The Market Online - At The Bell

Join our daily newsletter At The Bell to receive exclusive market insights

  • ECS Botanics (ECS) signs a $9.9 million supply agreement for medicinal cannabis products with German company Ilios Santé GmbH
  • Under the contract, ECS will exclusively supply four medicinal cannabis strains to Ilios Sante, with the first supply anticipated once product registration is complete
  • The products are anticipated to generate a minimum of $9.9 million in revenue for ECS over the deal’s three year term
  • ECS told investors the German medicinal cannabis market is continuing to grow, with German legislators recently moving to legalise recreational use
  • Shares in ECS Botanics last traded at 2.1 cents on January 3

ECS Botanics (ECS) has secured a $9.9 million supply agreement for medicinal cannabis products in Germany.

The company entered a binding agreement with German company Ilios Santé GmbH for the supply of medicinal cannabis.

Under the contract, ECS will exclusively supply four medicinal cannabis strains to Ilios Sante, with the first supply anticipated once product registration is complete.

The products are anticipated to generate a minimum of $9.9 million in revenue for ECS over the deal’s three-year term.

Ilios Sante is a licensed wholesaler with approval to import and distribute narcotics and other pharmaceutical products.

ECS Managing Director Nan-Maree Schoerie said Ilios Sante is “well entrenched” in the German pharmaceutical market, with links to a “significant” medicinal cannabis therapeutic platform.

“The contract followed Ilios Sante’s own due diligence in assessing ECS as its chosen partner, and it is clear they value what we offer and our strong pharmaceutical approach to Cannabis.

“In our experience customers generally exceed minimum order quantities and we are optimistic this agreement will deliver a similar outcome,” Ms Schoerie said.

The company told investors the German medicinal cannabis market is continuing to grow, with German legislators recently moving to legalise recreational use.

“Securing an agreement with a long term partner in Germany was an essential building block of ECS`s European market access strategy,” ÉCS Head of European Operations, Michael Clark said.

ECS Botanics last traded at 2.1 cents on January 3.

ECS by the numbers
More From The Market Online
The Market Online Video

Market Close: ASX glass gets a top up as BHP stars on the bourse

The ASX200 closed up just under half a per cent as Materials led the rally more…

Battery Age aims to build geological knowledge at Ontario lithium play

Battery Age Minerals hopes to build on the exploration at Canadian lithium play, Falcon Lake -…
The Market Online Video

Market Update: Unemployment on an even keel as ASX gains marginal ground

Australia's unemployment has edged up to 3.8%, according to ABS data, marking a 0.1% increase with…
Pig Iron Production

Magnum pushes Saudi pig iron project further down the road to Nevada

Magnum Mining & Exploration has solidified plans to produce green pig iron in Saudi Arabia from…