacy Show, 17th and 18th October, at The NEC, Birmingham, to discuss how partnering with their brands can make compliant CBD products a key part of your business model; or call British Cannabis to discuss any aspect of their cannabis products and services on 0203 965 2420 canabidol.com / britishcannabis.org

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As the company with the longest standing track record for compliance and knowledge, we will continue to be there for the sector.

NEWS DESK

Cannabis decriminalisation campaign gains half a million signatures in Italy A campaign for the decriminalisation of cannabis in Italy by group Referendum Cannabis gained more than 500,000 signatures in less than a week.

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Pro-cannabis campaigners and political parties gathered half a million signatures in a campaign that could lead to a popular referendum on the decriminalisation of cannabis in spring 2022. The referendum calls for the decriminalisation of cultivation, the removal of sentences for conduct related to cannabis and the cancellation of the administrative sanction of the withdrawal of an individual’s driving licence for the personal use of cannabis. The campaign follows recent proposals for legislative reform in the country that would allow Italian citizens to cultivate up to four cannabis plants in their own homes for personal use, but which would increase penalties for cannabis trafficking and dealing crimes from six to 10 years. Guido Silvestri, board member for panEuropean party that supports cannabis

legalisation, Volt Italia, highlights that in Italy, since 2006, doctors have been able to prescribe preparations containing cannabisbased active substances for medical use. Silvestri commented: “The practice is unfortunately very different and cumbersome for patients. A doctor is never obliged to prescribe therapy and many refuse even to consider cannabis as a therapeutic option because they do not know it and do not want to know it or “because it is a drug of abuse”. “In addition even when the patient finds one of the few pharmacies ready to prepare Therapeutic Cannabis (only 600 out of 19,000 total in Italy), he/she will likely experience the dramatic and continuous cannabis shortage linked to very high demand and little supply linked to insufficient imports by Italy from Holland or Canada. “Many patients are therefore forced to buy cannabis on the illegal market or to self-cultivate it, with the risk of criminal investigation and trial, or administrative sanctions.” The ReferendumCannabis campaigners highlight that every year in Italy six million cannabis users are forced to use the black market, where the substance can often contain unsafe materials such as glass, wool, hairspray and lead, and that legalising cannabis would mean having a safe and controlled substance. “Very recently, in September, a proposal of law to decriminalise home cultivation of a limited number of plants was eventually approved by a commission of the Parliament,” continued Silvestri.

“At this point, about a year and a half after the dissolution of the Houses, there is a high risk that Parliament will not be able to approve a text definitively, leaving patients unprotected and six million of cannabis consumers in the hands of the Mafias, like always. “However there is unprecedented news in the cannabis political scenario. Associations like Meglio Legale, Antigone, “Luca Coscioni”, together with few small and new parties (like Volt, +Europa, Possibile) that supported consistently cannabis legalisation in Italy, decided to try to collect the 500,000 signatures needed to set a referendum that eliminates the crime of cultivation and cancels administrative sanctions. “Only 20 days were left to the deadline: the end of September. An impossible feat, many said, but for the first time in Italy, it is possible to collect signatures digitally; this is an innovation introduced only few weeks ago. Surprisingly, only in the first two days more than 220,000 signatures were collected and it is likely that the threshold of 500,000 will be surpassed. “This is likely the consequence of the strong potential of the digital signature and the large distance between the sentiment of the population and the perception of the traditional political parties that sit in the parliament. “The Italian population will eventually have the possibility to be informed and vote on cannabis-based on facts and not old ideologies.”

NEWS DESK

Flowr and Cookies to bring ultra-premium medical cannabis strains to EU 11

The Flowr Corporation has announced a partnership with cannabis genetics and lifestyle brand, Cookies, to bring its premium strains to the European Union.

and the brand extends beyond cannabis as a clothing and lifestyle brand. Under the terms of the agreements, RPK (a wholly-owned subsidiary of Holigen Holdings Limited) will be cultivating and distributing Cookies products in Portugal from its 25,000 square foot indoor EU GMP facility in Sintra. It will also have the exclusive rights to sell Cookies branded products, including noncannabis merchandise, in Portugal for three years subject to milestone commitments. Flowr CEO, Darryl Brooker, said: “We will be growing the most recognisable cannabis strains in the world in Portugal, including Gary Payton, Cereal Milk, Gelatti, Pancakes and Pink Runtz. As we do in Canada, we want our operations in Portugal to cultivate only ultra-premium medical cannabis and a partnership with Cookies was a no brainer for the company. “We cannot wait to grow the Cookies branded genetics and proudly display their brand.

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Toronto-headquartered cannabis company with operations in Canada and the EU, The Flowr Corporation, has announced that its indirect wholly-owned subsidiary, RPK Biopharma, has entered into a series of agreements with Cookies Creative Consulting and Promotions to bring its premium cannabis products to the EU. Cookies will assist Flowr with the development of a retail distribution strategy in Portugal through the country’s existing pharmacy networks, as well as the design of up to three proprietary retail pharmacy outlets in the country. International cannabis brand, Cookies, which cultivates premium genetic strains and which this year launched a new strain with Snoop Dogg, the Doggy Bagg, was founded by grow expert Jai Chang, and entrepreneur and hip hop artist, Gilbert Milam Jr. (Berner). Its Girl Scout Cookies cannabis strain is one of the most sought-after strains in the world

Establishing this partnership is the next step in the evolution of our business in the EU and will provide us with a competitive advantage in the fast-growing EU medical cannabis market.” “The fact Portugal decriminalised drugs back in the early 2000’s and people in the US are still being locked up for cannabis 20 years later, shows the world, especially the US, that we can learn a lot from their forward thinking,” added Berner, co-founder and CEO of Cookies. “The partners we chose in Portugal have one of the most advanced facilities I’ve seen and will be producing some of the best cannabis in the world. “It’s partnerships like this that keep me excited about the growth and expansion of Cookies worldwide.” Cookies has a commitment to restorative justice and progressive drug policy and works to enrich communities disproportionately impacted by the War on Drugs through advocacy work and social equity initiatives. Its products are currently available in the United States, Canada, Israel and Spain. Flowr has begun the process of importing the Cookies branded genetics from Canada into Portugal and expects to be able to commence commercial production by the end of the year.

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Kanabo agreement to create ‘Europe’s largest public cannabis company’ Kanabo Group, the first medical cannabis company to IPO on the London Stock Exchange, has signed a letter of intent to acquire Materia, a processor and distributor of medical cannabis and CBD wellness products across Europe.

NEWS DESK

The enlarged group will become the biggest public cannabis company in Europe and put us in a unique position

In Germany, Materia Deutschland GmbH is a fully operational pharmaceutical wholesaler that has its EU GDP and EU GMP certificates, enabling it to import and sell medical cannabis products to German pharmacies. Materia’s UK subsidiary operates in the wellness sector as a distribution platform, selling several leading brands through Handpicked CBD, one of the UK’s largest CBD e-commerce marketplaces. Kanabo will leverage Handpicked CBD to acquire customers for its own line of CBD products and inform its future innovation pipeline. Avihu Tamir, founder and CEO of Kanabo, said: “Materia’s unique innovative supply chain will provide strong distribution channels in the German market and offer new strategic partnerships with premium cultivators around the world. “Together with Kanabo’s R&D and commercialisation capabilities, we will be able to develop new innovative delivery methods opening up an even bigger market potential. The enlarged group will become the biggest public cannabis company in Europe and will put us in a unique position as the multi-billion pound medical cannabis market starts to accelerate.” Deepak Anand, CEO of Materia, said: “We are excited at the prospect of joining forces with Kanabo’s team. As the first medical cannabis company approved to list on the London Stock Exchange, Kanabo’s ambition to be a market leader matches our own and we believe that our combined infrastructure will generate significant value for our shareholders, partners, customers and patients.” The acquisition will enable Kanabo to build upon the significant progress made this year. This includes a supply agreement with Greek cultivation facility Hellenic Dynamic, a new EU GMP production line in partnership with Pure Origin and a first-of-its-kind production line deal with PharmaCann for VapePod cartridges.The company also recently announced an expansion of its partnership with The LYPHE Group, facilitating the delivery of Kanabo’s medicinal cannabis formula to the UK this month.

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Kanabo has been actively exploring new partnerships and opportunities to accelerate Kanabo’s growth and market penetration. The company says Materia’s “complementary infrastructure will be crucial to expanding and strengthening” its existing supply value chain of medical cannabis and CBD products. Materia has an established position in the European market, with subsidiaries in Malta, Germany and the UK. Following the acquisition, Kanabo will control production, from the initial sourcing of raw materials and in-house manufacturing, all the way to distribution to pharmacies and the end consumer. This includes direct entry into Germany, whose market size was over £170m (€200m) £2.7bn (€3.2bn) last year, and is anticipated to remain the dominant market as the European market grows to a forecasted total size of £2.7bn (€3.2bn) by 2025. Materia’s Maltese subsidiary, Materia Malta Operating, operates an EU GMP certified facility, well positioned for the processing of medical cannabis flower and oils. EU GMP is considered the global gold standard for manufacturing pharmaceuticals and is a requirement for medical cannabis in most European jurisdictions. Through this facility, Materia Malta is able to import cannabis flower from its global supply network of cultivators and process it into EU GMP certified medical cannabis for subsequent export to distributors across Europe. Materia Malta also intends to utilise its facility and know-how to produce medical cannabis extracts. The facility’s current flower throughput capacity sits at a potential 6,000kg per annum, representing a possible sale value of £31m (€36m) based on a blended average sales price across several key European markets. Research conducted by Kanabo will be commercialised through Materia Malta’s facility, including formulas developed for Kanabo’s VapePod device and targeted to treat specific medical conditions such as insomnia, PTSD, neuropathic pain and anxiety.

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NEWS DESK

Protest calls for farmers to ‘grow hemp without a licence’ In a campaign of mass civil disobedience, a UK producer of hemp is calling for farmers to take direct action against the country’s “unfair licensing regime” by growing hemp without a licence.

it a risky option to pursue. Hempen’s cofounder, Patrick Gillett, said: “The UK’s unfair licensing regime has no obvious public benefit and is stifling this emergent green industry at a time when the UK desperately needs jobs which care for our communities and the planet.” A recent paper on the Medical Cannabis and CBD market, published by Maple Tree Consultants and Mackrell.Solicitors, calls on policymakers to ‘make meaningful, progressive changes to the outdated laws and regulations hindering the industry’, and highlights that the industry could ‘create tens of thousands of jobs, and bring much needed capital to the country’. Hempen pointed out that, although UK consumers are some of the biggest consumers of hemp and CBD in the world, most of the country’s products are imported from Europe, North America or China, and that British farmers are being penalised by

their own government. It has also highlighted that two years ago the United Nations (UN) ended the scheduling of industrial hemp as an internationally controlled substance and that, under the UN’s 1961 Single Convention on Narcotics, the whole plant is fully exempt from all the provisions when used for “industrial” and/or “horticultural” purposes. The UK is a signatory of this convention and yet still classifies industrial hemp as illegal cannabis. Gillett added: “If the government won’t get out of the way, then it’s time farmers take direct action to grow this wonder plant without their permission. “Hempen needs a bigger supply of organic hemp than we can currently source from farmers who have managed to jump through all the government hoops. There is more demand for organic UK hemp than the Home Office has licensed. When it comes to CBD in particular we’re forced to rely on imports.”

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Industrial hemp producer, Hempen, is calling for farmers to grow hemp without a licence in protest against the UK’s hemp licensing regime after its latest application to grow the crop was rejected, despite following all UK Home Office guidance. Hempen, which was founded in 2015 by activists who saw hemp’s potential to help people, communities and the planet, was previously forced to destroy £200,000 of its hemp crop in 2019 when the Home Office said the producer could not harvest the flower for CBD or oil. An “unfair licensing regime” Hempen is encouraging small and large cultivators to grow the crop without a licence. Licence applications, which are granted by the Home Office, can be refused for simple issues such as the farm being near a road or public footpath, and decisions on applications are often made too late for farmers to get crop into their fields – making

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It is time for London to pilot a legal cannabis industry?

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Londoners have had enough of the violence linked to the illicit drugs trade in the city. Hamish Stewart, chair of the London Cannabis Legalisation Commission and lead author of the London Cannabis Study, recommends legalising cannabis to dampen violence and provide resources to reinvest into youth services and training.

This summer, after putting my children to sleep, I looked out my window to see a young man unsheathe a machete on our doorstep. He then proceeded to try to decapitate another youth. My wife yelled for them to stop and we called the police. After fighting in front of our door and slashing with the machete for a few tense minutes, the intended victim escaped with his life, running away down the street. Youth violence in London is a preventable tragedy, much of it linked to the illicit trade in drugs and associated gang activity. Around 60 per cent of the illicit drugs trade in London is cannabis products. Instead of having this be an illegal industry which fuels youth violence and deepens systemic discrimination and inequality, it is time for the Mayor of London to lead the way to enable London councils to pilot legal cannabis production and retail across the city this year. Disputes in the cannabis industry should be resolved with commercial mediation and words, not machetes.

Create business opportunities for youth entrepreneurs in a legal market By criminalising young men across the city for simple cannabis possession and supply, the Mayor’s current approach to cannabis damages young people’s lives and their future employment prospects. Instead of criminalising cannabis, the Mayor and London councils should direct the Met to stop enforcing cannabis laws and proceed with pilot programmes as part of the launch process for a legal industry. London’s legal cannabis industry can build on lessons from around the world. The international experience with legal cannabis shows how smart regulation can open up new opportunities from sustainable agriculture to tourism and advanced pharmaceutical research. In piloting legal cannabis production, retail and research programmes, London can build on the experience of Canada, California, Colorado, and other jurisdictions. There is no need to repeat mistakes made in other markets. 2021 should be the year that Londoners celebrate the launch of a legal cannabis market centred on equity and access to new business and employment opportunities. Hamish Stewart Chair, London Cannabis Legalisation Commission

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Around 60 per cent of the illicit drugs trade in London is cannabis

Illegal cannabis fuels arrest of around 15,000 young men each year and deepens inequality The Evening Standard’s research series based on FOI requests from the Met reveal the scale of damage done to young people from cannabis prohibition. Each year, around 15,000 arrests are made for simple cannabis possession and supply. This is happening while the UK exports medical cannabis products to the US and investment bankers make millions of dollars listing cannabis companies and investment vehicles on the London Stock Exchange. Keeping cannabis illegal for retail users entrenches the racial inequalities that the Mayor and his team claim to care so deeply about. Around 70 per cent of the 11,497 Londoners arrested for cannabis possession in 2018 were BAME, a massive overrepresentation of this group based on their share of the overall population. Under the current system, wealthy investors get to make millions and billions of pounds of the legal medical cannabis market while Londoners are arrested, sent to jail, and killed in the street as part of an illegal industry. The Mayor can change this by encouraging and enabling London councils to pilot legal cannabis production and retail businesses this year.

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Calls for trial of London cannabis legalisation as early as 2022 A new report published by the London Cannabis Legalisation Commission calls for a trial of legal cannabis in London to begin as early as 2022.

The London Cannabis Legalisation Commission’s, London Cannabis Study published on Monday 27 September, says there is no place for a room for complacency when it comes to the potential for a new medical cannabis industry in London. The report includes 20 recommendations for the Mayor of London and the London Assembly on how to create model cannabis regulations that would enable the city’s councils to launch legal cannabis production and retail pilot programmes. The report draws on international best practice to identify key steps for London to lead the country with retail cannabis pilot programmes and the start of a local craft cannabis production system, leapfrogging the UK’s “outdated” legal regime. Legal cannabis production and retail pilots would help to catch the city up with jurisdictions around the world who have legal markets, says the report. The public study launch included an

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international expert roundtable, highlighting lessons from cities including Oakland, CA, Vancouver, Canada, and Atlanta, GA, and other jurisdictions including Jamaica and the US state of Colorado which have all proceeded with legal retail cannabis markets and local production. The London Cannabis Legalisation Commission, chaired by Southwark resident Hamish Stewart, drew upon on the shared expertise of a network of international cannabis business leaders, research and policy experts to provide a synthesis of global best practice, to guide the Mayor of London, the Metropolitan Police, and London councils on how to make legalisation a success.

Gender and racial equity The report stressed that there needs to be consideration for disadvantaged Londoners who have been disproportionately affected by cannabis prohibition. As well as guaranteeing the inclusion of diverse groups in the industry, there should also be a reinvestment of annual revenue into spending for councils on education, community and youth services. It stated: “The Mayor and London councils should engage in substantial outreach and provide business funding for economically disadvantaged Londoners and those communities who have been disproportionately affected by cannabis prohibition. The Mayor should plan to report annually on the financial performance of the industry, highlighting the inclusion of diverse groups in the lawful cannabis industry, including in the ownership matrix for a growing industry.”

Speaking in the report, Jeremy Jacob, past president of the Association of Canadian Cannabis Retailers highlighted: “The cannabis plant has historically been in the domain of people of colour, and was then used as a tool of oppression against people of colour, enabling mass incarceration of mostly young black men in the US and other jurisdictions. London has an opportunity to create a regulatory framework that both addresses historical injustices and opens up an incredible set of new business opportunities that all Londoners should be able to access.” Canna-clubs The London system could also take inspiration from the success of Spanish and Canadian cannabis clubs. This would allow licensed cannabis social clubs, venues and community-led indoor and outdoor grow operations to flourish. It would give local communities a chance to grow alongside larger retail suppliers while creating jobs and development for different areas of London. Alongside the regulations, the group are calling for penalties for illicit cannabis production or retail to prevent harm to others. They suggest these could be civil or administrative in nature but should only resort to criminal sanctions where there is potential for serious harm. It is suggested in the report that supply for the London market should come via London-based producers as well as international importers. This included supplies from Jamaica, Canada, Malawi, Uganda, and other emerging and established international producers. Starting legal for London The group suggests an ambitious timeline for action which could see a London trial begin as early as September 2022, following the publication of the report. This would be subjected to the Mayor of London establishing a London Cannabis Regulatory Authority to oversee the recommendations. It suggests that a review of the trial could be undertaken in 2023.

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London recommendations In a statement Stewart commented, chair of the London Cannabis Legalisation Commission commented: “Cannabis is a global industry, expected to be worth over £200 billion by 2030. Londoners need to be able to participate in this growth sector in a legal way, across production, retail, tourism, medical research and pharmaceutical product development. “Around 15,000 Londoners, mostly young black men, are arrested each year on cannabis possession and supply charges. That is an utter waste of police time and resources and blights the lives of our young people. It is time for London to catch up with other jurisdictions to legalise cannabis and celebrate young entrepreneurs, provide the training and support necessary to grow a truly world-class craft cannabis industry for London.” Stewart continued: “The Mayor needs to get serious about legalising cannabis here so that Londoners can access an incredible set of new business and employment opportunities ranging from hydroponic production to advanced medical research and product development. “The UK is among the world’s largest growers of medical grade cannabis. Londoners should be able to participate fully in this burgeoning market. The London Cannabis Study

provides 20 simple recommendations on how the Mayor could open up new opportunities for Londoners in a legal cannabis ecosystem. “There is no time to waste and we hope to see local cannabis production and retail programmes launch this year, creating new jobs and business opportunities for Londoners. The illicit trade in cannabis fuels youth violence and a legal market would help to address this pressing challenge.” The report outlines recommendations, such as the enabling of safe cannabis production and manufacturing with a licensing regime and also suggests building racial and gender equity considerations into the London cannabis market design, while regulating all cannabis product types. The report also stressed that clarity of communication is key so that London retailers, restaurants and hotels will be able to offer high-quality, locally made cannabis products to consumers. Cannabis and edibles will need to have their potency managed with a clear traffic light label system that consumers can follow.

NEWS DESK

House approves inclusion of SAFE Banking Act in must-pass NDAA The US House of Representatives has included provisions for the Secure and Fair Enforcement (SAFE) Banking Act in the National Defense Authorization Act (NDAA).

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An amendment to the NDAA to include the SAFE Banking Act (H.R. 1996) that will enable banks in the US to lawfully deal with legitimate cannabis-related businesses was approved by vote last week. As cannabis is not legal at the federal level, state cannabis businesses struggle to use banking services including accessing loans and paying taxes, forcing them to work with cash. If the bill is successful it will prohibit federal banking regulators from prosecuting

institutions for providing banking services to legitimate businesses in the industry, protecting them and ancillary businesses from penalties such as asset forfeiture or the termination of an institution’s deposit insurance, as any cannabis business obeying the laws would be exempt from money antilaundering laws. The SAFE Banking Act was approved with an overwhelming majority by the house of Representatives in 2019 – marking the

first time in history a standalone cannabis reform bill was brought before the house. The House approved the language of the act a further three times before the most recent vote, twice as part of relief packages for the Covid-19 pandemic and again in April. The bill’s approval to be included in the “must-pass” NDAA, some believe, will allow for easier passage through to the Senate. The non-profit National Organization for the Reform of Marijuana Laws (NORML), advocating for the reform of US cannabis laws for medical and non-medical use, is encouraging federal lawmakers to vote for approval of the act. Commenting on the development, NORML political director Justin Strekal, said: “Enactment of the SAFE Banking Act would improve public safety and business efficiency in the 36 states that currently permit some form of retail marijuana sales. The Senate should ensure this provision remains in the final version of this funding package and approve it swiftly. “The SAFE Banking Act is only the first step toward making sure that state-legal marijuana markets operate safely and efficiently. The sad reality is that those who own or patronize these currently unbanked businesses would still be recognized as criminals in the eyes of the federal government and by federal law. This situation can only be rectified by removing marijuana from the list of controlled substances.” The development is welcome news for the industry, which has long been anticipating cannabis legalisation at the federal level. Chairman of the UK’s Cannabis Industry Council, which is working to improve standards, quality and access in the industry, Professor Mike Barnes, commented: “I think this is good news for the global industry. It is clearly a step in the right direction towards federal legalisation. “That in turn is good for the worldwide cannabis industry as it will help the US industry spread its knowledgeable wings and bring more products and delivery mechanisms into play globally.” The bill will have to make it through conference before embarking on its final passage to the Senate.

NEWS DESK

Amazon to lobby US government for federal cannabis legalisation E-commerce giant Amazon has said it is supporting the effort to reform America’s cannabis policy as part of its advocacy for equitable workplaces.

health conditions, and other barriers to employment and economic opportunity. Likewise, pre-employment marijuana testing has disproportionately affected communities of color by stalling job placement and, by extension, economic growth. We believe this inequitable treatment is unacceptable.” Commenting in a policy update, Beth Galetti, senior vice president of human resources at Amazon, said: “As we shared earlier this year, we aim to become Earth’s Best Employer, and as part of that journey, we know that our local communities and future generations need us to be better every day—thus the creation of our new Leadership Principle, Success and Scale Bring Broad Responsibility.

“Together, these principles speak to our responsibility to effect change and are our impetus for both driving for societal change and maintaining the right internal policies to ensure a great workplace with equitable and consistent hiring practices for all candidates. That’s why we strongly believe the time has come to reform the nation’s cannabis policy, and we are committed to helping lead the effort. We are enthused by the notable momentum in the country toward recognizing that today’s status quo is unfair and untenable. We look forward to working with Congress and other supporters to secure necessary reform of the nation’s cannabis laws.”

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The company has previously expressed support for legalisation and the expungement of cannabis-related criminal records and investing, as well as recently announcing its support for the Marijuana Opportunity Reinvestment and Expungement (MORE) Act and more recently the Cannabis Administration and Opportunity Act (CAOA). Amazon has already removed cannabis testing from its pre-employment screenings in a bid to expand its applicant pool, commenting in a letter to Senate leaders that: “Historically, criminal marijuana provisions have been unequally enforced upon people of color, perpetuating a vicious cycle of overincarceration, poverty,

OPINION

How science can help your cannabis business

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Founder of Global Cannabinoid Solutions, Christopher Tasker, explains how leveraging science can provide tremendous opportunity for your business Science is a practical approach to understanding the world around us that has matured throughout the history of humanity. Throughout human existence, the role of science has been to guide the development of and better the quality of human life. Science has brought us the comfort that we so take for granted in 21stcentury life. he Cambridge dictionary defines science as “knowledge from the study of the structure and behaviour of the physical world, especially by watching, measuring, and experimenting to develop theories that describe the results of these activities.” Science, as we know it today, has been defined by a series of key features that underpin the scientific process.

1. Objective observation

Through measurement and data

2. Evidence

From which to base hypothesis

3. Experiment

Benchmarks for testing hypotheses

4. Induction

Reasoning to establish general rules or conclusions drawn from evidence

5. Repetition

Refinement and scaling up of findings

6. Critical Analysis

Exploring alternate perspectives and possibilities

7. Verification

Conclusions exposed to scrutiny, peer review and assessment

Figure 1. The key pillars of the scientific methodology as outlined by The science council.

OPINION

A brief history The role of scientific understanding has evolved throughout human history. The roots of science date back as far as ancient Egypt where the Egyptians and Mesopotamians laid the foundation of modern sciences such as astronomy, medicine and mathematics (Hessen et al., 2009). These early contributions shaped Greek philosophy whereby attempts were made to provide explanations of events in the physical world based on natural causes (Grant, 2007). Following the fall of the Western Roman Empire, a great deal of knowledge was lost. Some of this ancient knowledge was recovered during the Islamic Golden age which flourished with help of Islamic scholars who built on the knowledge they had absorbed (Klein-Frank, 1996). During this period, European science and society struggled for many centuries. The Renaissance was a complex period that is described as a cultural movement of

intellectual inquiry that spread across Europe early in the first millennium. Humanism was a key theme of this movement, which manifest itself in the forms of art, architecture, politics, science and literature. Towards the end of the 16th century and not long before his death, Nicolaus Copernicus published his heliocentric model of the universe which placed the sun rather than the earth at the center of the universe. This historical paradigm shift was one of the great dominoes that contributed to the scientific revolution (Rosen, 1986). Scientific contributions such as these sustained the European Renaissance which brought us great minds such as Leonardo Da Vinci, Galileo and Michelangelo as well as inventions such as the telescope and camera obscura. The European Renaissance and the new ideas that fuelled the scientific revolution culminated in what is known historically as the Age of Enlightenment, which dominated the 17th and 18th centuries. This

societal shift placed reason at the centre of authority and legitimacy paving the way for the emergence of modern science. As the 19th and 20th centuries arrived so did the professionalism of science. Modern science is now comprised of many branches that are the foundations of society as we know it today. Francis Bacon, a pivotal figure in science history and a key contributor to the development of the modern scientific method of investigation, was quoted saying "the real and legitimate goal of sciences is the endowment of human life with new inventions and riches" (Hessen et al., 2009).

FUN FACT: It takes approximately 60 trillion atoms to make a human cell, there are roughly 32 trillion cells in a person, and 108 billion people have ever lived.

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Figure 2. A depiction of the Scale of the Universe mapped to the Branches of Science and the Hierarchy of Science. The Scale of the Universe capture the average diameters of key systems.

OPINION

ways science can help your cannabis business 26

In many ways, we are in the midst of a 21stcentury renaissance. As we move forward in this digital age of information, science is now more accessible than ever. What was once reserved for esteemed individuals at the upper echelons of society is now accessible to the masses. Leveraging science provides a tremendous opportunity to look to science as a foundation of the development of the next generation of services, solutions and innovations that will help shape the future of humanity. This takes us into the five ways that science can help your business today.

1. Protection from misinformation An understanding of the fundamental scientific laws that underpin an industry provides an anchor point from which to assess and identify risks. This knowledge base is a protective layer that helps identify threats and faults before they escalate. Solve problems efficiently and reduce the impact of bad decisions.

2. Autonomy A fundamental scientific understanding of your field provides an empirical approach to business offering independence and confidence in decision making. A workforce that is autonomous and empowered can operate with military precision, armed with unique perspectives and ideas to create a flourishing future. This means less management and more output. No longer relying on chasing trends but instead predicting and leading new trends with your new insights.

3. Differentiation With autonomy comes the ability to differentiate from the competition and sow the seeds of your own unique identity. No longer relying on watching the competition and build a sustainable, long-term vision for your business and its legacy. So many stones have been left unturned, science is an exploratory tool that will help you navigate this nascent cannabis industry.

4. Social impact A legacy is built on the social impact you bring about as a company. Science provides a means to measure the factors affecting communities and offer meaningful solutions to our ecosystem. Protecting the community from the potential harms of our business and building impact in the process. Science is a bridging language that can be used to develop and engage in a conversion with communities impacted by your work sharing culture, ethos and interpretations.

5. Discovery

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Research and data are fundamental to building new hypotheses and planning for future expansion. Science and its unique methodologies will continue to advance understanding leading to the development of new intellectual property. As you uncover new findings you then benefit from the advantages and insights gained from your discoveries. Science continues to play a pivotal role in the development of our civilisations. Learned societies, houses of wisdom, academies and institutions have provided scientific counsel to society for generations. Our cannabis science firm is here to support the cannabis industry with this next leg of 21st-century cannabis enterprise. By combining science, education and technology we are saturating the cannabis industry with next generation of scientific services, solutions and innovations for the betterment of businesses and communities across the globe.

Chris Tasker Global Cannabinoid Solutions

References. Grant, E. (2007) A history of natural philosophy : from the ancient world to the nineteenth century. Cambridge University Press. Hessen, B. et al. (2009) The social and economic roots of the Scientific Revolution : texts by Boris Hessen and Henryk Grossmann. Springer. Available at: https:// books.google.com/books/about/The_Social_and_Economic_Roots_of_the_Sci.html?id=PgmbZIybuRoC (Accessed: 4 August 2021). Klein-Frank, F. A.-K. (1996) History of Islamic Philosophy, History of Islamic Philosophy. Edited by S. H. Nasr and O. Leaman. Routledge. doi: 10.4324/9781003070733. Rosen, E. (1986) The Encyclopedia Americana. Grolier.

NEWS DESK

Avida Global acquires Canna Creations and Green Stem CBD Avida Global will be a fully vertically integrated seedto-sale business thanks to its new acquisition of Canna Creations and Green Stem CBD.

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The acquisition of Canna Creations, a full- “Both are high-quality brands in keeping with shareholders,” added Kirkby. service manufacturing and CBD potency our own philosophy, and we are already Canna Creations will be rebranded to Avida Global Labs whilst Green Stem CBD will testing business, and Green Stem CBD, building on our various synergies to create retain its name. Canna Creations’ own CBD brand means exciting opportunities globally.” that Avida Global now controls the entire Founder of Canna Creations, Brett Horth, Horth commented: “I am incredibly excited not only for the opportunity for Green Stem lifecycle of its medical cannabis oils. and CEO of Canna Creations and Green White-labelling manufacturing business, Stem CBD, Nathan Whitman, both veterans CBD to be presented on the global stage as Canna Creations, produces a wide range in the cannabis industry, will assume senior part of Avida Global, and being an intrinsic part of a fully vertical operation, but also for of CBD products for several high-street leadership positions. Horth will take up retailers, and Green Stem CBD is Canna the position of Avida Global CEO, Australia, the new opportunities that await as CEO Creation’s own brand, one of only four CBD New Zealand and Asia and join the Avida of Avida Global Australia, New Zealand and brands currently available on Amazon, and Global board, and Whitman will assume the Asia.” is stocked in Boots and other high street position of MD of Avida Global Labs and “I am honoured to join a world-class team of cannabis experts within Avida’s Global retailers. Green Stem CBD. network. Canna Creations and Green Stem Avida Global CEO, David Kirby, commented: “The addition of Brett Horth and Nathan “The acquisition of Canna Creations and Whitman to the Avida Global team is hugely CBD will benefit in the now established Green Stem CBD to Avida Global marks a exciting. They are both dynamic cannabis vertical operation which enhances our inhouse formulation and testing capabilities, transformative milestone in our plans to and CBD veterans and a bring a wealth bringing affordable premium products to a create an innovative fully integrated seed- of experience with them and a shared to-sales business. desire to benefit patients, customers and global market,” commented Whitman.

FEATURE

Kanabo and Materia: Innovating the cannabis supply chain in Europe

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The first medical cannabis company to IPO on the London Stock Exchange, Kanabo Group, has signed a letter of intent to acquire a leading processor and distributor of medical cannabis in Europe, Materia.

The Kanabo acquisition of Materia, which cannabis portfolio to pharmacy customers. operates a state-of-the-art EU GMP certified Kanabo CEO, Avihu Tamir, said: “When we facility and has subsidiaries in Malta, met Materia for the first time there was Germany and the UK, will see the import immediately a few points that pop; that it and selling of medical cannabis products is the entering the most interesting market to German pharmacies through Materia in Europe right now, Germany, and have not Deutschland and a focus on bringing new just a licence, but a sales team in Germany, products to patients. that is already selling products and having a Speaking to Cannabis Wealth, Kanabo relationship with physicians and pharmacies. and Materia say the acquisition will utilise “The second thing, which I think is one of the Materia’s innovation in the supply chain to biggest assets that Materia has, is having an bring products into European markets. EU GMP facility in Malta, so it is inside the EU. Above all, I would say is management, Synergies which has a clear plan. Kanabo says it believes that Materia’s “On the one hand is product development and complementary infrastructure will be crucial commercialisation, where the assets that we to expanding and strengthening its existing are bringing into the R&D centre in Israel supply value chain of medical cannabis gives us the capability to bring them to the and CBD products. Materia Deutschland market and to commercialise them under has agreements in place with numerous the Kanabo brand, and Materia is bringing suppliers and already distributes its medical the processing and production capabilities,

their relationship with suppliers around the world and access into the most interesting market the CBD markets in the UK and the medical cannabis market in Germany. There is minimum overlap and maximum synergy. Materia’s managing director for Europe, Nick Pateras, commented: “Most of us who are on the Materia side, like our founding management team, come from the Canadian cannabis industry. I spent five years in cannabis, and Deepak, who is our co-founder and CEO, spent eight years in cannabis, and we both come from a pharma background prior to that. So, we can bring that experience to cannabis. What we have seen in the Canadian space was a lot of emphasis on effectively trying to do everything across the value chain. When we were starting to think about how to architect the Materia business,

FEATURE

It allows us to work with suppliers all over the world who may not have had their EU GMP certificates yet

New products to market Kanabo is to commercialise its research more innovative products. through Materia Malta’s facility, including “What was amazing about this particular formulas developed for its VapePod device, marriage is on one side of the aisle, Avihu and those targeted to treat medical and his team have developed medical conditions such as insomnia, post-traumatic grade extracts targeted to specific medical stress disorder (PTSD), neuropathic pain conditions with medical and clinical trial data and anxiety. Tamir highlights the focus of behind it, so that we can actually produce in the market currently remains with flower, Malta, and we don’t have to go through the but in the next few years it will move to R&D process ourselves,” said Pateras.

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we thought cultivation is a very expertisedriven capability, so, how do we build a company that really zones in on the valueadding activities. We perceived them and we saw in other markets that they stay at processing and distribution. “By leveraging the cultivation expertise of a global supplier network without doing cultivation ourselves, we landed very quickly at doing an EU GMP processing capability, building our facility. In a place like Malta, it is very interesting because it allows us to work with suppliers all over the world who may not have had their EU GMP certificates yet, and we represent the doorway for them, wherever they are based, into the European market. We can tap into low-cost, highquality supply, as well products that have genetics and have the stability that no one else has seen in Europe, yet. The next step is extracts and producing what we know the market will move towards now.”

FEATURE

We want to be recognised as the authority to physicians because there is a trust deficit by virtue of cannabis being new

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“The coming together of these two companies I think is just a really nice complementary infrastructure which is really exciting.” Tamir added: “A big part is our flagship product idea is the number one problem in the industry and that is the delivery method. It is huge problem. There are only two delivery methods in the market that have significant market share and that is smoking and tinctures. “Sadly smoking is the number one delivery method right now. We are solving this issue by having a product that is easy for patients to jump from smoking into something else that mimics the same benefits of inhalation, but at the same time gives the comfort for physicians to be able to prescribe a product that has a specific dose, and which has medical validation behind it. Pain management is obviously the biggest challenge that the market has. In the last five years, physicians have been starting to feel uncomfortable prescribing opiates. This is the focus of the first product we’re launching now in the UK. “The second product is for mental health. We see a lot of success with cannabis, and, there are medicines that are problematic. If you are looking in the market right now,

all of the products are almost the same oils with different brands, but exactly the same flowers. The options that you have now in Germany are probably the same amount of options you will find in one dispensary in California, so, that is very limiting for patients. Materia is going to bring products into the market, dealing with the supply chain challenge. “The last challenge is patient access challenge, and that is something that both companies are going to work together on. We will be investing more in patient access, to have safe access for patients and for them to be able to get a prescription, especially in the UK.” Co-founder and CEO of Materia, Deepak Anand, added: “Kanabo have already been researching products to put onto the market on the vape side. I think the combination that we provide is that we have been doing the same thing but on the medical cannabis side, where we have been thinking ahead to novel product formulations, keeping in mind that flower and oils are currently where the European markets are. Looking at the rearview mirror, as we have seen in Canada, that moved on very quickly. Canada was predominantly a flower market for a very long time and that has shifted quickly into

other kinds of products form. So, R&D and growth are pivotal to both our companies.” Europe’s largest public cannabis company The acquisition will create Europe’s largest public cannabis company, a move which Tamir says is a step towards both company’s visions of being leaders in the industry. “We want to be recognised as the authority to physicians, because there is a trust deficit by virtue of cannabis just being new. There needs to be a body of evidence put in front of physicians and for that, we need to be working with patients,” he said. “The company’s ambition is to be coming forward with products that provide new ways of speaking to patients and physicians, and that are accessible, relatable and trustworthy, and really demonstrate to people that cannabis is a new medicine. We are adhering to the strictest pharmaceutical standards, and it should actually be considered, just like any other medicine. “We are talking about patients all over the US, all over Europe and all over the world, who have had to suffer through a quality of life, because they have not had access to cannabis – let’s change that. Let’s allow people to understand that cannabis is a new product. We want to be the flag bearers of that story.”

NEWS DESK

Landmark move sees cannabis trade organisation established in Jersey A new multi-stakeholder trade organisation, the Cannabis Services Advisory Board, has been established for the Island of Jersey that will help shape the next phase of the regulated cannabis sector on the British Isles.

with a view to further regulation within the Isles. Promoting Jersey worldwide The board has been established with support from the Government to represent all interested parties in the sector, including growers and financial services, and will promote Jersey across the globe as a centre of finance for the cannabis industry with the appropriate legislation and regulations. Board members include medical cannabis cultivation company Northern Leaf, cannabis production company Cicada and cannabinoids group Tenacious Labs, and is open to additional members.

Proceeds of Crime Law update So far, the board has been engaged with the Government’s initiative to update legislation, having provided input and counsel around the Government’s update regarding the Proceeds of Crime (Jersey) Law 1999. On 30 June, the States Assembly passed an amendment that allows businesses on the island to have direct or indirect involvement with legal cannabis sectors overseas for the first time. The amendment means that directors will not fall foul of the Proceeds of Crime legislation – which is currently not the case elsewhere, including the UK or USA. Jersey Deputy Chief Minister and Minister for Economic Development, Tourism, Sport and Culture Senator Lyndon Farnham welcomed the establishment of the Cannabis Services Advisory Board. He said: “We support the Cannabis Services Advisory Board’s work ensuring quality and safety for Jersey cannabis services and products. We are building a world-leading industry on the island and this kind of voluntary self-regulatory underpinning by those actively engaged with this emergent sector will ensure our products are first class.”

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In a landmark development for the cannabis industry, the new cannabis trade organisation, the Cannabis Services Advisory Board, has been established in Jersey to act as an official conduit between industry and government. The board has already been involved in providing counsel on an update to the Proceeds of Crime (Jersey) Law 1999 which will allow directors to be involved in legal cannabis sectors overseas for the first time. The organisation will bring together businesses, legislators and other stakeholders in monthly meetings and will provide input to the Government on commercial industry development issues,

Cannabis Services Advisory Board chairperson, and CEO of Tenacious Labs, Nick Morland says: “The Board provides an essential trade body for cannabis organisations on Jersey. Not only does it take on an ambassadorial role for the industry attracting new investment from across the globe, it also provides a vital communication channel between those organisations and the Government of Jersey. “Tenacious Labs is delighted to play a part in helping Jersey in its development of a strong and well-managed island industry for the long term, while also providing a benchmark for what an expertly represented cannabis sector can look like.”

FEATURE

UK CBD company Kaya raises £1.7m for European expansion

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UK-based CBD brand Kaya has successfully raised £1.7m of funding which will help fuel its expansion into European markets.

Founded in 2019 in France, CBD and Association for the Cannabinoid Industry kind of health retail that we have in the UK adaptogenic brand Kaya had a vision to (ACI), a cannabis trade association in the UK. or in the US. be a European leader in the sector. The Kaya’s range spans 10 bespoke adaptogenic “About half of our revenue is our own company was one of the first in the UK to and CBD-based, vegan-friendly products revenues online, and we are going to finish receive approval under the new Novel Foods for a number of uses from restful sleep to our first year with somewhere between certification, verified by the Food Standards everyday stress relief. £4-5m (€5-6m) in revenue.” Agency for their CBD-based products, and “It was the first market because of the Rachou highlights that, whilst other brands today, its products are sold in over 1000 regulation in the UK with Novel Foods so, it are relying on ingredient suppliers or stores across Europe. has been hard to grow in the UK recently. manufacturers to achieve compliance, Kaya Kaya’s recent £1.7m fundraise came from We launched in Germany with an edibles is one of the few brands to have submitted both new and existing investors including brand, and launched a cosmetics brand its application in its own name, processed VC fund, Senseii Ventures, and US cannabis called Skin back in November 2020. So, we through the EIHA Projects Consortium. fund, Artemis Growth. The funding will mostly sell in France in pharmacies and “It is a process where we have to prove that go towards fuelling the company’s brand general retails, and also small independent the CBD we use – we currently only use mission as they expand into European shops and online. We don’t have the same isolates in our products – is actually safe for markets following its recent launches in Italy, Germany and Poland. “We’re currently the biggest player in France when it comes to finished products with CBD and we have about 40 people in the company in France. We have a few people in the UK as well,” said Ludovic Rachou, Kaya co-founder and founding member of the

We are going to finish our first year with somewhere between £4-5m in revenue

FEATURE

It’s important to have natives in each and every country to understand the market

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human consumption, and it is something that we had to do in the UK, but we also have to do for French markets for instance. There are quite a few brands that claim the same thing, but the main difference with us is that we formulate all our products in-house. “We have five different founders and my co-founder Allison is a pharmacist who is actually the one doing all the formulations. We don’t buy, because on the market you mostly see brands which products are from on-the-shelf labs – however, we usually outsource production, but work on the formulations and the recipes ourselves. “I think that’s one of the biggest differences, and we buy for different regions from when you see the investments that Artemis from Eastern Europe, but we are about to different suppliers. We never buy anything Growth has made in the US – so far they launch in mid-2022 with French hemp at the same place. have made the right choices – we are quite and CBD. France is actually the biggest “When we launched the company we raised proud to have them on board. hemp farmer in Europe and there is a new £854,000 (€1m) with mostly French and “We are funding our international expansion. regulation that is about to change next year. British private investors – high net worth We just launched in Germany and Italy, and We’re going to be allowed to do French CBD individuals and entrepreneurs. Then, for we are also willing to expand all around in which I think is pretty important to sell. Our the second round, it was mostly the same Europe. We want to trial all the markets and, goal, in the end, is to sell German CBD in people, and an interesting new player from if the figures are good, then we will launch Germany and French CBD in France, and the US, a fund called Artemis Growth, which specific teams on the ground. We think it is so on. is interesting because they are one of the very important to have natives in each and “We are currently recruiting a lot of people biggest funds in the US space.” every country, to understand the market and we are always interested in talent Kaya is beginning to look towards the and the consumer.” everywhere in Europe. So if anyone wants to European CBD market for its future and will One year ago Kaya had six people in the get in touch, feel free.” be launching a new Series A round aiming company, but has now evolved with a team Kaya, which also has headquarters in Paris, to raise between £4-9m (€5-10m). made up of 40 people, and soon to be 55, has seen more than 15,000 customers since “I think we have seen the market in the and has plans to launch new product lines. September 2020, and Rachou says the latest US maybe losing faith a bit because of all “We are going to launch a pet food brand, round of funding puts Kaya one step closer the regulation – it is not so clear with the hopefully, by the end of the year or early to achieving the goal of delivering quality FDA, so, many Americans are starting to 2022. Most of the CBD you get in Europe is products with the potential to have a real look at what is happening in Europe. For us, either imported from the US, or sometimes impact on consumers’ day-to-day lives.

FEATURE

Tenacious Labs CEO discusses its acquisition of Press Pause

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Cannabinoid group Tenacious Labs has acquired the Denver-based consumer brand Press Pause to bring female-focused CBD products to the UK market.

Headquartered in London, international cannabinoid group that champions scientific rigour, regulation, and product quality, Tenacious Labs, recently announced its acquisition of the CBD brand Press Pause. Co-founded by CEO Nicholas Morland, a qualified chartered accountant with experience in private equity, and CCO Adrain Clarke, who has experience in the international spirits and premium discretionary spend area, Tenacious Labs’ acquisition of Press Pause marks a milestone in the Group’s strategy, providing it with an established direct-to-consumer brand from the US that will now reach the UK market. Founded by Dawn Fable in 2018, Press Pause creates CBD products for female wellbeing such as balms, bath bombs, tinctures and capsules with a focus on improving mood and sleep.

FEATURE

same ones we have been looking for over here and elsewhere.” Morland highlighted that 84 per cent of purchases of CBD products are made by women rather than men and that 85 per cent of search queries for CBD are related to anxiety and sleep. “It made sense to us to find a woman who has established a brand in a very fragmented environment, with a genuine passion for it, that has been sustained over a number of years, with consumers who are very loyal and who are coming back. Dawn is selling customers products for anxiety and not being able to sleep – so it seemed to be the best fit for the consumer, for the business,

first wave. Whether it is mobile phones or commodities, it is not new to have a new sector developing, and likewise, the sector itself isn’t new in that post-prohibition is exactly the same thing as with alcohol, where we want to turn it into something you can tax and regulate,” says Morland, who sits as chairperson of Jersey’s new Cannabis Services Advisory Board. “This market is a very complicated space and we are very pro-regulation rather than against it – it needs to be regulated and taxed. Alcohol spent 20 to 40 years learning how to do this properly – we don’t want to criminalise 90 per cent of the population and done right it is something that is good

We hope we are at the leading edge of the second wave as a new sector becomes professional

and for the brand she has developed to date. “It has been massive convergence – there have been the mechanical difficulties of finding alternatives to melatonin for the sleep formulation, for example – these things are very material and take months to sort, but once done, we are comfortable that the way in which Dawn has appealed in the US will appeal over here as well.” Advancing the UK market Morland highlighted that Tenacious Labs is keen on the development of regulation and market maturation in the UK. “We hope we are at the leading edge of the second wave as a new sector becomes professional, rather than the tail end of the

for tax, good for business and good for not forcing money into the hands of the wrong people. What we have found is that it is not fully mature as a sector yet, and people find it difficult to access the support they need such as accountants, banks and lawyers. “Jersey is the poster child for doing it right – what we would like to see here is exactly the same thing. We would like to see an industry advisory group here, engagement with the Home Office at an appropriate level and the intent to start legalising in practice what people have only talked about legalising in theory. There is just not enough structure to allow it to happen so, there needs to be more regulation and it needs to be done properly.”

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Establishing a US brand in the UK Press Pause currently has consumers across the US through its e-commerce website and says it champions itself on clean and natural ingredients, cruelty-free products, and effective formulations. Tenacious Labs, which is looking to list in the UK and NASDAQ in two to three years, aims to bring its female-focused products to the UK to drive the international growth of Press Pause. Fable’s role at Press Pause will focus on creating new products in line with the brand’s mission to help promote the importance of self-care. “We have been in the process of investing just under £7.4m (US$10m) in making acquisitions in order to give us speed to market both in the US and UK,” said Morland. “The UK is very important, as it is highly representative of the rest of the world as being somewhere where you can get traction in the market, so we are postincome in both the UK and the US and have acquired two or three businesses and their respective founders who are now members of the senior management team. “The best example is Press Pause which has a loyal following of customers. Founder Dawn Fable is now head of lifestyle for Tenacious Labs worldwide, where her first job post-acquisition is working out how to take the products from the US into the UK, and the rest of the world, effectively. Dawn has built up a wonderful loyal following but had no way of taking it to the next stage, and we have got a business that has been deliberately designed around having space and budget for somebody like her. “The market is very fragmented, and Press Pause addresses the market fact that the consumers are more sophisticated than the suppliers. The people buying these products are better informed and interested in communicating with each other more than the people in our industry. What we particularly like about Press Pause and Dawn is her momentum and engagement with her sophisticated and representative audience – they are educated, informed and interested, and there is nothing specific to the US about that. The characteristics that have made Press Pause successful over there are the

FEATURE

Paul Finnegan discusses 300 per cent growth of CBD brand Naturecan 36

Stockport-based CBD brand Naturecan has seen a record growth of 300 per cent over the last year. Co-founder Paul Finnegan discusses the company’s journey and the secrets behind its success.

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Founded just over two years ago by ex-CEO and board director of My Protein, Andy Duckworth and entrepreneur Paul Finnegan, the high-quality CBD brand Naturecan has grown substantially over just a short period, seeing a record growth of 300 per cent over the last 12 months. Naturecan’s products are now sold in more than 28 countries across the globe from the Far East, to America and Europe. As well as recently securing a seven figure investment from the Far East, Naturecan is backed by high profile cricket star Freddie Flintoff – an early investor who is aiding the brand’s global expansion. Passionate beginnings Finnegan decided to get into the CBD business after his friend’s mother used the cannabinoid to aid with her recovery from breast cancer. “It all started at beginning of 2018 – I had shares in a drinks business and property – and I had seen CBD advertised everywhere.

A friend’s mum had breast cancer and had used cannabis treatment in her recovery. I was amazed at how she had recovered and amazed that this lady had gone down this route, so it really piqued my interest and I needed to see what it was all about,” says Finnegan. “The more I researched it the more I thought this is incredible, from kids with autism, to people with anxiety and fibromyalgia sufferers that haven’t got a real cure or a way to take the edge off the pain. I went out to the United States and found that there was so many cowboys in the industry – you didn’t know who was extracting, who was an agent, who was selling you hot dog water. “You needed to go out and physically look at these facilities and check their standards. Being from the drinks background – there is high standards in the UK for food products so it was about checking all of those things. “I went and visited everywhere in the States – I went to extractors in Colorado, Oregon, LA and eventually met with a man who had done this out of pure passion for helping his

FEATURE

We want to give clarity to sporting bodies about retention of THC and how it effects you, so we are undertaking human trials

and a capsule range with dozens of different extra skews, and products with ingredients like novaSOL curcumin which is 185 times more bioavailable than native curcumin. These ingredients compliment CBD so well for inflammation. “With Andy’s network we have been able to put this together so quickly and he has also helped to bring a lot of staff in – we have around 40 staff working with us, most of which are ex-My Protein or the Hut Group that have worked with Andy in the past.” Finnegan attributes the last year’s success to the hard working and driven team, as well as the high quality of Naturecan’s products. “The product is incredible quality and everybody that we deal with as a contract manufacturer say it is the best they have seen from a purity level,” says Finnegan. “However, 100 per cent the growth is from the team – the people in the business are fantastic, driven. They believe in the product and also believe in increasing peoples’ happiness in life, which is the key to our business so, we have just got a real group of highly motivated skilled people, and, with Duckworth as our leader, he drives everything forward. “We are in 28 countries now with 40 planned by the end of the year – being able to rely on each country manager and staff in their team to drive each territory forward has been a massive contributor to the growth.” Finnegan says that Naturecan’s ethos is to bring together the power of nature and science, and to include only the best ingredients to create highquality products.

Cannabis Wealth

children, one of which was heavily autistic balms. A lot of his network also use CBD and suffered night terrors who was on seven such as ex-cricketer Kevin Pietersen who different prescription drugs. has been posting about our ‘miracle’ CBD “He then, as a doctor himself, took the path of arnica cream, as well as Darren Gough, and taking him off this medication and putting Tom Davies the comedian uses the gummies him onto a cannabis-based medicine. This relentlessly for golf – so Flintoff is a great young boy’s life totally changed – he went person to have as an investor and supporter. from being in the emergency room for “CBD is really taking off in the sport world. 300 days a year to literally living a normal There are still issues with whether or not CBD life, going to school with years and years is allowed, so that is something the whole between episodes. “I thought that this guy industry needs to get behind. Naturecan, at has got the passion and the motivation, the moment, are sponsoring PhD courses nothing motivates you more than your at Liverpool John Moores University under children. I have two of my own children and professor Graeme Close who works with the it resonated with me. England rugby and the European golf tour, “He also had at the time the mythical as well as many others. We want to give beast of zero THC because of this that clarity to these sporting bodies about enhanced technology he had been using – retention of THC and how it effects you so, chromatography – where the levels were we are undertaking human trials.” incredible low. That was the big turn on. We struck a deal with them on an Taking Naturecan global exclusivity agreement.” Finnegan met Andy Duckworth, ex-CEO and board director of My Protein, who has High profile investors and supporters helped take the business to global levels, Naturecan attracted high profile investors as well as helping to broaden Naturecan’s early on, including Flintoff, who Finnegan product offering. says is a true believer in the benefits of CBD. “Duckworth took the business to huge “Freddie invested in the business early on, it numbers and spread it all around – he truly is not an endorsement deal. I have known globalised the business. We were introduced him for a few years, we are good friends and by our mutual friend and investor, Flintoff. he believes in the business and the product. He took the business on and looked at So, at a very early stage he was a major how we could make this into a global investor,” says Finnegan. wellness platform. “He does use the products, you can see that “He had contacts from contract manufacturing he has a go at everything – he keeps himself which allowed us to create more products – in such good shape and uses everything instead of just offering tinctures, gummies from protein and keratin on the non-CBD and balms, we now do all sorts of baked product side, through to oils, cookies and goods as well such as cookies and brownies,

ANALYSIS

New Frontier Data report explores cannabis growth and market trends

Cannabis Wealth

New Frontier Data’s, Global Cannabis Report: Growth and Trends Through 2025 features extensive analysis of both the legal and illicit cannabis markets in Europe and further afield.

The global cannabis report has been acknowledgment by the global body that there too, small movements for legalisation published two years following New Frontier the dangers to cannabis had long been are taking place, with Germany positioned to take Europe’s lead in cannabis liberalisation. Data’s previous global analysis of the industry. overstated, and that the plant has more therapeutic value than previously recognized Four of the six parties vying in the country’s The industry has seen huge advancements Bundestag – scheduled for September 2021 in both regulation and growth since - in the longstanding global framework of blanket prohibition.” – support cannabis reform, making it the which the report attributes to “growing first time that cannabis reform will have acceptance of the plant’s therapeutic value, Changing regulations in Europe broad-based support among the legislative and recognition of the industry’s potential New Frontier Data highlights that Europe’s body’s candidates. The election is likely to as a catalyst for economic growth.” be closely contested, and if no party secures Importantly, the report notes the United “laissez-faire attitude toward cannabis” is Nations’ (UN) decision to reschedule slowly becoming more formalised, including a majority, the leading party will need to the regulation of medical cannabis markets, form a coalition government, providing the cannabis by one level. Still classed as highlighting Germany as currently having smaller parties with stronger negotiating a dangerous drug, however, the report the largest medical cannabis programme, positions vis-a-vis drug policy reform. highlights that the UN’s decision, based with a current total of 84,237 medical “As the EU’s largest economy, Germany’s on recommendations by the World Health passage of major cannabis reform would Organisation (WHO), recognises that the cannabis patients. This number is expected to grow to 260,000 by 2025. have significant implications for European dangers related to cannabis have In the UK, it highlights the country is now drug policy, and the outcome of the election been overstated. working toward allowing increased access to will be closely watched by cannabis policy The report states: “The vote was based on the medicine. reform advocates across the continent and a series of cannabis liberalisation proposals submitted by the World Health Organisation The report states: “Notably, the debate abroad. If Germans elect a wave of proto fully legalise cannabis for adult-use reform candidates, it will likely encourage (WHO), and although the UN rejected all has been comparatively muted in Europe, political candidates in other countries to the other WHO cannabis-related proposals absent the social justice issues (e.g. racial leverage cannabis policy reform as a means (including to remove CBD entirely from inequity in cannabis prohibition) that fueled to galvanize young voters, reform-minded the schedule of narcotic drugs), the vote legalisation in North America. However, voters in particular.” was still an important milestone as a tacit

ANALYSIS

Cannabis Wealth

ANALYSIS

Cannabis Wealth

The growth of the European market Specifically in Europe, the report highlights that the legal market is estimated to have a 19.7 per cent CAGR until 2025. It estimates the medical market to reach £533.5m (US$722.6m) and the legal adult-use market to reach £103.7m (US$140.5m) - a total of £637.2m (US$863.1m) across both markets by 2025. It also highlights that 6.1 per cent of the population in Europe uses cannabis every year. Global spending on cannabis accounted for £305bn (US$415bn) in 2020 for both legal and illicit markets, with Europe accounting for 19 per cent. Currently total spending on cannabis in Europe, which has an estimated 107,356 medical cannabis patients and 44.2 million cannabis consumers, is pinned at £58.4bn (US$79.5bn) with the average price of flower per gramme costing £8.30 (US$11.35. This price point means the continent has the third most expensive high-THC cannabis market. The United Kingdom Following legalisation of medical cannabis in the UK in 2018, only a handful of patients have received prescriptions through the NHS, and families have continued to campaign for better access to the medicine for patients. Despite this, the New Frontier Data report highlights how the country has since become a global leader in the manufacture of products containing cannabis extracts. This has created a split structure of the market in the UK between public and private, says the report, meaning only those who can afford a private prescription can access high-THC products. It states: “That regulatory approach has acted as a significant barrier for patient access to high-THC products, and has severely limited overall growth for the legal market.” The report highlights that in 2020, of the UK’s 67.3 million population, there were 4.1 million cannabis consumers, of which 3,370 are medical patients, spending a total of £6.6bn (US$9.0bn) at an average of £8.97 (US$12.16) per gram of flower. The report estimates the UK market to reach £21.6m

The UK has become a global leader in the manufacture of products containing cannabis extracts

(US$29.3m) by 2025. “For a country with a population of 67 million, and an existing cannabis consumer population of four million, that is an infinitesimal medical cannabis program participation rate,” says the report of the number of UK medical cannabis patients. Germany and the Netherlands Despite the Netherland’s liberal history with cannabis, Germany now is at the forefront of the European medical cannabis market since it legalised use of the plant for medical purposes in 2017. New Frontier Data highlights that the country’s programme allows for insurance reimbursements for the product, with health insurance covering around 90 per cent of the population. Patients in the country are driving demand for cannabis products, with flower accounting for around 43 per cent of imported product in 2020, and extracts accounting for around 34 per cent, however, the report notes these figures demonstrate health reimbursements and not private sales. In the Netherlands, cannabis is available to adult consumers via coffee shops where sale and consumption is tolerated, however, legal and regulated medical cannabis is available through pharmacies where doctors are permitted to prescribe the product for any condition given they believe the product will be more beneficial than previous treatments, the report highlights. Price per gram of flower in the Netherland’s is around £5.25 ($7.12), and the country has and estimated 1.4 million consumers, with

2,572 medical cannabis patients and a total of £1.4bn (US$1.9bn) spending (2020). Portugal Portugal is one of the few countries in the world with fairly relaxed regulations around cannabis, with decriminalisation of personal use of all drugs, and having legalised medical use in 2018. The New Frontier Data report highlights that the country is home to some of the lowest production costs in the world thanks to the country’s climate and light conditions. The report states: “In June 2018, Portugal passed a law to legalise cannabis for medical use, with plans to set up a regulated medical cannabis industry. Legalisation and overall progress in the domestic legal medical market have subsequently been slow to materialize, with qualified patients able to access only a few high-THC products. Nevertheless, the country has significant growth opportunity as a future export market.” The report’s data on Portugal shows that in 2020 there was 490,332 cannabis consumers in the country, with a total of £523.1m (US$708.6m) of spending on cannabis, however, Portugal has only 672 medical cannabis patients. Price per gram of flower in Portugal is £5.92 (US$8.03). The report states: “It has been two years since initial legalisation, and while products are still not widely accessible, steps have been made to lay the groundwork for an operating legal market in the next year.” It continues: “Last year, Infarmed created the Office of Cannabis for Medicinal Purposes to aid communication; additional licensing has since been underway, with reports of 150 existing applicants waiting in the pipeline for review. While the country prioritized the legalisation of production for exporting, the country is finally taking steps to operationalize high-THC cannabis sales for patients in Portugal.” To find out in more detail about other European markets including Finland, Denmark, the Czech Republic and more, as well as the report’s insights on the global market, visit www.newfrontierdata.com.

FEATURE

influential women in cannabis

From trailblazing campaigners, researchers, prescribers and even patients themselves, women have played a pivotal role in the advancement of the cannabis sector - and now they are taking their rightful place at the top of the industry. Here’s just a handful who are breaking the “grass” ceiling.

Cannabis Wealth

FEATURE

Rebekah Hall, CEO, South West Brands Coming from 10 years in investment banking, Rebekah Hall took the leap to set up a health and wellbeing consumer business, with no previous experience in the industry. Botanic Lab went on to bring the first charcoal drink to the UK, before becoming the first brand in Europe to launch a CBD drink. With her all-female management team Rebekah is now leading South West Brands (SWB), the first multi-brand consumer goods group developed specifically for the CBD industry, in its mission to build scaled cannabis brands across multiple segments of the market.

Sophie Gamwell, head of operations, LYPHE Group Originally from Australia, Sophie was a nurse in emergency medicine and intensive care where she saw the impact of the opioid crisis first hand, before taking a career break and moving to New York. She then worked in tech start-ups before joining LYPHE Group as head of operations in 2019. With over 60 per cent of the UK market, Sophie has built and run the busiest medical cannabis clinic in the UK from a standing start, to support more than 2,500 patients since January 2020.

Hannah Deacon, co-founder of Medical Cannabis Clinicians Society & director, Maple Tree Consultants Hannah Deacon is an award winning medical cannabis campaigner. She ran a campaign in 2017/18 with the lobby group End Our Pain, which resulted in her son Alfie Dingley receiving the first legal NHS prescription for medical cannabis. His doctors received a permanent schedule one license in June 2018 which enabled them to prescribe legally for Alfie. Hannah now continues to campaign for fair access to medical cannabis treatments on the NHS and is also the Executive Director of The Medical cannabis Clinicians society and Director of Maple Tree Consultancy. Through this work she hopes to help create a patient focused sector which will benefit patients like her son Alfie.

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Leah Remfry-Peploe, co-founder, Ohne Ohne is the community-first brand reshaping the way people experience their menstrual cycles. The company was established by Leah and co-founder Nikki, best friends from their university days, who felt a frustration at the archaic menstrual health industry and limited offering. Whilst they wanted to offer organic and biodegradable tampons and pads (unlike the mainstream offering), Leah also suffered with painful cramps and was looking for a natural solution. Their Holy Cramp CBD oil is the UK’s first ever pro-period CBD oil, meaning it was created with a woman’s cycle in mind.

Jo Minchin, Lyndsey Price & Zoe Wilkinson, co-founders Grass Roots Skin The three friends launched the UK’s first cosmeceutical CBD skincare range last year, shortly followed by the world’s first CBD facial to be endorsed by CIBTAC (Confederation of International Beauty Therapy and Cosmetology). They now offer training to others in the beauty industry so they can carry out this dynamic facial within their own business along with the opportunity to retail our Grass Roots products. In February 2021 the trio became finalists in the BABTAC Inspiring Beauty Awards for their entrepreneurship and recently launched a CBD Massage oil, described as a “game changer” for massage therapists nationwide.

FEATURE

Dr Julie Moltke, researcher & medical cannabis prescriber Dr Julie Moltke is a medical doctor with a focus on mental health, stress management, and the medicinal cannabis industry. She is the author of ‘A Quick Guide to CBD’ and the founder and former editor of the London-based health, wellness, and cannabis science publication, Getthedose, as well as The Holistic Medicine Podcast. Julie is a peer-reviewed clinical researcher and industry consultant with a focus on medicinal cannabis and holistic health. Dr Julie Moltke prescribes medicinal cannabis at Clinic Horsted in Denmark, and she is on the advisory board of The Conservative Drug Policy Reform Group, The Primary Care Cannabis Network, and the patient organisation CPASS, among others.

Lorenza Romanese, managing director, European Industrial Hemp Association (EIHA) Based in EIHA’s Brussels office, Lorenza is a veteran policy advisor and communication manager at the European level. She has led EIHA’s efforts in Brussels since February 2019, having worked with a number of MEPs to propose reforms affecting hemp in the EU’s Common Agricultural Policy. EIHA represents the common interests of hemp farmers, producers and traders working with hemp fibres, shives, seeds, leaves and cannabinoids. Our main task is to serve, protect and represent the hemp sector in the EU and international policymaking. It recently crowdfunded to launch the largest study into the toxicological impacts of humans ingesting trace levels of THC. Lorenza previously advised interests in the oil and gas sector and led the European Association of independent Winegrowers.

Jade Proudman, founder & CEO, Savage Cabbage Since founding the company in 2016, Jade has worked tirelessly as an industry advocate across the UK and Europe to raise awareness and understanding, to educate and to support patients and customers from over 50 countries around the world. The company is the official distributor of Charlotte’s Web in Europe and the UK, the world’s most trusted hemp extract. As a patient herself, with a multitude of health problems, Jade’s life was transformed by Charlotte’s Web hemp products, which allowed her to drop all prescription medicines within 30 days. Since then, she has set out on a mission to support others on similar journeys through Savage Cabbage. Jade also has a Masters Degree in Education and Pedagogy, while also having had a 15-year-career in social care, driven by her desire to support and improve the standards of care to those most vulnerable.

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Valentina Milanova, founder, Daye After having her first painful period at nine years old, Valentina spent her free time researching papers initially on female health conditions like PCOS and endometriosis. She came across industrial hemp and how the plant’s fibres were more absorbent than cotton, and the flower extract had analgesic properties. This provoked Valentina’s eureka moment and after years of clinical research, fundraising and dedication, Daye was founded. The company went on to create the world’s first clinically validated CBD tampon. The Bulgarian 25-year-old managed to secure backing from A-list venture firms, recruit top talent, and launch her company’s first product to market in less than 12 months. Valentina aims to bridge the gender gap in medical research, raise the standards in female health products and service and normalise the conversation on female health.

NEWS IN BRIEF FEATURE

Carly Barton, founder Carly’s Amnesty & Cancard Carly was the first person in the UK to receive a prescription for cannabis privately since the law change in 2018. Leading her own Amnesty, Carly is working with government organisations in the hope of converting this to an NHS prescription, setting precedent for other patients. Having to give up her role kecturing in the arts, she discovered that cannabis was more effective than opioids in treating her fibromyalgia and post-stroke neuropathy. Founder of Cancard, Carly has worked with the help of doctors to design an initiative backed by senior representatives of the Police Federation and made for patients. She is also a contributing member to the Global Medical Cannabis Council and member of PLEA’s advisory board.

Dr Anne Katrin-Schlag, head of research, Drug Science DrAnne Katrin Schlag is a chartered psychologist and head of research at Drug Science. She completed her PhD in Psychology at the London School of Economics and Political Science, before working as Lecturer at King’s College London where she developed her expertise across the spectrum of science and policy making, risk perception, risk management and risk communication. Within her role at Drug Science, she leads the research for the Medical Cannabis Working Group, focusing on controversies surrounding medical cannabis, the improvement of patient access, and the continued development of education and stakeholder communication about medical cannabis. Dr Schlag is currently working on progressing the scientific evidence base of medical cannabis to include Patient-Reported Outcomes, observational studies (such as T21) and the application of Multi-Criteria Decision Analysis to assess the benefits and safety of medical cannabis.

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Dr Callie Seaman, cannabis scientist Dr Callie Seaman is a veteran of the hydroponic industry and became passionate about medicinal cannabis when she was first diagnosed with epilepsy over 20 years. In 2018 she joined the United Patient Alliance and went on to help educate others about cannabis, speaking at events such as the CMC research synopsis in 2019. In the summer of 2019, Callie became one of the scientific co-curators of a pilot program at Cambridge University, CANNTalks and is now on the advisory board for patient advocacy group CPASS. Callie is also an experienced cannabis scientist, having first studied for a degree in Biomedical Sciences at Sheffield Hallam University, during her PhD she became a founding director of Aqua Laboratories Limited – a formulator and producer of specialist hydroponic nutrients. She has published numerous scientific articles, book chapters and peer review scientific papers.

Alicia Maher, campaigner & cannabis law expert Alicia is currently undertaking a PhD in Law in the regulation of cannabis for medical purposes in Ireland. She has suffered from chronic pain since 2006 after complications from surgery and by 2018, she was taking 30 opioids a day. As a last resort she decided to try cannabis in 2018 and has since come off all pain medication and uses cannabis exclusively to manage her pain. In September 2019, Alicia held a medical cannabis symposium at the University of Limerick to highlight the issues faced due to the lack of access to medicinal cannabis in Ireland. She continues to campaign for the Medical Cannabis Access Programme to be broadened to include other conditions where there is evidence to suggest cannabis is beneficial, and for the cost to be reimbursed under the relevant schemes in Ireland.

NEWS FEATURE IN BRIEF

Dr Mala Mawkin, head of market development, Cellen Dr Mala Mawkin MBBS BSc was a finalist in the Women of the Future awards 2019, listed on Forbes 30 under 30 Europe 2018 and was one of Vogue’s 10 Rising Female Stars in 2018. Currently head of market Development at Cellen, she is particularly interested in the use of Medical Cannabis for managing patients with unmet clinical needs. Mala is a co-founder of the Women in Medical Cannabis Leadership in UK networking group. Digital Medicine Innovation Lead at Imperial College London, she hosts the Digital Health Podcast for the Royal Society of Medicine. Previously, she was a doctor in the NHS and has worked at institutions such as European Space Agency, Malawi’s e-health programme, as well as Harvard & Boston Children’s Hospital’s Innovation & Digital Health Accelerator.

Alisia Ratliff, chief scientific officer, Jersey Hemp Alisia Ratliff has transcended professional adversity to be selected to head up the scientific endeavors of the first company to be licensed to cultivate and process hemp flowers in the UK, Jersey Hemp. In addition to serving as Chief Scientific Officer, she plays an active role in her consulting firm as the Chief Executive Officer alongside her husband and business partner. Alisia uses a breadth of knowledge to develop business strategies, provide innovation in product development and oversee compliance at every level of the business. Alisia’s unique leadership style and perseverance has defined her professional purpose within this industry. She has become a technical SME, global thought-leader, and motivational speaker. Finding her power and using her voice, she is raising the bar on cannabis industry awareness across many topics.

Dr Dani Gordon, researcher & medical cannabis expert Dani is recognised as a world-leading expert in cannabis medicine, speaking internationally and working as a consultant to some of the first cannabis medicine clinics in the UK. She has treated thousands of patients with medical cannabis alongside pharmacotherapy, nutritional medicine, MBSR and evidence-based mind-body techniques to help manage stress-related conditions. She had a leading cannabis medicine referral-based practice in Canada as an integrative medicine specialist where she specialised in the treatment of complex chronic conditions including anxiety, fibromyalgia, depression, insomnia and chronic pain. She is an educator and consultant for clinical research in cannabinoid medicine working with global researchers. Dani is opening her first cannabis clinic in the UK in October with a focus on integrative medicine and women’s health.

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Abby Hughes & Lucy Stafford, PLEA (Patient-Led Engagement for Access) Abby and Lucy co-founded PLEA in 2020 to ensure the patient voice is heard as the industry develops. Abby is an experienced NHS operations lead, dedicated to advocating for patients and a co-founder of PlantEd Collective. She is interested in the integration of evidence-based plant medicine within mainstream healthcare, particularly in the areas of chronic pain and mental health. Having spent most of her teenage years in severe pain, dependent on opiates and a feeding tube, discovering medical cannabis has transformed Lucy’s health and quality of life. Currently studying a STEM degree, she aims to study cannabinoid science and in 2021 helped publish the world’s first research paper on the role of cannabis in the treatment of Ehlers Danlos Syndrome. Both are patient access consultants for Drug Science’s Project Twenty21, Europe’s largest medicinal cannabis registry evidencing safety and efficacy.

OPINION

Deregulating cannabis gives UK opportunity after Covid-19

Cannabis Wealth

The deregulation of cannabis gives the UK the opportunity to ‘Build Back Greener’ following the Covid-19 pandemic, according to a lawyer specialising in legal cannabis.

Lawyer from London law firm Bishop & Furlong said: “Despite medicinal cannabis Sewell, Eleanor Furlong, specialising in the use, as prescribed by a doctor, being made legal cannabis sector, says the deregulation legal in the UK three years ago, only a of cannabis in the UK is a case of ‘when, not handful of people have received NHS if’, and that it provides the UK with the ideal prescriptions for the treatment to date. opportunity to take advantage of lucrative “However, stories such as that of Thomas new markets following Covid-19. Braun, the boy who hand-delivered a letter to the prime minister asking for help in Creating jobs and saving costs getting a medical cannabis prescription for According to the International Narcotics his severely epileptic brother, are throwing Control Board’s (INCB) annual report, the a national spotlight on the debates around UK is estimated to be the world’s largest relegislating on cannabis. producer and exporter of legal cannabis “Research shows that cannabis and cannabisproducts – growing around 320 tonnes in derived products have a huge range of 2019. medical uses, with treatments for chronic The UK’s medicinal cannabis industry could pain, epilepsy, Alzheimer’s disease, anxiety, create around 100,000 new jobs and be depression, movement disorders, eating worth £2bn if regulation around the sector disorders, cancer and AIDs patients and the is relaxed, and legalisation could save an list goes on. estimated £890m a year in reduced spending “Relegislating cannabis also offers by police, prisons, courts and the NHS, potentially significant savings to the NHS according to a recent report by Maple Tree. in prescription costs, whilst simultaneously

reducing demand on more expensive and limited NHS resources. In addition, cannabis has the potential to boost both NHS funding through raising billions in revenue for the treasury, and the wider economy through the establishment of new cannabis subsectors within our existing industries; from farming to sustainable fashion.” Regulatory reform Recreational use of cannabis is legal in 14 US States, with overall legal sales expected to triple over the next three years to more than £22bn (US$30bn). Furlong continued: “The economic benefit of deregulation is too compelling for the Government to ignore; the market is highly profitable and growing rapidly, presenting an ideal opportunity for the UK to capitalise on its role as a global leader in cannabis cultivation and export. “In the wake of the economic impact of the

OPINION

The wave for reform is building, and social and cultural attitudes are also shifting into place

“Key to this will be to move the consumption method away from smoking to healthier alternatives like edibles and vaping, and position cannabis products as an alternative to alcohol. CBD oils are already de-regulated and it’s only a matter of time before hemp and medical marijuana follow. “The legalisation of recreational cannabis use may take more time due to the legal and ethical challenges posed, such as whether the benefits of deregulation outweigh potential health and social costs, the likely rate of addiction and its impact, and practical issues such as clarifying a safe THC blood levels for driving when considering both regular and irregular cannabis users. for some time, so there is much data “Nevertheless, the wave for reform is building, available for the Government to consider. and social and cultural attitudes are also The electorate’s view will also count, and shifting into place. The financial benefits of legalising cannabis may be what tips the recent surveys in London have shown balance, if the Government decides to reap support for deregulation running at around the rewards of this lucrative nascent market.” 60 per cent.

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pandemic, political opportunity arises as the treasury explores options for balancing the books and raising funds. Meanwhile, London Mayor Sadiq Khan has set up an independent commission to review the benefits of legalising cannabis.” London’s listed cannabis sector has also doubled in size this year after the Financial Conduct Authority (FCA) approved the admission of cannabis-related businesses to the London Stock Exchange. “The deregulation of cannabis will likely be made in phases, following the first steps being taken in medicinal cannabis. Subsequently attention should turn to the relaxation of farming regulations around hemp and CBD, although a pilot in London to create a legal cannabis market seems more likely and could be a catalyst for deregulation at a much faster pace,” added Furlong. “Cannabis has been legal in other countries

FEATURE

Potyque: The women’s health foundations of an emerging British CBD brand 48

Potyque founder Michelle Rust set up the firm in 2019 after using CBD to treat her menopause symptoms. Cannabis Wealth spoke to her about why chose to put her experience in the pharmaceutical industry to new use.

Why did you enter this industry? It was through my husband initially, who, after lots of research, came upon it as a potential solution for the menopause symptoms I was struggling with. Since we started Potyque, the industry has become quite congested, but I hope that the introduction of the novel food licence legislation will enable all those with the license to trade legally. That is one of the main reasons why we started Potyque; coming from a pharmaceutical background we are very comfortable with prescription drugs and the regulations that surround the industry, while also remaining totally focused on consumers.

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How long have you been part of the industry? We started our CBD journey back in 2018 and it took until the end of 2019 to create the brand, and finally get Potyque to market. How has the industry grown since you first started? The industry has grown exponentially. This makes it very confusing for consumers understanding the differences between what type of CBD to purchase, what strength to start with and how to titrate to get the maximum benefit.

FEATURE

That’s why, as well as selling the product, our website has lots of information on how best to use CBD and where to start – we know from personal experience what a minefield it can be. What do you feel are the three key developments or updates that have changed the industry? I think the novel food regulation for CBD companies (which came into effect in March 2020) can only make sure the industry is self-regulated, which will lead to better controls along with higher standards and levels of compliance. Ultimately, this means consumers will have greater faith and trust in CBD containing products, which can only be a good thing for the market as a whole.

How much of the industry relies on collaboration? Collaboration is a key part of the industry, especially with it still being relatively small and new. Any fledgling field relies on collaboration and cooperation amongst those companies that innovate, otherwise it will quickly run out of ideas and options. Who is your main inspiration in business and why? My inspiration comes from so many different directions. I read a lot. I love learning about new start-ups, the customer experience and successful entrepreneurs… there isn’t just one and the list goes on and on – there is always someone to be inspired by. What is the best piece of advice you’ve ever been given in business? I find too many people focus on profits or getting to the top, but the piece of advice I always remember is that people will never forget how you made them feel, so try to always be kind and genuine.

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What do you think the future holds for the industry? It’s a very exciting time for everyone involved in the industry, and it’s set to continue. The CBD world is still very much in its infancy and our hope remains that there is a place for consumers to have the benefit of the full ‘raw’ plant. We’ve already identified in excess of 100 cannabinoids in the raw plant, and I’m not sure anyone so far has really found full benefit from isolating each fraction.

At the moment, legislation looks to be heading towards refined, purified, isolated oils, but we’re not so sure that’s for the best for consumers – why mess around with what Mother Nature has given us?

ANALYSIS

A new frontier in medicine: MGC Pharma discusses drug delivery innovation

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Roby Zomer, co-founder and managing director of MGC Pharma, discusses the acceptance of its Patent Application for its drug delivery innovation – SNEDDS.

Accepted by the Slovenian Intellectual “The whole idea of drug delivery systems Property Office, MGC Pharma expects the is to get the medicine to its target in the patent for its drug delivery innovation, the body in the best way. In some cases, when ‘Self-nano emulsifying drug delivery system we are looking at neurological disorders and (SNEDDS) of Cannabinoids-Ionic Complex our target is the brain or nervous system, or Concentrate’, to be issued within the next when we are dealing with inflammatories 12 months. and inflamed areas, this can be topical, or Co-founder and CEO of MGC Pharmaceuticals, it can be systematic in our bodies. We are a European-based biopharma company trying to identify the right mechanism specialising in the production and or the right carrier that is the best way of development of phytocannabinoid-derived delivering the drug to its target,” says Zomer. medicines, Roby Zomer, describes the “Until now, most of the drugs around SNEDDS system as a “new frontier in cannabis or cannabinoids were oil-based medicine”. carriers, which has its flaws such as using too much oil. If you imagine children taking A new frontier in medicine CBD dissolved in oil eventually, they are MGC Pharma’s Self-nano emulsifying drinking 100 to 150ml of oil every month. Cannabinoids-Ionic Complex Concentrate Think about a healthy person with no utilises Graft Polymer’s proprietary disorder – even without the cannabis inside, GraftBioTM SNEDDS technology, which is a just drinking oil in this quantity will create a unique platform to deliver active ingredients lot of side effects and problems. more effectively in higher concentrations to “We are reducing the amount of the active the cells, improving the bioavailability and substance that the patient needs, who will synergy of natural active ingredients. therefore consume less oil, and therefore

experience less adverse events. We are changing the carrier into powders or water using SNEDDS. It is one of the newest platforms in the biotech industry that allows us to transfer the active substance from the oral mucosa to the blood plasma. “When we are dealing with the blood-brain barrier and bioavailability, we try to go below 100 nanometres and, by making the SNEDDS effective, we can go to 50 nanometres which means we are bypassing much better from the oral mucosa to the blood plasma – we are getting a much more efficient active substance, better bioavailability, and better absorption into the plasma. “The other element is transforming from an oil carrier into liquid and solid so, we are reducing the harm, side effects, or toxicity of overusing oil in our body which has its own problems regardless of the active substance. “From our perspective, we see there are different types of SNEDDS and each one

ANALYSIS

through the blood, without the need to do brain surgery or needling into the brain. The result we have seen so far is a very dramatic improvement and we have been able to achieve amazing results on CBG and CBD in targeting the stem cells. The next step is to complete another round of tests, then to move to an animal model and then to patients.”

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needs to be adjusted according to the API that will transform better in the body, treatment we want to achieve. For example, have better pharmacokinetic data and a while ago, we updated the patent on bioavailability, and eventually, will be able to CimetrA, a nano-emulsifying drug carrier. provide the patient with more effective and We are now using an ionic liquid, so it is safe treatment that is also more affordable,” a different method which is salt in room says Zomer. “This is a big transformation temperature liquid, and therefore dissolves from what we see in the industry and in water and creates our cannabinoid-type from phytocannabinoid and phytomedicine programme – it is the new frontier of active in general. substances, not just in the cannabinoid “We are working with a company who are sector but in the biopharma sector providing us with the platform for the in general.” medicines CannEpilTM and CogniCannTM, and running Phase 2 studies, however, Improving medicine for patients we are not using this platform. We will Zomer says MGC Pharma aims to improve introduce this platform to the medicine in medicines by identifying and discovering the next study. CimetrA, which has entered new drugs and active substances to provide into Phase 3 studies, is using the same biopatients with safer, more effective, and platform as the SNEDDS. affordable treatments. “Our brain cancer treatment is using a slightly “We are working on a two vector platform. different platform that can provide brain First of all, we are trying to identify a new treatment but in a non-invasive manner – so, active substance – the same as we did in our it will be able to take the medicine through brain cancer research, and also improving the mucosa and the active substance will the drug carrier. We are creating a new reach the brain stem cells and the tumour

Drug delivery innovation The SNEDDS platform will be protected by the patent for the next 20 years – allowing MGC Pharma the freedom to operate and to discover new formulations to bring products to market. Zomer says: “For the company, this patent means that we are now in the area of the bigger players – the platform will give us a new frontier of medicine, and help us to provide new formulations that are protected and out of the risk of medical lawsuits from other companies. This gives the company and investors the strength that we know what we are doing. “I can say that we will continue to develop more patents and expand the patents into territories, such as North America, and other territories according to the development in our research.” Zomer says the company hopes CimetrA will be sold later this year, and that CannEpil will enter Phase 2 studies with the hope of also being introduced to patients this year under the early access to medicines scheme (EAMS). “We are already providing this to patients in Australia and the UK, but I would say that we will see patients benefitting from this drug platform later in 2021 and more in 2022. “Over the past two years we have registered two new genetics that are protected until 2045 – so we are patenting our genetics, patenting our drug carriers and patenting our formulation. The next level will be to create new tablets and capsules that also incorporate new drug carriers to benefit different treatments. “We have a lot of developments in all the sectors and we are hoping to bring more surprises to the market in the next few years.”

FEATURE

Christina DiArcangelo: Dedicated to revolutionising patient care

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Entrepreneur and CEO Christina DiArcangelo is putting patients first in her work - championing patient care and providing bestin-class advocacy services.

Christina DiArcangelo’s journey into cannabis began after she was already working in the pharmaceutical industry. Having more than two decades of experience in the biotechnology, nutraceutical, and medical device industries, DiArcangelo entered into medical cannabis following a personal experience with a loved one. As an expert in biotechnology, DiArcangelo has now worked with a number of CBD companies with FDA regulations and is

CEO at Affinity Biopartners which conducts groundbreaking medical cannabis and cannabinoid clinical research, and at Affinity Patient Advocacy which assists cannabis patients with their medical cannabis journey and with legal cannabis patient advisory. Other roles include CEO at Spectral Analytics Precision Tele-Monitoring, and CEO and co-founder of AI Health Outcomes, where she has been involved with revolutionary projects and global clinical studies that

positively impact patients. “I have worked on 25 FDA-approved drugs in my career, and I have been in the cannabis CBD clinical research space globally for the past five years,” says DiArcangelo. “I’ve worked for some very large pharmaceuticals in the space, as well as small companies that want to pursue clinical studies, whether it is a CBD company or biotech. I have helped some CBD companies who received warning letters from the FDA, because I have

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been in biotech for so long I understand regulations. I am proud to say I have an excellent relationship with the FDA, both on the traditional side as well as the medical cannabis and CBD space.” DiArcangelo, a practising Baha’i, created Affinity Biopartners - her second clinical research organisation - which is now coming up to its six-year anniversary. Alongside its medical cannabis research, the company facilitates the development of drugs, biologics, nutraceuticals and medical devices. “Affinity Patient Advocacy was started as a result of my father’s passing from stage four liver, lung and stomach cancers. In 2015, we did not have a medical programme in the state of Pennsylvania so I could not use medical cannabis legally to help treat my father while he was dying. That was interesting being his advocate, I swung in to help him because I have worked on a lot of different oncology indications throughout my career and I watched him battle cancer for relatively 22 years of his life, which was half of my life. “As a result of helping him and then truly seeing with my own two eyes that there was a need for advocacy - that patients deserve a voice - and, what I love to do is design clinical studies that help patients, Affinity Patient Advocacy was started. “This was me being able to give back to him, and carry forward his legacy because he always gave back from a labour perspective and a healthcare standpoint as he was very active as a union member. He was constantly working for people, whether it

was grievance filings, trying to make sure people kept their jobs when they were unjustly accused of things. Making sure he protected his member’s rights was his number one priority, but then also ensuring that they had proper healthcare. You can see my foundation of where I have come from as a child growing up, and my career - serving people was very much at the forefront of my childhood into adulthood. For me, it was just turning the hat, not so much from a labour perspective, because I don’t work in that space, but I work with patients advocating for them, trying to help patients feel better.” In 2018 DiArcangelo started an AI firm, developing a toolbox of two bots that sit on Alexa and Google that can be voice-activated and utilised for clinical research purposes. “That means we can remind people to take the drug, we can ask them questions about how they are feeling and then we can collect electronic patient-reported outcomes. So, my clinical research background and all the years that I’ve been doing this have really pushed me into the tech space so that I could help my team develop an electronic data capture system. “I also worked on building out a telemonitoring platform - I had already had the tech side. Spectral Analytics is a holding company, and underneath we have a commercial company called Avum RX. Avum RX is the CBD line and Avum is the non-CBD. “The spectral analytics precision telemonitoring is what we open to do perpetual clinical research for CBD and medical cannabis patients. So, I took my

tech and put it over there - why reinvent the wheel when it is working. I know how to work with central labs because of my biotech experience so that I can test patients looking at kidney and liver toxicity from a safety perspective, so I can drop down listings, and share them with the FDA, so that we are answering their requests, which is what they’ve requested in the entire industry. The FDA considers this a biologic, even though it is a plant that’s what they consider it - the only drug, they really have approved is Epidyolex which is synthetic. “Spectral is gathering data to do perpetual clinical research, and put patients’ care back into their hands. Doctors have access to the portal and we are doing gut microbiome analysis and cannabinoid testing to see what patients are deficient in - nobody is doing that yet - we do not know what we are deficient in, so, as somebody who is also formulating transdermal patches for Avon, how can I formulate for people if I don’t know what’s wrong with them? We are trying to work in the UK with our products because we have safe products, they are backed by science. I’m at the helm, formulating now with my scientific team and we have now formulated an immune boost patch, and that was for autoimmune patients because I’m a patient, I have two autoimmune disorders, and I wasn’t diagnosed until 18. “The immune boost was not only developed for autoimmune people, but also palliative support for cancer, and then COVID because the patch has a lot of terpenes in it because, in my opinion, the terpenes are what are the healing components.”

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Spectral is gathering data to do perpetual clinical research, and put patients’ care back into their hands.

There was a need for advocacy, patients deserve a voice

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180 Life Sciences collaborates with cannabis pioneer to develop CBD analogue Biotechnology company 180 Life Sciences has identified a CBD analogue that will move forward in clinical development for inflammation and pain.

Born out of a merger of three companies, 180 clinical development for chronic pain and Life Sciences is focused on the development early arthritis. of novel drugs that fulfil unmet needs in According to the company, the analogue has inflammatory diseases, fibrosis and pain. a novel composition of matter which would A continuing collaboration since 1998 enable patent protection, robust preclinical between the “father of cannabis” Professor efficacy in several established mouse Raphi Mechoulam, Hebrew University, models for treating pain and inflammation Jerusalem, co-founder Sir Marc Feldmann’s in vivo, and ease of scalability for Laboratory in Oxford, and 180 Life Sciences’ GMP manufacturing. scientists, has led to the identification of Industry veteran and 180 Life Sciences a CBD analogue - HUM-217 - which was CEO, Dr Jim Woody, commented: “180 Life selected based on a screen of derivatives Sciences is the merger of three companies of CBD and CBG made by Mechoulam - one in Israel with Dr Mechoulam, who was and which will be will be advanced to working on cannabinoids, one in Oxford,

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UK, that was working on anti-inflammatory agents, primarily anti-TNF, and one here in the US that works on a nicotinic acid receptor agonist. “A long time ago, Dr Feldmann and I were working together and we were the first ones to ever invent an antibody against TNF. We showed it worked in rheumatoid arthritis and Crohn’s disease, psoriasis and ulcerative colitis, and it is now one of the standards of care called Remicade. There are probably 40 million people treated with anti-TNF so there are now no patients with rheumatoid arthritis in wheelchairs because of that drug and the follow on drugs. “However, there are problems with antiTNF’s because the drug is saving the joints but the pain doesn’t totally go away. So, what we are focusing on is making synthetic cannabinoids that will have the ability to be anti-inflammatory and anti-pain. “We have now been able to do that - we selected our lead compound to move ahead and go through IND-Enabling studies. We have already tested our compound in inflammation models - there are animal models of inflammation that can give a

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good readout on whether this works or Sciences are licensing more compounds not - and we know that the compound is from Oxford that have unique abilities to effective in those models. With the way it help tissue regrow after is damaged. is constructed, it won’t be psychogenic and “In the cannabinoid area, I think this class of it is easily absorbed, so we can actually drugs probably has a lot of uses. Certainly, take enough of it or make it into a pill so, it’s being used in paediatric seizures and people could use it as opposed to regular things like post-traumatic stress disorder, cannabis that is made up of maybe 100 or but these are not clean compounds, they more compounds. are very complicated. “We will treat patients who have arthritis and “I think for the field to move ahead, we receive anti-TNF, but it doesn’t quite make need to do what we are doing - making their pain go away, as you do not want your very specific medicines and molecules, patients to have to use opioids, which is so we know what they are, we know how not very satisfactory. Steroids are another they work, and then we can address many problem because of their side effects - a lot of these other problems because there is a of them cause kidney problems, for example. whole range of therapeutics there that will This pill will be non-addictive, and also quite be quite helpful that I think will be tailored favourable for the pain. for different diseases.” “It turns out that there are two TNF-receptors, The company recently raised £11m (US$15m) and one of them is inflammatory and the through private placement, which will fund other one is anti-inflammatory so, down the general corporate purposes, working capital, road, we are going to make specific drugs and the research and development of its against each of those to try to get away programmes which are not funded by grants. from the infectious disease complications. It “We raised the funds to accelerate these is a whole new novel area but Dr Feldmann programmes moving forward. It will almost and I and others are very familiar with the all go into the projects themselves. We don’t TNF field.” have an office because we’re scattered Dr Woody says that the anlaogue would be between Israel and Oxford and Palo Alto added to the regimen of doctors prescribing and so, we plan to put almost all the money anti-TNFs as a large clinical trial, possibly all into the programmes and get them to move over Europe. Additionally, he says 180 Life more quickly.”

FEATURE

“You can’t change the rules standing on the sidelines” The CEO of Ananda Developments, Melissa Sturgess, tells Sarah Sinclair how a 25-year career in precious metals has set her up to take on the cannabis industry.

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Melissa Sturgess knows that success comes when we’re outside of our comfort zone. “The world is not a safe space, you have to get into an unsafe space and be prepared to take risks in order to make leaps,” the CEO tells me over Zoom from St Tropez, France. Sturgess is on holiday, but still working she insists, when we speak. Our conversation taking place just weeks after Ananda Developments announced it had been granted a Home Office licence to grow high THC medical cannabis for research purposes. “If you’re not in the room you’re not in the deal,” she continues. “You have to work out where the power is and go there. If men have the power, you need to get male mentors.” She is used to being the only woman in the room. Coming from a background in metals and mining equity capital markets, she was the only female chief executive of a publicly quoted company for more or less her whole career. Born and bred in Perth, Western

Australia, Sturgess studied statistics and “I got lucky because I was working with a psychology and worked in corporate finance group of guys who were very entrepreneurial until her late 20s. Then she met a group of and very successful.” entrepreneurs who were putting mining She spent several years moving between deals together on the African continent and continents, living in Perth and orchestrating “fell into” the fast-moving, high-capital sector. deals out of Johannesburg, before travelling “I never really knew what I wanted to do, I to London to raise the money and list on the sort of fell into it but found that I loved it,” stock exchange. she admits. Over the last 25 years Sturgess has got countless deals over the line, in gold, diamonds, coal and other precious gemstones, operating in complex jurisdictions such as Zambia, Tanzania and Ethiopia. “I gained a lot of experience operating with complex deals and raising a lot of money as a director of publicly quoted companies,” she says. “When I started in the mining space it was completely male dominated. The guys used to say to me ‘suck it up princess’. Complaining was not an option - if you complained, you just got left out.

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The guys used to say to me ‘suck it up princess’ complaining was not an option

“The approach I’ve always taken is that business is business. It’s a game and there are rules. You learn to play by the rules and when you win you have the power to change the rules. She adds: “I think that there are a lot of men who don’t really like the rules either, but they still have to play by them. My gender was just one of many issues, they are going to pick on any kind of weakness and saying that you wanted things to change wasn’t going to change anything.” Her opportunistic nature came into its own when she moved to London in 2017 after a slump in the metals market and read an article in the Financial Times about a medical cannabis conference in the capital. Soon afterwards she was on a plane to Israel to meet the organiser of the conference and

learn everything she could about medical cannabis. “I went from being opportunistic about it, to thinking actually this is really fascinating and this is going to be more than just a deal, it’s something that I’m going to get really immersed in,” she says. Through Ananda Developments, a listed company, with shares traded on London’s AQUIS Stock Exchange, she made a few small investments in the space. Production was never on the cards until she was introduced to growers who had produced medical cannabis for GW Pharmaceuticals as part of their trials for Epidyolex trials. “We had never been interested in growing before, as we thought it was going to be a really commoditized area of the cannabis space. But when you meet guys who have

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with the aim of supplying high-quality and done it successfully and have these amazing insights into growing medicinal cannabis consistent products to UK patients, as well cost-effectively, and in UK conditions, it’s as exporting to Europe. “There’s increasing demand in the UK, but all actually pretty incredible,” she says. Over the next two years the team put the material we currently have is imported together what Sturgess describes as a and quality and consistency seems to be variable,” “meaty” research programme and applied to “Our aim is to have our own unique strains the Home Office. that will be suitable for the indications The process was “rigorous” she says, but “so that are being treated in the UK, and will it should be” and her experience applying be plants or chemovars that thrive in for exploration licenses across the world UK conditions,” says Sturgess. stood her in good stead. “Working with licencing that is in the gift The facility will use the UK’s natural growing of a government, in complex situations is season, during which its greenhouses will certainly something I have done a lot of,” benefit from long hours of light and the right temperature to avoid having to rely she says. “You go out and do your exploration work, on artificial light and heat. Its material will then be sent to Israel for cannabinoid and you show the government that you are good terpene analysis. corporate citizens, that you run an operation that is legal and rigorous and that employs Sturgess explains: “When you grow under artificial conditions, the power that is local people.” The £300,000 purpose-built facility in consumed is astronomical, so whilst we talk Lincolnshire will see Ananda’s subsidiary, DJT about this natural product we’re ignoring the fact that actually it can be really damaging. Plants, grow 65 strains of high THC cannabis for use in large-scale research, focusing on “Patients and prescribing doctors will know they are getting a UK product, which hasn’t the conditions for which cannabis products travelled very far, meaning it’s probably are being prescribed in the UK. Subject to further Home Office licensing, going to be fresher and hasn’t chewed up the plan is to move to commercial growing, power or transportation costs coming from

the other side of the world.” Meeting campaigners and patient advocates in the space over the last few years, including Hannah Deacon, the mother of Alfie Dingley, the first UK patient to be issued an NHS prescription for medical cannabis, Sturgess has seen the need for producing a consistent and high quality product for UK patients. “Having met Hannah three years ago, she sits on my shoulder virtually the whole time,” she says. “All I think about is that we should be providing medicinal cannabis in the UK for people like Hannah, who need it for their kids or for themselves or their friends, family, loved ones.” Despite being the driving force of the industry, Sturgess fears that when capital gets tight it’s these advocacy roles which will disappear as larger companies swallow up the space. “Women will say to me that they find it hard because the industry is so male dominated, but I don’t feel that because of where I have come from. However, what I observed in the early days, certainly in North America and Canada, was a lot of women in the grassroots and advocacy roles. As the industry matures you get the bigger companies coming in, and it tends to be mainly men running those companies,” she says. “Women can do themselves a disservice when they portray the caring side so much. “They tend to think that if they work really hard, someone will offer them a pay rise, or if they volunteer someone will offer to pay them. But it’s about knowing your worth and putting a price on things. “When you get to the business side things, it’s about money and if you want to make money for shareholders it becomes really competitive. There’s only so much money out there, so people are often competing for the same pool of capital.” But Sturgess has played the game for a while now, and is in prime position to help change the rules. “I want to encourage [women] not to stand back and wait to be noticed,” she adds. “You’re not going to change the rules of basketball by standing on the sidelines, you’re going to change the rules by getting in there, playing the game and becoming a respected player.”

POLICY & REGULATION

High-THC cannabis cultivation licences now available in Guernsey The long-awaited MoU will ensure that the Bailiwick is at the forefront of the developing cannabis sector.

Seven applications since launch The State of Guernsey has since received seven applications for high-THC cannabis cultivation licences in the two months following the implementation of the new licensing regime. “The new cannabis licensing system has been welcomed by the industry and I’m pleased to see that the changes the Health and Social Care team have implemented have already attracted seven applications,” commented Deputy Al Brouard, President of the Committee for Health & Social Care. “Each will now be thoroughly assessed by the BGCA alongside the Home Office and I look forward to seeing the first licences issued to those that are successful.” Inder commented: “It is highly encouraging to see such a positive response from businesses in just a few months since the MoU was signed. “These are the early steps of a promising new sector for the Bailiwick, one which is already attracting interest and investment locally and from overseas. Guernsey is now well placed to remain at the forefront of the cannabis industry, and we will continue to support its development.” The July development marked a significant step in the development of the cannabis industry in Guernsey, and where previously only licences to cultivate cannabis for CBD products were available.

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Revised licensing regime Applications will be received by the newly formed Bailiwick of Guernsey Cannabis Agency (BGCA), which has been established by the Committee for Health and Social Care. “Guernsey was one of the first to recognise the potential benefits that cannabis-based products medicinal might bring,” commented Deputy Al Brouard, president of the Committee for Health and Social Care. “The MoU marks the start of a process that may allow these products to be produced on island for the benefit of patients within the Bailiwick and overseas. The creation of the Bailiwick of Guernsey Cannabis Agency further Businesses in the Bailiwick of Guernsey can enhances our robust regulatory system for now apply for high-THC medical cannabis cannabis cultivation.” cultivation licences for use in cannabis- Deputy Neil Inder, president of the based medicinal products (CBMP) under its Committee for Economic Development revised licensing regime. added: “Guernsey’s famous growing In a significant step in the development of heritage continues to thrive within this the emerging cannabis industry in Guernsey, new island industry. The MoU ensures that businesses in the Bailiwick can now apply the Bailiwick can continue to remain at for a high-THC cannabis cultivation licence the forefront of a developing sector that following a Memorandum of Understanding provides diversification to our economy, (MoU) with the UK Home Office. Previously revitalisation of our environment and new only licences to cultivate cannabis for CBD opportunities for skills and employment. products were available. “Growers once moved into finance and

now finance is moving into growing. The Committee will continue to support the opportunities available in the pharmaceutical industry and I’m very grateful for the effort all parties have made to deliver the longawaited MoU.”

FEATURE

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Exploring cannabis regulations and investment in the UK In this article, Shannett Thompson, partner at Kingsley Napley LLP, an internationally recognised law firm based in central London, explores the regulations around cannabis and investment in the UK.

As the regulatory landscape around cannabis in the UK evolves, investors are looking toward cannabis companies as a socially conscious investment, but in the UK, the drug is a controlled substance, as such, careful considerations need to be borne in mind. Here, Shannett Thompson, a partner in the Regulatory Team at Kingsley Napley LLP, who has trained in the NHS and provides regulatory advice in the health and social care and education sectors, explains the legal landscape around cannabis and its implications for investing in cannabis as a UK national. The law Cannabis is a controlled Class B drug under Part II, Schedule 2, of the Misuse of Drugs Act 1971 (the Act). It is also listed in Schedule 1 to the Misuse of Drugs Regulations 2001 (MDR 2001) and designated under the Misuse of Drugs (Designation) (England, Wales and Scotland) Order 2015 (2015 Order). Accordingly, it is illegal to possess,

supply, produce, import or export this drug except under a Home Office licence. An individual in possession of cannabis could face up to five years imprisonment and/ or an unlimited fine. An individual who supplies, shares or deals cannabis can face up to 14 years imprisonment and/or an unlimited fine. The makeup of Cannabis Cannabis contains hundreds of chemical compounds. At least 113 of those are known as cannabinoids, with the most notable being Tetrahydrocannabinol (THC) and Cannabidiol (CBD). THC is known as the psychoactive compound in cannabis and it is what produces the ‘high’ feeling users receive, whereas CBD is not psychoactive and is known to relax users. THC may cause users to experience: • Relaxedness • Drowsiness • Mild hallucinations • Hunger • Paranoia

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Investors are looking towards cannabis companies as a socially conscious investment

Part IV further defines them and includes “tetrahydro derivatives of cannabinol”, which includes THC.

Can I invest in the cannabis market? Due to the drug’s illegality, investments relating to cannabis would be caught by the Proceeds of Crime Act 2002 (POCA). As such, as a UK national/resident, it is important to consider the implications of investments in other jurisdictions where cannabis is legal, as the proceeds will still be caught by POCA. Under POCA it is an offence to: Conceal, disguise, convert or transfer criminal property (s.327) Enter into or become concerned in an arrangement which you know or suspect facilitates (by whatever means) the acquisition, retention, use or control of criminal property by or on behalf of another person (s.328) Acquire, use or possess criminal property (s.329) Criminal property is defined in s.340 as ‘a person’s benefit from criminal conduct’ and includes all profits in connection with the criminal conduct. The exception is that POCA does not apply if the company you choose to invest in has a cultivation licence provided by the Home Office to provide CBMPs. Shannett Thompson, Partner, Kingsley Napley LLP

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What is CBD? CBD is commonly marketed as a product that will: • Reduce anxiety • Improve sleep • Relieve depression • Be an effective pain relief CBD is a non-psychoactive chemical compound found in cannabis and it does not cause users to be ‘high’. CBD can contain THC if the two components cannot be separated in the cultivation process, which has been shown to be difficult to do depending on the nature of the base plant used. There is a misnomer that CBD products can be legally sold, without a licence, if the maximum THC content is 0.2 per cent; this position is not supported by the law. Schedule 2, Part II of the Act lists those substances which are Class B drugs, which includes Cannibinol and Cannabinol derivatives. Whilst Cannabinol derivatives are not specifically identified within Schedule 2, Part II, of the Act, Schedule 2,

Medical cannabis legal changes Although cannabis is illegal, it can be supplied, produced, bought and/or imported under a licence from the Home Office. Section 5 of the MDR 2001 states: ‘Where any person is authorised by a licence of the Secretary of State issued under this regulation and for the time being in force to produce, supply, offer to supply or have in his possession any controlled drug, it shall not by virtue of section 4(1) or 5(1) of the Act be unlawful for that person to produce, supply, offer to supply or have in his possession that drug in accordance with the terms of the licence and in compliance with any conditions attached to the licence.’ Section 12 of the MDR 2001 expands on section 5, stating: ‘Where any person is authorised by a licence of the Secretary of State issued under this regulation and for the time being in force to cultivate plants of the genus Cannabis, it shall not by virtue of section 6 of the Act be unlawful for that person to cultivate any such plant in accordance with the terms of the licence and in compliance with any conditions attached to the licence.’ Furthermore, from 1 November 2018, the law surrounding medical cannabis changed following the cases of Billy Caldwell and Alfie Dingley, who required prescription cannabis to treat their severe epilepsy. The then Home Secretary Sajid Javid, removed the requirement for specialist doctors to obtain

a licence before prescribing cannabisbased medicinal products (CBMP) to patients, and the MDR 2001 was also updated to include the definition for what constitutes a CBPM for medicinal use.

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How the carbon capture of hemp can help reduce emissions

Cannabis Wealth

Carbon emissions reached an all-time high just before the Covid-19 lockdowns started. The hemp industry has fostered a young culture of carbon awareness. Canxchange explores some of the developments.

Carbon emissions reached all-time highs before the COVID-19 pandemic. With such unprecedented rates of emission, we are constantly measuring how to reduce our output. Around the world, governments incentivise manufacturing businesses to reduce carbon emissions in newer products. Cars, for example, are increasingly regulated. But other businesses exist on the other end of the spectrum—such as the hemp industry. Hemp cultivation produces net negative carbon emissions. That means that the hemp industry actively contributes to the solution to carbon emissions. So, exactly how much carbon does hemp capture? What about the other carbon-capturing practices and businesses? Environmental impact: hemp vs. other ways of capturing CO2 Many studies already exist on the carbon capture of hemp. They differ in their conclusions, but not by a significant margin. According to the European Industrial Hemp Association, one hectare of industrial hemp absorbs up to 15 tonnes of carbon dioxide.

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Another study by Hemp Tech Global found that one acre of industrial hemp absorbs two tonnes of carbon dioxide in just three to four months of growth. These levels of carbon capture are significant. When compared to other crops, and plants overall, hemp has exceptional carbon absorption. However, it’s not normally the first plant that comes to mind when you talk about carbon reduction. Most people think of trees as the first line of defence against excessive carbon emissions. Indeed, trees are undisputedly the most abundant, and one of the most efficient, tools that we have. However, as an active measure, we simply cannot rely on them alone. Unfortunately, that is even more true given the fact that we are still in the midst of a deforestation crisis. In the past 50 years alone, we’ve deforested 17 per cent of the Amazon rainforest.

Carbon emission reduction after cultivation In addition to carbon absorption, hemp contributes to fighting carbon emissions after its cultivation. Hemp is one of the best converters of carbon dioxide to biomass. That’s because it can be used for carbon-negative bioplastics. Hemp is a great substitute for synthetic polymers like polyethene, which are used in most manufactured plastics. Hemp-based plastics are carbon-neutral when it comes to production, and then completely biodegradable. There are even more products that hemp can be used for at a reduced rate of carbon emissions. It can replace materials used in construction, clothing manufacturing, and ropes. The Natural Solution Hemp is an easy and natural solution to a lot of our current excessive carbon emissions, offering immense versatility. It’s also been used for most of

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Hemp vs. trees While the comparison might sound silly at first, hemp fields can actually be more effective than forests at capturing carbon. According to Cambridge University research, planting hemp is more effective than planting trees. Whereas

forests capture between two and six tonnes per hectare per year, hemp captures eight to 15.

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Hemp is an easy and natural solution to a lot of our current excessive carbon emissions

human agricultural history and only stopped being used by many countries in the 20th century. While hemp has many uses, it also provides an alternative to fossil fuels. Fossil fuels like petrol contribute enormously to the excessive carbon emissions produced during the last 50 years. Hemp biofuel, on the other hand, is less polluting and is one of the most widely available fossil fuel substitutes. Hemp can also help reduce CO2 emissions through biosequestration, which is a process that involves slowly smouldering cultivated hemp crops. After using it to produce tar, it is returned to the soil rather than being released into the air. Carbon credits These hemp solutions might become more incentivised going forward. For hemp farmers, the opportunity to cash in on carbon credits is an added incentive. So far, this idea has primarily been explored by blockchain startups. But governments have also started awarding carbon credits for hemp farmers who meet their criteria.

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Key tech start-ups operating in this space Several hemp startups are taking the opportunity to capitalise on the crop’s potential. Hempitecture Hempitecture is a US startup for environmentallyfriendly architecture. The startup addresses environmental concerns that current construction practices are aggravating. They are working to reduce the carbon footprint of the construction industry through environmentally friendly hemp construction products. Hemp can be used in the production of insulators and building blocks, removing the need for polluting materials. Hempitecture produces those materials

for companies in the construction industry. They use a mineral-based binder to bond the hemp core through either cast-in-place or a spray. The result is lower carbon emissions in construction. eHempHouse eHempHouse specialises in converting cultivated hemp into an environmentally friendly fuel. Hemp is already a carbon-negative plant. So, the process reduces CO2 emissions by both carbon capture and replacing processes that emit more carbon. In addition, the company converts hemp into products in the health, cosmetic, and textile industries. Mirreco Mirreco is an Australian startup that provides hemp solutions for: Paper, Textiles, Construction, Green plastics, Food, Fuel and more. The startup seeks to maximise carbon capture in the industries where hemp can be applied. For example, the plastics and cosmetics industries normally require fossil fuels in their production. Then, plastics don’t easily degrade. Mirreco solves these issues with non-synthetic, hemp-based polymers. Can hemp solve the carbon emissions crisis? On its own, no single solution can solve such a complex problem. However, hemp is such a versatile crop that it can be applied across several industries and reduce carbon emissions in a wide variety of ways. Hemp cultivation is now being slowly legalised around the world. It is providing use in carbon capture while replacing emission-producing materials and processes. In addition, more research is underway and many new startups are leading the way in finding new, green applications.

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UK’s NCRI endorses research into cannabis for treating cancer pain UK-based CBD Science Group has received an endorsement from the National Cancer Research Institute (NCRI) for its study investigating the role of cannabis in treating cancer pain. Biopharmaceutical company CBD Science Group has received an endorsement from the NCRI, which has seen its NCRI Living With and Beyond Cancer (LWBC) Executive Group endorse CBD Science’s Real World Evidence (RWE) study into the role that cannabinoids can play in treating cancer-related pain. There are currently an estimated three million patients in the UK suffering from cancer, 39.3 per cent of which are affected by pain following curative treatment; 55 per cent affected by pain during anticancer treatment; and 66.4 per cent in advanced, metastatic, or terminal disease.

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An alternative treatment for pain CBD Science Group is carrying out the peer-reviewed clinical trial which aims to deliver approved therapies to patients nationally at a rapid pace. CCO of CBD Science, Graeme McFarlane, said: “We are delighted and proud to have been offered this endorsement from the NCRI LWBC, which offers hope to millions of people with long-term cancer pain around the world. “This partnership will further progress CBD Science Group towards our objective of realising the advantages of cannabinoids in fulfilling this urgent need of suffering patients. We strongly believe in the opportunity that our RWE study presents, and

look forward to working closely and deepening our relationship with the NCRI.” The NICE guidelines for medical cannabis found that evidence is lacking for chronic pain associated with cancer patients, which CBD Science says renders research into the use of cannabinoids as an alternative medicine timely. Co-chair of NCRI Living With and Beyond Cancer Research Group, professor Emeritus Sam Ahmedzai, commented: “Previous research into cancer-related pain focused on those with advanced disease, however, there is a large and rapidly growing population of people surviving for many years with cancer. “The reality is that chronic pain related to the cancer itself or indeed arising from the anti-cancer treatments, is an insurmountable barrier to living a productive and rewarding life with family and friends – at all stages of cancer. “Sadly current pain treatment options are largely ineffective or cause even more harmful sideeffects; therefore new research is urgently needed to find better therapies. I am delighted to actively participate in CBD Science Group’s goal of finding an effective and safer medicinal cannabis solution to relieve the suffering of patients living with cancer-related pain.”

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Panaxia agreement to bring medical cannabis products into Germany Global pharmaceutical company Panaxia Labs Israel Ltd has signed an agreement with German-based AxioNovo GmbH that will see the company bring its medical cannabis products into Germany.

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Specialising in developing, manufacturing and marketing progressive, pharmaceutical-grade medical cannabis products, pharma company Panaxia has entered into an agreement with oncology specialist AxioNovo for the marketing, sale and distribution of a new series of medical cannabis products. Supporting German cancer patients The products will have a unique formulation which has been designed and used in Israel for oncology patients for cancer pain, loss of appetite and other side effects related to cancer treatments. Characterised by designated formulations and new extracts, the development of the products was based on more than a decade’s worth of clinical data and Panaxia’s experience in treating cancer patients. The five-year agreement, during which Panaxia will be responsible for manufacturing the products under EU-GMP standards, will see the products registered according to regulatory requirements in Germany. AxioNovo will head the marketing, sale and distribution of the products to cancer patients through direct purchase in pharmacies, following prescriptions from oncologists at cancer specialised clinics in Germany. Dr Dadi Segal, CEO of Panaxia Israel: “We welcome the agreement with AxioNovo GmbH and we are proud of this vote of confidence from a specialised German pharma company in the field of Oncology, which has chosen Panaxia as a strategic partner to make

advanced and innovative medical cannabis-based treatments accessible to patients all over Germany, as well as our collaboration with Neuraxpharm on CNS. This is a significant step in recognising our contribution and fulfilling our potential within the largest market in Europe.” Udo Wieners, CEO of AxioNovo GmbH, added: “As part of PharmaMed Group, we offer various services and products in the field of oncology in Germany. We look forward to launching the Naxiva Panaxol Onko product line in partnership with Panaxia as a part of our already existing portfolio for cancer patients and believe that this is an excellent extension of our holistic approach to treatment.” First sales of the products in Germany are expected in the third quarter of 2021, subject to obtaining a regulatory approval from the German authorities for marketing and distribution.

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Epidyolex receives approval for tuberous sclerosis seizures treatment GW Pharmaceuticals has received approval for Epidyolex from the Medicines and Healthcare products Regulatory Agency (MHRA) for the treatment of seizures associated with tuberous sclerosis complex.

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Epidyolex, the first cannabis-derived medicine to receive a positive NICE recommendation for the treatment of seizures in patients with two rare and severe forms of childhood-onset epilepsy, has now received MHRA approval for the treatment of seizures associated with tuberous sclerosis complex (TSC). Tuberous Sclerosis Association (TSA) chief executive, Louise Fish, said: “One in every two people living with TSC-related epileptic seizures has difficult to treat epilepsy that does not respond to traditional anti-epileptic drugs. “We are excited to see this new medicine approved by the MHRA, which gives people living with TSC and their families hope. We desperately need further options for clinicians who are managing seizures associated with TSC, and we, therefore, welcome this decision by the MHRA.” The approval applies in England, Wales and Scotland and follows the recent approval of the product in all 27 countries of the European Union. Following this approval, GW Pharmaceuticals will work with the relevant stakeholders in the UK, including NICE, to secure reimbursement for eligible patients.

Tuberous sclerosis treatment TSC, which causes mostly benign tumours to grow in vital organs of the body, affects an estimated 3,700 to 11,000 people in the UK, and causes epilepsy in up to 85 per cent of patients – 60 per cent of which do not respond to standard anti-seizure medications. The approval is based on data from a positive Phase 3 safety and efficacy study evaluating 25 mg/kg/day of Epidyolex, which met its primary endpoint of the reduction in seizure frequency compared to baseline of cannabidiol vs placebo. Seizure reduction was 49 per cent in patients taking cannabidiol 25 mg/kg/ day compared with 27 per cent for placebo. Chris Tovey, executive vice president, chief operating officer and managing director, Europe and international at Jazz Pharmaceuticals, commented: “We are delighted by today’s decision from the MHRA for this new indication, which represents a significant step forward for TSC patients in the UK, many of whom may benefit from this new treatment. “The UK is a significant country for us for many reasons, and we are proud to be able to offer a medicine, that has been developed and is manufactured here, to even more patients across the UK. This authorisation, expanding the label, is further proof of our continued commitment to the UK and the pioneering research and development into regulatory approved cannabis-based medicines we have conducted here.” GW Pharmaceuticals, which is now part of Jazz Pharmaceuticals, was initially granted marketing authorisation for the medicine in the UK in 2019 as an adjunctive therapy for seizures associated with Lennox Gastaut syndrome or Dravet syndrome, in conjunction with clobazam, for patients two years of age and older. The medicine also received a positive recommendation from NICE to receive routine reimbursement from NHS England.

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US cannabis medicine technology to be available for European patients Advanced Liquid Technology has entered into a deal with Grow Group that will see its cannabis medicine technology enter the European market. The deal between Advanced Liquid Technology (ALT) and Grow Group will market and distribute ALT’s proprietary, fast-acting, liquid medical cannabis products across Europe. Grow Group’s CEO Ben Langley said: “Grow’s mission is to bring medical cannabis products to all patients who need it. We strive to constantly improve and innovate on our product offering. “With our leading position and unique experience we are very confident that with ALT’S new mode of administration using liquid medical cannabis we are going to make another leap forward in providing patients with the best products and solutions for their symptom management.”

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New products for European patients The products will benefit European patients with rapid on-set effects within five to 15 minutes alongside improved absorption efficiency, as well as allowing patients to titrate their dose accordingly.

They will also benefit doctors by enabling them to recommend precise doses of cannabinoids to patients based on their individual need for relief from ailments. The emulsion technology creates unique flavour neutral, zero calories, sugar-free, vegan, keto and paleo-friendly, water-compatible nanoemulsions. The products are kinetically stable with an incredibly small particle size, allowing for more effective delivery of cannabinoids to the user compared to tinctures and other ingestible products, and can be consumed directly or with another drink. ALT’s CEO, Robert Davis, commented: “We are honoured to partner with Grow in bringing ALT’s completely differentiated brand and liquid medical cannabis technologies to the European medical markets. “After successfully launching ALT into California in December of 2020, we are excited to expand internationally, our first step in becoming a global brand. ALT’s mission is to Enhance Human Potential and we will do so, one patient at a time, through the power of our liquid cannabis platform.” ALT plans to have a range of EU GMP-certified liquid medical cannabis products available for patients in the UK and Germany by early 2022, who will have access to the products by obtaining prescriptions through private practice or national health services. Bar Capital Global introduced and advised both ALT and Grow on this groundbreaking relationship and will continue to assist in the successful launch of the products.

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CanCoin: A FinTech solution for the European cannabis industry 70

The newly launched cannabis industry token, The CanCoin, is developing an entire ecosystem around the token in a bid to revolutionise the European cannabis market.

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The legal European cannabis market is estimated to reach $£15bn (US70bn) by 2025, but the emerging industry still faces barriers that are hindering its full potential, such as financial institutions’ reluctance to serve domestic companies, traceability, privacy and costly operations. To add to the problem, despite changing legislation at national levels, there remains a lack of a harmonised regulatory framework across the continent. Launched by leading DeFi advisory group Technicorum Holdings, specialising in digital assets, European crowdfunding expert Daniel Daboczy, as well as David Bonnier and Amaury de Poret, co-founders and investment managers of Enexis AB, The CanCoin sets itself apart as an innovative solution with high potential for this nascent industry. A FinTech solution The CanCoin’s white paper details how it aims to penetrate the market by offering tools to companies across the cannabis value chain, including track and trace solutions, a decentralised payment

“If you look at the US, Amazon gift cards are the preferred currency right now in a lot of purchases, which is absurd. Then, you cannot transport money between states in the US, you cannot bank the cash. Those are major, major issues for the industry. Why go through all the hassle when you can pay through a cryptocurrency. Right now you could use Bitcoin in theory, or whichever cryptocurrency you can use already, but there are some problems with that. “We want to create an industry token, and then eventually a blockchain, which also adds traceability and trust to the system, thus, eventually, leading to legislation. Legislation can only happen if governmental bodies and the legislative bodies feel that they can trust this. They will never approve some kind of a grey-zone, libertarian type of thing, but a proper FinTech solution is welcomed by many people.” Alongside the coin, the blockchain that will be developed will allow for transparent and trustworthy documentation of any item, smart contracts, and will enable the replacement of paper trails. Customers will also be able to check information on their products such as origin, third-party testing and expiration date.

network, crowdfunding capabilities, secure patient data, NFTs, and a rapid coin adoption strategy. CEO Daniel Daboczy said: “The coin itself is one product and then we also aim to solve certain issues in the industry. We want Backed by experts a lot of people in the industry to use the The CanCoin is supported by leading experts in DeFi, cannabis, finance and funding. coin. Right now – the pound, the euro, the Singapore-based Technicorum Holdings is dollar, the yuan, they are vertical coins – one purpose fits all and some people benefit a one of the world’s leading crypto advisors, lot, for instance, financial institutions and and Daboczy has a strong background in banks, and some private citizens do not the FinTech industry, having co-founded the international crowdfunding platform benefit at all by using a certain currency FundedByMe. Additionally, team members over the other. What a lot of people think David Bonnier and Amaury de Poret are is that the currency system, which is from the 1600s, is a bit obsolete at this point. the co-founders and investment managers There are a lot of people in vertical coins – of Enexis AB, one of the first cannabis real estate coins for the real estate industry, investment companies in Europe. It also has influencer coins for the influencer industry, a group of “secret” advisors who offer their cannabis coins for the cannabis industry. expertise in blockchain and pharma. That is what we are aiming towards, but, it “Our secret advisors are people who are is not only people in the cannabis business giving us advice, especially on the blockchain that can use it, it could be used by anybody, bill, and we have advisors who are from the pharmacy industry in the EU,” said Daboczy. as any cryptocurrency can be. It can be used for purchasing, traceability, or speculation, “These people are already giving us advice on how the pharmacy industry is working, for example.

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and we have some people who understand the cannabis industry is growing, and they also understand that the crypto industry is growing. But, they can’t put the names there because their employer might frown or, because not everybody understands that you don’t have to be a cannabis smoker to do FinTech for the industry.” Tech, media and Pharma expert Scott de Maercado was recently appointed to The CanCoin Advisory Board, which includes crypto expert and advisor Malcolm Tan, and cannabis industry expert, Jonas Saeed. The CanCoin is also collaborating with Massfluencer, a data-driven marketing company, Cryptologicals, crypto and financial marketing and content specialists, and Transform Group, a globally leading blockchain communications company. “Our team has got several successful startups, and my platform helped over 650 companies successfully get fundraising. We have learned what works and doesn’t work, and having a clean and clear path is important,” added Daboczy. “We understand how to build a company, how to work with the political parties and the legislative bodies, and how to build good tech and make sure that you have a user base, those three elements are very important for these products.”

product, or a finished song or a finished art piece, decided by somebody else who can sell it. I would want to package an idea. Our NFTs will serve several purposes – to engage people to see other values than just a coin and the other, which is very important, is gamification. Users will be able to work for our purposes – we give you certain tasks to fulfill, and we pay you coins once you reach them. It becomes almost like a simple app game, but with a purpose to engage. We want to add the gamified element to the art element.” Revolutionising the industry Daboczy says The CanCoin aims to become a central bank for the European Cannabis industry, and believes that the project has the scalability to succeed.

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Creating an ecosystem As well as crowdfunding capabilities, payment solutions, DNA storage and patient data, The CanCoin will be creating Augmented Reality NFT’s, allowing users to grow their own cannabis plants and earn CanCoin. Daboczy said: “The NFT industry truly exploded earlier this year, and it has mainly been artists, musicians and filmmakers who realised that Corona hit them really hard. My background is also in the art scene, I was a curator for many years and I’ve done many successful exhibitions. NFT’s are basically an emancipator for the creative industry to do several things – to bypass gatekeepers, and to create different packaging solutions, for example. “Right now, an artist has to sell a finished

The CanCoin aims to become a central bank for the European cannabis industry

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“The blockchain is one of the best inventions of the last decade. A blockchain has a purpose to show traceability. The first simplest traceability is patient traceability. The legislative bodies cannot legalise something that is not traceable. We believe that adding certain elements of traceability will add to the usage. Do I believe that the blockchain will solve any and every issue of the cannabis industry, most likely not. Will everybody be on this blockchain, most likely not. Not in the next years, but eventually, everybody’s got to be on it – I’m comparing crypto to the internet in 1996. Not everybody could grasp what it could become, or what it would become in 25 years. “This is the same issue that we have here. Eventually, industry will catch up and eventually the tools established or demanded by the government bodies will be used. I think somebody has to do it right and I think we have the right background to do a proper and solid attempt. It’s all about doing it differently, better and a lot more scalable. A lot of the medical industry is digitalised or partially digitalised. The blockchain is even more advanced than the solutions we have in Sweden or the UK at this point. “The blockchain industry is growing extremely fast and over the next 10 years is “We want to get to a point where the banks going to be atomic. It is the same with the legal cannabis industry and also the entire are allowing cash deposits or transactions in this field, which is currently a minefield. As cannabis industry globally in the next seven years, major leaps will happen.” soon as you change banks or you go from a major city to a smaller city – if you are The CanCoin is expected to list on a number working country by country or in a cross- of decentralised exchanges, starting with KingSwap, and will potentially list on at border transaction, it is almost impossible least one centralised exchange at the end to bank in this industry. Not everybody has of October. good fortune with their banking system. Daboczy says The CanCoin may eventually “We want to use the banking system, as much be tethered to the Euro or the US dollar, as possible. At the end of the day, if we do this correctly and if we succeed according as not everybody in the industry will want to use a volatile currency. The CanCoin will to our ambitions and plans, we will become be making offerings and holding gamified a central bank for this industry. We will have the tools, we will have the currency, we will events until the coin is listed, which Daboczy have the technology, and we will have the says will be at around 12 pence (17 cent) per coin. establishment – that is our aim.

The blockchain is one of the best inventions of the last decade

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Over the next decade the cannabis industry is set to be one of the fastestgrowing, dynamic and controversial parts of the world economy. Medical cannabis, plant-based lifestyle products and recreational liberalisation are not hypothetical concepts anymore - they are facts of life. After several months of planning and preparation, our new website ‘Cannabis Wealth’ is now live and ready to be your one-stop shop for news on cannabis-based business, investment and all the big policy and regulatory updates.

Why are we different? Created and run by experienced journalists, we’ll dig deeper than press releases and ask important questions about the industry. You may already know our sister-title, Cannabis Health, a go-to read for people interested in the wellness potential of cannabis-based products.

In the coming weeks and months we’ll be launching new sections, features and bringing on board guest columnists from across the industry.

You can visit Cannabis Wealth by going to

www.cannabiswealth.co.uk @Cannabis_Wealth

Got a story? Get in touch with the editor at stephanie@handwmedia.co.uk

Do you have a commercial query? Contact gary@handwmedia.co.uk

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Grow Group: Innovating cannabis medicines and improving access Founded in 2017 by former JP Morgan banker, Ben Langley, and Dr Ian Atkinson, Grow Group is working to improve access to medical cannabis to patients across the UK and the globe.

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London-based biopharmaceutical company Grow Group has patients at the heart of its strategy, having partnerships with some of the UK’s leading medical cannabis clinics to bring its broad portfolio of cannabis medicines to patients that need them at an affordable price, already helping over 1200 patients with access every month. The company recently embarked on its first crowdfunding round, reaching its minimum target in just one hour, and acquired its first company, Sanoid Isolates, the Spanish cannabis producer, in a move that positions Grow to be one of the leading global producers of sustainable cannabis. Co-founder and CEO Ben Langley spoke to Cannabis Wealth about the company’s aims, cannabis innovation and plans for expansion into international markets. Breaking down barriers to access medicines that will ultimately improve their After quitting his position at investment something I should dedicate my working lives. We want to break down barriers and bank JP Morgan in 2016 to become a socially career towards and hopefully make a bit of make sure that cannabis gets to where conscious entrepreneur, Langley saw an an impact in the world,” said Langley. opportunity to help cannabis patients that “We were founded in 2017 by myself and Dr it needs to be and that the patients have Ian Atkinson who has a whole raft of patents access to it legally. We look at it quite are facing stigma and barriers to accessing and medical devices under his belt. We put holistically around what we need to do to medicines that improve their quality of life. “This rang a huge alarm in my head which our heads together and founded Grow achieve that goal. was that this doesn’t make sense. The lack Group, which exists to get quality cannabis “Having a quality basket of medicines is really medicines to the patients that need them. key. There is almost an infinite combination of access to these cannabis medicines is one of the most nonsensical things I’ve ever There are hundreds of millions of patients, of molecules so we know that cannabis seen in my life, and as an economist and a globally, that ultimately could and should get is a personalised medicine – different logical person, if something doesn’t make cannabis medicines. But currently, the legal combinations of cannabinoids and terpenes sense to that magnitude then addressing context, we see only a very small fraction of will appeal to different people. We know that people have different stigmas – some might the problem is a huge social opportunity. that number actually getting that medicine. like to smoke and somebody else might I decided that cannabis was the right “Everything we do points towards making never think about smoking and instead use mission for me and ultimately, it would be sure to get more patients access to cannabis

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an inhalation device for a measured dosage, without smoke. Some might want to take oils. So, you’ve got this really interesting subset of medicine where, even though cannabis medicine is one category, within that you have got, potentially, thousands of medicines. What we try and do first and foremost is make sure we have got the best medicine, and help as many people as possible, then over time we can improve that with data and products.”

UK and Ireland, but we will also be sending to third parties to make sure that the others can also benefit from the high quality and affordable products we can grow. “I have been doing acquisitions since I was 21 years old in some shape or form. We haven’t set out to be an acquisition company, but equally, I see a lot of opportunity for us to bolt on companies throughout the world. With global expansion, we know there are companies in different jurisdictions that have made good starts, who we could potentially partner with or acquire and essentially fast forward our own development in those jurisdictions. We have a company of dealmakers by nature, and the acquisition of Sanoid definitely won’t be Expansion into international markets our last.” Grow Group recently made its first Grow Group was the first British medical acquisition of premium medical cannabis cannabis startup ever to crowdfund, the producer, Sanoid, as part of its expansion funds from which will support the company’s strategy to reach more international expansion plans and R&D projects. markets. The acquisition gives Grow the “The first goal of the crowdfund, rather than ability to control its own supply chain just raising money, is to build the community, and ensure access to low-cost products because we know that achieving our mission for patients. requires regulatory change, requires political Langley commented: “We have become change and it requires public support. vertically integrated as we do most things The big goal here is to build our community along the supply chain. A lot of people will and make sure that people really buy into say they are vertically integrated and that that mission. is almost a goal of theirs. We look at it the “The funds raised will go towards expanding other way round, where we have become the facilities at Sanoid, as well as into vertically integrated because we have seen doubling down on what we’re doing in that in order to achieve our goal of making the UK and helping as many patients sure we are getting cannabis to as many as we can in the country. It will also go places as possible, actually, being vertically towards geographic expansion – both into integrated makes sense strategically. continental Europe and other jurisdictions “The acquisition of Sanoid Isolates gives us that are very close to going live. We are the ability to control our own supply chain also having initial conversations around slightly more, grow our own cannabis, wholesaling into South America, Africa, and process that cannabis extract, and make Australasia. There is a lot happening in terms sure that those cannabinoids are high of geographic expansion and really our goal quality and low price. is to help as many patients as possible – “Spain has got a long history of controlled we’ve done a great job with that in the UK. drugs exports, so, they have got a history “The key for us is helping patients globally, of some agricultural controlled drugs. The and we take the view that something that regulatory infrastructure makes sense is going to be good for patients but also and Spain for us is a great location, great good for shareholders fosters an industry sunshine for growing the cannabis – where shareholder outcomes and patient everything that we grow in Spain will be outcomes almost perfectly align, so, we fully sold into Europe. So, at the moment think that having global ambitions is the work is big in terms of distribution in the right thing.”

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Improving medicines through innovation Grow Group currently has over 50 cannabis medicines and continues to work towards improving this portfolio with extensive R&D, exploration of new technologies and the development of technology patents that will innovate the cannabis industry. “Product innovation will ultimately lead to better patient outcomes. We start with the best basket of medicines. Then, we have been doing research and development since 2017 when there were very few legal markets, so, we started doing the research. Our research and development work focuses on improving the technologies that will ultimately move this industry forward,” said Langley. “We have got, for instance, a very interesting technology around distillation and purifying cannabinoids that will go into our production facility. I will make sure that we can ultimately produce some of these medicines more cheaply and with higher quality than anywhere else. “We have lots of Ph.D. scientists in our lab in Rothamsted in the UK and what they are trying to do is not accept the process of how cannabis ends up being a medicine. There have been 100 years at least of essentially zero innovation in cannabis because it has been illegal to do anything. There is a massive shortfall in technological innovation that would have happened had cannabis been a legal substance. So, what we are trying to do is look at the whole way cannabis is processed currently and how it ends up as a medicine, seeing where we have been and where we can improve things. “Some of the improvements could be relatively

subtle but a lot of things we are working on seem to have fairly substantial effects on the end product. So, the first technology that we have got patented and that we came up with ourselves is a way of processing cannabis that is completely different from any other process currently – it completely rewrites the rule book of purification of cannabinoids. Interestingly, it also seems that we can use this in formulations because the actual substance we use to process the cannabinoids is also non-toxic and therefore usable in formulations. It is about looking at processes, seeing where we can improve them, and driving at it as hard as possible with our team of really smart scientists.”

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Grow Group and Sanoid Isolates: A cannabis pan-European logistics hub 76

Grow Group and Sanoid Isolates will establish a panEuropean logistics hub for medical cannabis, says Harry Wildschut, CEO and co-founder at Sanoid.

Cannabis Wealth

London-based biopharmaceutical company Grow Group recently acquired Spainbased premium medical cannabis producer Sanoid Isolates in a move that will help establish an entire supply chain for medical cannabis products. Grow Group, which aims to bring medical cannabis products to patients at an affordable price, made the acquisition as part of its expansion strategy into international markets. Sanoid Isolates is currently working on a high-tech greenhouse near Sevilla, Andalusia, with an ambition to grow and produce high-quality cannabinoid extracts and purified isolates, having received a production license by the Spanish authorities to grow a validation crop in 2019 to certify the extraction facility, which aims to be finished by 2022. A budding relationship With a background in marketing, sales and general management in manufacturing companies internationally, Harry Wildschut joined Sanoid in 2018 – which was born out of sister company, Córdoba-based

Phytoplant Research – one of the first companies to conduct research on medicinal cannabis in Spain. “In 2018 I visited Córdoba for the first time to understand what was happening here and what kind of research they were doing – the year which was also a famous year for the cannabis industry when Canada legalised cannabis. Prior to that, in early 2018 I picked up on the idea of creating a commercial company, and so, presented the business plan to my shareholders,” he says. “Together with the Phytoplant team we presented our licence application to the Spanish health authorities, and immediately – as confident as we were to get the licence – I started building the cultivation facilities near Seville. We got a licence in June and we did our first trial crop in the second half of 2019, and we were about to start building the extraction facility. “Up until the point of time where we had cultivation facilities up and running, the total investment was around five million, but in order to build the extraction

facility, we would need another £10m to get operational. “We decided we needed investors or potentially even new owners who could take Sanoid forward in its next step into GMP manufacturing. Altogether, it took about nine months for Grow to close a final deal two months ago. I’m extremely pleased with Grow as my new shareholders, and with Grow being in a position to actually fund the build of our GMP facilities.” A unique position for cannabis cultivation Wildschut says that Sanoid is in a unique position for its cannabis cultivation activities thanks to the ideal growing climate in Andalusia, and with Sanoid being one of a handful of companies to receive a licence from the Spanish Drug and Healthcare Products Agency (AEMPS). “We are in a very unique position because, in Spain, only three operational licences are in place. There are two or three runners up if you like, including Sanoid, which gives us a fairly unique position, given the fact that we have one of the most ideal growing climates here in Andalusia.

FEATURE

“We are now in a position to reduce the end price for patients to make it a lot more affordable”

Cannabis Wealth

“Supporters of indoor growing will tell you given its inconsistency. Sooner rather it allows for four or five crops in a year than later, there will be products available and allows control of all the elements to a based on cannabis that will be drinks or maximum because it is in a closed building pills or creams – which will be much more using artificial lights. However, the single comfortable for doctors to prescribe – so biggest downside of that, is that it is that is how I started Sanoid. incredibly expensive and unsustainable, “That’s why we grow with the natural sun, given the huge amount of electricity predominantly for extraction. If you grow you need. for extraction, the size of the bud and the “When I started Sanoid, my view was that, smell and flavour is not that important, and first of all, we are going to grow to extract, we already see that trend growing very because, in my view, patients are not going quickly already in Germany, which is one to continue to consume plant material. of the biggest medical markets. The good Doctors are not going to be comfortable thing about our setup in Andalusia, is that prescribing plant material as a medicine, the typical cost of one gramme of indoor

FEATURE

“Hopefully we will be one of those few inspiring examples of cannabis companies serving patients globally”

Cannabis Wealth

material is around one euro and, for that one gramme of material here in Seville, it is seven pence (10 cents). “I’m a very strong believer that we are now in a position with Grow Group to reduce the end price for patients, make it a lot more affordable and reach a much larger audience of people who will benefit from cannabis medicines.” Cost-effective medicines for European patients Grow’s relationship with Sanoid gives the company the ability to control its own supply chain, and, Wildschut highlights, once further markets open up across Europe, the pair will be able to move into those markets at a fast pace, with the confidence of supplying high quality products at an affordable price point for patients. “Hopefully, we will be one of those few, inspiring examples of cannabis companies serving patients European or globally,” says Wildschut. “The reason why we have this unique licensing in Spain is because of, first of all, our Phytoplant legacy – the fact that we have European registered varieties – which is mandatory to get a licence in the first place. But secondly, a cultivation licence as such, is not being granted in Spain – there are allegedly over 100 applications here in Spain for people who want to grow, legitimately, but the Spanish government only allows cultivation for GMP processing. So you need to have GMP processing facilities in order to cultivate. But we have this tremendous ideal climate

here in Andalusia where we can grow very cost efficiently. “Our next step is to actually get those GMP facilities. We’re going to take a twostep approach. The first one is that we’re currently applying for a cultivation licence to grow validation material for a GMP flower facility – we are going to build our extraction factory, but also a dedicated GMP drying processing and packaging area for flower. “Seeing how there is still an urgent need for good GMP flower, we do believe it’s worth the investment to be able to deliver that. That’s something we are looking to put in place in the first quarter next year, so that from next year onwards, we will be in a position to provide smaller quantities of GMP flower for the German and UK markets. “At the same time, we will start a phase two, which is the build out of our extraction and purification facility, which involves heavy equipment and machinery. By the end of next year we will be in a position to certify our extraction facility and that means that in 2023 we should be in a position to grow our first commercial crop in our greenhouses and start producing our first products from our factory to go to markets, whether it be GMP flower or extracts for products with the famous entourage effect, or whether it be isolates as API’s to be used in producing pills or lotions, for example. “There are two further steps we are now seriously looking into. The first step, is to actually produce those pills and creams ourselves, and the other part is that Grow is now considering putting all of their logistic manufacturing facilities here in the south of Spain where we will turn out to be the pan-European logistics hub to supply all the future Grow companies – in Germany, the UK, and France, for example. “That is already where our strategic model is emerging on how we could serve the whole of Europe, with sales offices all

around Europe by Grow with our logistic manufacturing down here in Spain, in a very very cost effective manner. “What we are of course hoping for is a continuous momentum, or perhaps even acceleration of legislation around Europe. What we see now is the inconsistency of legislation – in the UK for instance they allow to some extent sales to patients, but they don’t allow manufacturing or cultivation. In Spain it’s the other way around – we don’t have legislation to consume cannabis in Spain legally, medicinally or recreationally, but, there are a few companies who are allowed to produce an export only. “I believe that Grow now is in a very privileged position, because I don’t believe cultivation in Germany or in Holland, or in Denmark or in Canada, is not sustainable. So I believe that, apart from politics, economics will drive to the model Grow actually incorporated today, with cultivation production in cost efficient locations and patient access locally. “The whole regulatory environment is very important to further increase the acceptance and the availability of cannabis medicines. “I have a hard time finding insurance for my cultivation facilities because cannabis is not recognised as an official crop yet. So insurance companies are reluctant to step into this, but also banks – although luckily we see some movement with banks that are willing to give credit lines to cannabis companies. The UK has now allowed cannabis companies to be listed as is the case in Canada, so, once legislation, opens up, there will be much more ancillary businesses supporting our industry and ultimately with surprises coming down that really open the market to the many hundreds of thousands or even millions of patients which will benefit from using medicinal cannabis.”

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ANALYSIS

The market in numbers: European cannabis market to reach almost £3.1bn by 2027 A new report has projected the European medical cannabis market to reach £3.08bn by 2027, growing at a GACR of 17.1 per cent from 2020.

Cannabis Wealth

The report by Business Market Insights, a market research platform that provides subscription service for industry and company reports, has projected the European cannabis market to reach £3.08bn by 2027, up from £912.6m in 2019. Providing an overview of the growth rate during the forecast period of 2021 to 2027, the report gives insights by segments based on end user and demography, along with an analysis of critical aspects such as impacting factors and the competitive landscape. Other segments include by product type, which is broken down into further segments, such as flowers and concentrate, and by application, incuding medical, pain management, neurological health management and mental health management. With the growing use of medical cannabis across Europe, the Business Market Insight report examines micro-markets and sheds light on the impact of technology upgrades on the performance of the market. It cites some major key players as Aphria, Aurora Cannabis, Cannabis Science, Canopy Growth Corporation and Medical Marijuana, and evaluates trends observed in the parent market, along with the macro-economic indicators, prevailing factors, and market appeal with regard to different segments, predicting the influence of different industry aspects on the Europe Cannabis

market segments and regions. Additionally, the report provides insights on key player’s positions against the regional landscape and conducts Strengths, Weaknesses, Opportunities, and Threats (SWOT) analysis, as well as analysis of market size, share, overall earnings, gross revenue, and profit margins. The research focuses on mining out valuable data on investment pockets, growth opportunities, and major market vendors. CBD market to reach £2.06bn by 2028 New analysis from Grand View Research shows that the CBD market will see massive growth in the coming years as the compound’s use gains popularity for issues such as anxiety and sleep. The report notes that the global CBD market size was valued at £2.06bn in 2020 and is expected to expand at a CAGR of 21.2 per cent from 2021 to 2028. CBD oil is used for issues such as anxiety and depression treatment, stress relief, diabetes prevention, pain relief, cancer symptom relief, and inflammation, and due to this increasing adoption, the global CBD market is anticipated to grow at a lucrative rate over the forecast period. The popularity of hemp-derived products has exploded in recent years, and this interest is expected to continue to rise in the years

to come. Competition in the global market is high because companies are focused on increasing their product offerings, entering new markets, and gaining new consumers. Due to its many applications, the demand for CBD for health and wellness purposes is increasing, which Grand View Research says is the major factor driving the market growth, and that the rising acceptance and use of products due to government approvals is a major factor expected to boost production for CBD-infused products. The increasing acceptance of refined CBD products combined with the increasing legalisation of cannabis and cannabisderived products for various medical applications is driving the growth of the segment. Grand View Research remarked: “Cannabidiol derived from hemp is anticipated to witness rapid growth owing to increasing demand from the pharmaceutical sector and rising awareness among consumers regarding health. “Increasing consumer disposable income along with the legalisation of medicinal cannabis is anticipated to have a positive impact on the demand for cannabidiol in the pharmaceutical sector. “Oils, tinctures, concentrate, capsules, topical solutions such as slaves, lip balms, lotions, and edibles such as baked goods, coffee, chocolates, gums, and candies are some of the CBD products which are in high demand. “Furthermore, the use of hemp-derived CBD is increasing rapidly owing to its antiinflammatory, anti-aging, and antioxidant properties. Various industries such as pharmaceuticals, personal care and cosmetics, nutraceuticals, and food and beverages are developing CBD-derived

ANALYSIS

products for health and wellness purposes. Therefore, the above-mentioned factors would be responsible for this segment’s fastest growth rate over the forecast period.” (For the full report visit www.grandviewresearch.com/industryanalysis/cannabidiol-cbd-market.)

Cannabis Wealth

Cannabis testing market to reach £1.79bn by 2027 In 2019, the global cannabis testing market reached £750m (US$1.02bn). A new report by Allied Market Research expects the market to hit £1.79bn by 2027, registering a CAGR of 11.9 per cent from 2020 to 2027. Allied says that a surge in demand for medical cannabis legalisation in several countries, an increase in the adoption of Laboratory Information Management Systems (LIMS), and collaborations between major companies is driving the growth of the market. The report shows that North America held the highest share in 2019, generating more than half of the global cannabis testing market. It cites legalisation of cannabis and the availability of instruments, software, and services for cannabis testing as drivers of market growth across the region. However, Latin America, Middle East and Africa (LAMEA) is expected to showcase the fastest CAGR of 14.1 per cent during the forecast period, due to legalisation of medical cannabis and the growing number of cannabis cultivators and testing laboratories in the region.

High start-up costs for cannabis testing laboratories impede the growth of the market, according to the report, but untapped potential in emerging economies is expected to pave the way for lucrative opportunities in the industry. Covid-19 has also had a major impact on the market, with the closure of labs, disrupted supply chains, economic slowdown and restricted movement, but, due to relaxations on rules, Allied says the market is expected to revive soon. The cannabis drug manufacturers segment accounted for nearly half of the market revenue in 2019, and the report projects this segment to retain its dominance throughout the forecast period, citing it at a CAGR of 12.4 per cent from 2020 to 2027 due to growing acceptance of medical cannabis and a rise in the number of cannabis-based clinical trials across the world. Additionally, the report says the consumables segment contributed to nearly three-fifths of the global cannabis testing market share in 2019. This product segment is anticipated to dominate the market by 2027 due to the frequent use of consumables for cannabis testing. The report also highlights that the instruments segment is expected to show the fastest CAGR of 13.2 per cent from 2020 to 2027 due to increasing investments by major players in the development of technologically advanced instruments.

CBD pet product market expected to reach £3.45bn by 2028 Analysis from Research and Markets has predicted the global CBD pet market size is expected to reach £3.45bn (US$4.79bn) by 2028, growing at a CAGR of 58.9 per cent. It attributes the growth to increasing health expenditure and health concerns among pet owners, as well as increasing demand for CBD-infused pet food. The company notes that the pet-boom during the Covid-19 pandemic saw the industry witness manufacturing challenges, such as altered consumption patterns, improved demand, worker protection protocols and spot shortages in packaging. It states: “For instance, in 2019, Nestle owned Purina, a pet food company, broadcasted its decision to invest in CBD-infused dog food production. Furthermore, increased usage of natural supplements in treating various lifestyle-related disorders in domesticated animals is fueling the growth.” And went on to say: “However, sales growth figures driven by consumer demand and increased spending on pets permitted the industry to make a steep comeback in the latter of the year 2020. Paw CBD, cbdMD, Inc.’s pet brand has seen an estimated 64 per cent increase in net sales from March 2020 quarter of about £551k (US$750k) to about £903k (US$1,229,000) for June 2020 quarter.” Research and Markets also attributes growth to the fact that CBD-infused products are also useful in cancer-related pain in animals, as well as key players in the industry focusing on product innovation due to consumer preference for natural supplements.

EVENT LISTINGS

at the House of Lords to mark the third anniversary of the law change. The theme, Three Prescriptions in Three Years will highlight the lack of accessfor UK patients.

Cannabis Industry Council general meeting Wed 20 October, 2021 1.30pm – 4pm London/Zoom A special general meeting of the Cannabis Industry Council, hosted at Hellenic Dynamics in London. Members are invited to join in person or via Zoom. Cannabisindustrycouncil.org Webinar: A Clinician’s Guide to CBD Thursday 21 October, 2021 Zoom Join The Medical Cannabis Clinicians Society and Bud & Tender as they explore what clinicians need to know about CBD. Chaired by Professor Mike Barnes, Chair of the UK Medical Cannabis Clinicians Society, speakers include Bud & Tender founders Mark Turner and Charles Clowes. www.ukmccs.org/news/events

Cannabis Wealth

Medical Cannabis Awareness Week Monday 1- Sunday 7 November, 2021 Online The second MCAW returns, hosted by PLEA (Patient-Led Engagement for Access). A week of online and in-person events to mark the third anniversary of the rescheduling of medical cannabis in 2018. For updates visit www.pleacommunity.org House of Lords event Tuesday 2 November, 2021 House of Lords, Westminster, London As part of MCAW, representatives from Drug Science, Medcan Support and PLEA will host an event for MPs and key stakeholders

CBD Beauty Show Thursday 3 November, 2021 Old Billingsgate, London With the CBD market set to grow to $3.5 billion by 2026, this prestigious one day event will be the first opportunity for the CBD beauty companies to showcase their latest products to a hand-picked audience of buyers across the retail distributors, bloggers and beauty brands directly. www.cbdbeautyshow.com Beyond the Green Friday 5- Sunday 7 November, 2021 St Luke’s, The Barras, Glasgow. A Cop26 Fringe Festival, on the middle weekend of the United Nations Climate Change Summit in Glasgow, Beyond the Green is a three-day entertainment and educational event with a line-up that includes celebrities, scientists, activists and artists all with one vision to regenerate the planet. www.beyond.green Cannabis Europa Wednesday 10 – Thursday 11 November, 2021 Banking Hall, London Cannabis Europa London will deliver cuttingedge knowledge from senior government officials, leading scientific experts and some of the most influential businesses in the industry. www.cannabis-europa.com

Women in Cannabis Leadership meet and greet Friday 12 November, 2021 London The Women in Cannabis Leadership group will meet in person for the first time. A chance for members to get to know each other better, network and meet new connections over coffee and lunch. Webinar: Women’s Health & Cannabis Medicines 03 Menopause Tuesday 30 November, 2021 Zoom A groundbreaking webinar exploring the experiences of women who use cannabis to manage the symptoms of menopause. www.integroclinics.com/events GCI Summit Tuesday 7- Thursday 9 December, 2021 London/Online The GCI Virtual Summit brings together global leaders across each sector of cannabis and psychedelics. The Summit gives you the opportunity to create an experience bespoke to your needs – participate in talks and network with leaders most relevant to your working life. www.summit.gcintelligence.com White Label Expo Wednesday 2 - Thursday 3 March, 2022 ExCel, London The ultimate destination for thousands of global leaders, entrepreneurs, online sellers, retailers and distributors, to come together with countless business, e-commerce and startup owners. www.whitelabelexpo.co.uk/

EVENT LISTINGS

Canapa Mundi International Hemp Fair Friday 11 - Sunday 13 February, 2022 Rome, Italy The seventh edition of Canapa Mundi will take place at Fiera di Roma, one of the largest and most accredited exhibition centers in Europe and will also be available online. www.canapamundi.com/en

EUROPE

CannaFest Friday 5 - Sunday 7 November, 2021 Prague Visitors can look forward to seeing exclusive exhibitions including cultivation technology, fertilizers, seeds, smoking accessories, vaporizers, both on display and on sale. www.cannafest.com/cz Cultiva Hanf Expo Friday 19 - Sunday 21 November, 2021 Vienna, Austria The most exclusive trade exhibition for cannabis in Austria and now one of the largest hemp exhibitions in Europe with over 220 exhibitors. www.cultiva.at/ Amsterdam Cannabis Expo Thursday 25 - Saturday 27 November, 2021 Amsterdam Thousands of industry professionals, including representatives of cannabis industry players from over 100 countries worldwide, will gather at Amsterdam Cannabis Expo to see the latest innovations, discuss best practice and tackle the industry’s biggest challenges. www.amsterdamcannabisexpo.nl

Cannabis Business Summit & Expo Wednesday 15 - Friday 17 December, 2021 San Francisco, US At the premier cannabis business event, industry entrepreneurs, experts, and thought leaders will come together to learn, network, and discover new products & services to help their businesses grow. www.nciacannabisevents.com/ Asian Hemp Summit Friday 28 - Saturday 29 January, 2022 Kathmandu, Nepal Meet key global players at the Asian Hemp Summit hosted by HempToday, the leading source for global business information about industrial hemp. www.hemptoday.net/events/asian-hempsummit

INTERNATIONAL CWCBExpo Thursday 4 - Saturday 6 November, 2021 New York The Cannabis World Congress & Business Exposition (CWCBExpo) is a business-tobusiness trade show event for the legalised cannabis industry. It is the leading forum for dispensary owners, growers, suppliers, investors, medical professionals, government regulators, legal counsel, and entrepreneurs looking to achieve business success and identify new areas of growth. www.cwcbexpo.com Cannabis Business Asia Tuesday 16 - Wednesday 17 November, 2021 Bangkok, Thailand The leading event on the development of the Asian medical cannabis and hemp market. www.worldclassbusinessleaders.com/events/

CannX Monday 14 - Tuesday 15 March, 2022 Tel Aviv/Online CannX unites the world’s most influential scientists, clinicians, entrepreneurs, investors, policy makers and thought leaders for the ultimate opportunity to make an impact in the field. telaviv.cannx.org

Cannabis Wealth

Cannabizz Warsaw Friday 26 - Sunday 28 November, 2021 Warsaw, Poland The project that started three years ago has already established a new tradition in the industry. Meet at the Cannabizz fair, sum up the occurrences of the past year, and prepare for a fresh start in the year to come www.cannabizz.pl/en/

Spannabis Friday 11 - Sunday 13 March, 2022 Barcelona Three days of fair where exhibitors, professionals and visitors from the cannabis sector will be able to exchange opinions and have the opportunity to create new contacts and search for potential clients. www.spannabis.es/bcn/en/home

Texas Hemp Convention Saturday 20 - Sunday 21 November, 2021 Dallas, US With over educational sessions, 350+ trade show booth spaces, and more than 20,000 attendees, the second annual Texas Hemp Convention is expected to be bigger than ever. texashempconvention.com

Working together to grow the medical cannabis and hemp CBD sector

Bringing together organisations, businesses, and groups, we influence the future of medical cannabis and hemp in the UK and learn from and network with fellow sector organisations. It is a collective voice for, and by, the sector Here at the Cannabis Industry Council, we define, set and maintain the Gold Standard for organisations operating in the medical cannabis and hemp sector.

Benefits for members •

The opportunity to be part of a collective voice to move the industry forward

• Membership will allow you to shape the future of medical cannabis across the UK.

Membership of the Council’s seven subgroups, which take forward specific priorities

• Networking, including four meetings per year, at least one face to face

• A listing on the CIC’s online directory, linking patients, stakeholders and the public to your site

• Other membership resources

Membership of the Cannabis Industry Council is open to organisations and businesses which either work within or operate from the United Kingdom, the Channel Islands, and the Isle of Man.

www.cannabisindustrycouncil.org contact@cannabisindustrycouncil.org @UKCanCouncil www.linkedin.com/company/ cannabis-industry-council/