- Avecho Biotechnology (AVE) is up 50 per cent on the market today after announcing a term sheet with Purisys for cannabinoid supply
- The companies will team up to create new oral cannabinoid products, using Purisys cannabinoid and Avecho’s drug delivery system technology
- Currently, medicinal and consumer cannabinoids are estimated to represent about 40 per cent of the global cannabis market and is expected to grow to $25 billion by 2025
- General Manager of Purisys, Dr Josh Hoerner, believes the applications being developed by Avecho are “critical to the successful commercialisation of cannabinoid products for the consumer market”
- Avecho is up 50 per cent on the market, trading for 0.6¢ per share
Avecho Biotechnology (AVE) is up 50 per cent on the market today after announcing a term sheet with Purisys for cannabinoid supply.
The companies will team up to create new oral cannabinoid products, using Purisys cannabinoid and Avecho’s Targeted Penetration Matrix (TPM) technology.
Purisys is a global supplier of cannabinoid products. Under the agreement, Avecho will purchase future commercial supply from Purisys.
Avecho develops and commercialises human health, animal health and personal care products using its proprietary drug delivery system, called TPM.
TPM is believed to be the world’s first drug delivery platform to feature a proprietary combination of two different forms of tocopheryl phosphate, which is an enhanced form of Vitamin E.
The company has a long relationship with Purisys’ predecessor company, Noramco.
Currently, medicinal and consumer cannabinoids are estimated to represent about 40 per cent of the global cannabis market and is expected to grow from $8 billion to $25 billion in 2025.
Avecho Executive Chairman Dr Greg Collier said both the consumer and medical markets are attracting enormous interest and investment.
“We believe the addition of TPM will provide commercially advantageous differentiation,” he said.
“This agreement provides both companies with the opportunity to combine their respective expertise in a way that can rapidly bring truly differentiated products to this exciting and growing market,” he added.
General Manager of Purisys, Dr Josh Hoerner, believes the type of applications being developed by Avecho is “critical to the successful commercialisation of cannabinoid products for the consumer market”.
“As we begin to understand more about the therapeutic potentials of cannabinoids, it is important that we develop the delivery technology that will make the most efficacious final products that we can,” he said.
“Avecho’s technology in the area of solubility and resultant bioavailability will be critical as we move ahead,” Josh added.
Avecho is up 50 per cent on the market, trading for 0.6¢ per share at 12:31 pm AEST.