PriceSensitive

Althea (ASX:AGH) launches new range to combat medicinal cannabis cost barriers

Health Care
ASX:AGH      MCAP $12.16M
29 March 2021 15:40 (AEST)
Althea Group (ASX:AGH) - CEO, Joshua Fegan

Source: The Green Fund

Althea (AGH) has launched a new range of 20-millilitre (ml) full-spectrum cannabis oil products.

Based in Melbourne, Althea is a global manufacturer, seller and distributor of pharmaceutical cannabis products and cannabis-based consumer-packaged goods.

The company says the new range — which carries the same trade names and formulations as its existing 50ml and 100ml products — will provide new cannabis patients with the option to trial the medication over the recommended two- or three-week titration period.

The smaller dose, it says, will promote flexibility in patients’ treatment, especially when initiating new patients and those suffering from intermittent illnesses.

In this way patients, together with their healthcare professional, can determine whether the treatment is beneficial for them before transitioning to a more economical, larger bottle.

Cost remains a key barrier for patients in Australia

According to Althea, although the demand for medicinal cannabis products continues to grow in Australia, the associated costs have prohibited many patients from trialling the treatment.

The company’s expanded product portfolio therefore aims to provide a lower entry point — thereby increasing patient acquisition.

Althea CEO Joshua Fegan said he understands that price remains a challenge for many potential new patients that want to trial medicinal cannabis for their conditions.

“We believe the launch of the new Althea ‘flexi’ 20ml cannabis oil range will be a great way to provide more access to patients via trial size products,” Joshua continued.

“This will, in turn, build confidence in our medicines and brand as we continue to be the first choice for a growing number of Australia’s medicinal cannabis patients.”

By the end of 2020, Althea had more than 12,000 patients in Australia, with the number of healthcare professionals prescribing its cannabis products more than doubling to 834 from the previous year.

At this stage, the company is set to launch its “flexi” 20ml product range in Australia only.

Althea shares are down slightly by 0.96 per cent, trading at 51.5 cents at 2:16 pm AEDT.

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