VANCOUVER, British Columbia, March 12, 2018 (GLOBE NEWSWIRE) -- via NetworkWire – Pivot Pharmaceuticals Inc. (CSE:PVOT) (OTCQB:PVOTF) (FRA:NPAT) (“Pivot” or the “Company”), is pleased to announce that the Company has retained Cannabis Compliance Inc. (“CCI”) to submit an application to Health Canada for a Dealer’s License (“Dealer’s License” or “DL”) under the Controlled Drugs and Substances Act (“CDSA”) and the Narcotic Control Regulations enacted thereunder on behalf of Agro-Biotech Inc. (“Agro-Biotech”). As previously announced on February 22, 2018, Pivot has entered into a letter of intent for the proposed acquisition of Agro-Biotech (the “Proposed Acquisition”). For further details on the Proposed Acquisition, please refer to the Company's news release.
Agro-Biotech operates a fully licensed, purpose-built, indoor hydroponic cannabis production facility located in Saint-Eustache, Québec, 40 kilometres north of Montréal. Phase I is now complete and Phase II and Phase III are expected to be completed by the end of September 2018, resulting in a total grow area of 75,000 square feet, capable of producing a cumulative 10,000 kg per year. Agro-Biotech received its Producer’s License from Health Canada’s Office of Medical Cannabis on January 12, 2018. Upon the anticipated issuance of a Sales License from Health Canada, initial revenue is expected in Q3 2018.
Upon completion of the Proposed Acquisition, the Dealer’s License will enable Pivot, through Agro-Biotech, to conduct research and development (“R&D”) and store cannabis derivatives that are not currently covered under the Access to Cannabis for Medical Purposes Regulations (“ACMPR”). A Dealer’s License and export permit would position the Company to export cannabis oils and concentrates to available international markets, as well as to process natural health products. In addition, a DL will also allow the Company to prepare authorized manipulations, formulations, dosage forms, strengths or package sizes of cannabis expanding possible research and product innovation opportunities.
The facility design includes extraction and purification areas expected to be fully operational following the successful closing of the Proposed Acquisition and receipt by Agro-Biotech of a Dealer’s License from Health Canada. Agro-Biotech is one of only six Licensed Producers in Québec, Canada’s second largest province with a population of over 8.4 million people. Owners of 75 high quality cannabis strains, including high expressors of CBD, Agro-Biotech's genetics will enable it to bring unique, differentiated cannabis products to market.
Pivot is also pleased to announce that Dr. Wolfgang Renz has been appointed as the Company’s Chief Medical Officer. Dr. Renz previously served as Corporate Vice President, Healthcare Innovation, at Boehringer Ingelheim. He also serves as Adjunct Professor of Surgery at McGill University’s Faculty of Medicine in Montreal. Dr. Renz holds a M.D. and Ph.D from Freiburg University and is board certified in Germany in Emergency Medicine.
“I am excited to lead the development of all medical and therapeutic activities from Pivot’s impressive bio-cannabis pipeline,” Dr. Renz said. “There is tremendous value and opportunity based on the numerous product formulation and dosing technologies Pivot has licensed or acquired over the past year. The technologies have demonstrated their usefulness in the pharmaceutical markets and delivering cannabinoids with these platforms will be disruptive.”
Dr. Patrick Frankham, Pivot’s CEO states, “The addition of a Dealer’s License for the Agro-Biotech facility will allow the Company to exercise complete control of our finished products, from seed to derivatives. With access to 10,000 kg of cannabis annually, the ability to extract, purify and formulate in-house, Pivot will provide the most exceptional quality, dosable products available on the market. This vertical integration makes Pivot a differentiated player in the cannabis industry.”
Dr. Frankham added that, “The appointment of Dr. Renz provides Pivot with an experienced pharmaceutical executive who will accelerate the Company’s technological, marketing, sales and distribution partnerships in the European Union. We continue to aggressively execute on our business strategy.”
About Cannabis Compliance Inc.
Cannabis Compliance Inc. offers risk mitigation, due diligence and regulatory compliance for commercial cannabis producers and resellers around the world. We focus in the global market, and provide our clients with trusted and comprehensive solutions. CCI has extensive expertise in regulatory compliance, cultivation/horticulture, security designs/tender, facility designs/build-outs, quality assurance programs, import & export, staff recruitment and financial planning. CCI exists to empower the future leaders in the global cannabis industry. For more information please visit www.cannabiscomplianceinc.com.
About Pivot Pharmaceuticals Inc.
Pivot Pharmaceuticals Inc. is a biopharmaceutical company engaged in the development and commercialization of therapeutic pharmaceuticals and nutraceuticals using innovative drug delivery platform technologies. Pivot’s wholly-owned medical cannabis products division, Pivot Green Stream Health Solutions Inc. (“PGS” or “Pivot Green Stream”), conducts research, development and commercialization of cannabinoid-based nutraceuticals and pharmaceuticals. PGS has acquired “RTIC” Ready-To-Infuse Cannabis powder to oil technology, BiPhasix™ Transdermal Drug Delivery platform technology (topical), Solmic Solubilisation technology (oral) and Thrudermic Transdermal Nanotechnology (transdermal) for the delivery and commercialization of cannabinoid, cannabidiol (CBD), and tetrahydrocannabinol (THC)-based products. PGS’ initial product development candidates will include topical treatments for women’s sexual dysfunction (PGS-N005), as well as psoriasis (PGS-N007), and an oral product (PGS-N001) for cancer supportive care. For more information please visit www.pivotpharma.com.
Certain information in this news release constitutes forward-looking statements under applicable laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ from those in the forward-looking statements. Words such as anticipate, believe, estimate, expect, intend, and similar expressions, as they relate to Pivot, Pivot Green Stream, Agro-Biotech, or their respective management, identify forward-looking statements. Forward-looking statements in this news release include, but are not limited to, statements with respect to accretive earnings, anticipated revenue and costs synergies associated with the acquisition of Agro-Biotech, statements with respect to internal expectations, including with respect to the Dealer’s License, estimated margins, expectations for future growing capacity and costs, the completion of any capital project or expansions, the timing for the completion of the Proposed Transaction, the ability of the Company to complete a financing in order to satisfy its financial obligations under the Proposed Transaction and expectations with respect to future production costs. In particular, there can be no assurance that the Proposed Transaction will be completed. Forward looking statements are based on certain assumptions regarding Agro-Biotech, including expected growth, results of operations, performance, industry trends and growth opportunities. While the Company considers these assumptions to be reasonable, based on information currently available, they may prove to be incorrect. Readers are cautioned not to place undue reliance on forward-looking statements. Forward-looking statements also necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments involving medical marijuana; the possibility that the Company be unable to successfully integrate Agro-Biotech as described herein; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the medical marijuana industry in Canada generally, income tax and regulatory matters; the ability of the Company to implement its business strategies; competition; crop failure; currency and interest rate fluctuations and other risks. Any forward-looking statements or facts (including financial information) related to Agro-Biotech discussed or disclosed herein are derived from information obtained directly from Agro-Biotech and publicly available sources and has not been independently verified by the Company. Readers are cautioned that the foregoing list is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.
Pivot Pharmaceuticals Inc.
Patrick Frankham, PhD, MBA
Chief Executive Officer
Tel: (514) 943-1899
Source:Pivot Pharmaceuticals Inc.