Avicanna Inc. is a sponsor at the Benzinga Cannabis Capital Conference set to take place on February 25-26, 2021. The information contained in this article in no way represents investment advice or opinion on the part of Benzinga or its writers and is intended for informational purposes only.
After a pivotal 2020 recreational and medical cannabis products are thriving at a speed that will continue through 2021. Cannabis stocks are rising, positive political changes worldwide are happening, and sales are hitting all-time highs. In fact, according to Prohibition Partners, legal cannabis sales in North America reached $18.1billion in 2020 and are projected to rise to $39.1 billion by 2025.
Avicanna Inc. (TSX: AVCN) (OTCQX: AVCNF) is a Canadian vertically-integrated biopharmaceutical company of plant-derived cannabinoid-based products. The company showed resilience throughout 2020 and is paving the way to achieve sustainability and profitability in 2021. From new launches to partnerships, Avicanna is achieving new milestones. Here’s what you need to know.
Driving Biopharmaceutical Advancements
Avicanna launched 4.5 years ago as a multinational company with an international footprint in the USA, Canada, Latin America, and Europe. Since inception, the company’s mission has been to provide patients and consumers with advanced formulations of cannabinoids backed by scientific rigor and clinical evidence.
It provides the global marketplace with advanced natural cannabinoid solutions across several product platforms including API, medical, pharmaceutical, and derma cosmetic. Currently, their divisions are:
- PURA H&W: 13 premium Hemp-derived consumer retail skincare products
- RHO Phyto: CBD & THC products addressing medical cannabis
- Pharmaceuticals: Various indication-specific cannabinoid-based drugs in clinical development and registration phase
Avicanna is a strictly medical cannabis company that manufactures their products in a pharmaceutical-grade facility and are currently involved in clinical trials and collaborations with many major hospitals.
Its R&D business is primarily conducted at its headquarters in the Johnson & Johnson Innovation Center, JLABS, in Toronto. Additionally, its scientific team has collaborated at the Leslie Dan Faculty of Pharmacy at the University of Toronto, UHN, and SickKids Hospital to conduct a level of R&D that’s unmatched in the industry.
Recently Avicanna was rated the highest amongst global cannabis companies participating in the SAM Corporate Sustainability Assessment (CSA). With this achievement, the company is proving its commitment to corporate governance, sustainability and responsible practices in the cannabinoid space.
Reaching New Highs in 2020
During 2020 the company reached new highs that will likely mandate its path in 2021. You can find a few highlights here:
- RHO Phyto medical formulary launched with positive support from the medical community including 300 prescribers and 20 clinics within the first 4 months.
- Avicanna will remain exclusive to Medical Cannabis by Shoppers for medical and prescription use and intends to increase its current commercial SKUs from 4 to 10 in 2021.
- Expanded access to RHO Phyto medical products through provincial retailers and adult-use channels across Canada.
- Partnered for the distribution and commercialization of Pura H&W hemp-derived CBD-based topical products in the United States with Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF).
- Collaborated to develop a cannabinoid-based formulation for the treatment of COVID-19 related lung inflammation with the University of Toronto.
- Completed all 3 human clinical studies on 3 specific CBD cosmetic products.
Avicanna Leading in 2021
The way people are consuming cannabis is changing. Consumption of flower is declining as new methods gain popularity among consumers. According to recent reports, Canadian retail cannabis sales in 2020 reached US $1.8 billion and projects that the total cannabis sales in Canada will reach US $3.2 billion by 2025 at a CAGR of 10%. The projected growth is likely driven by the expectation of Cannabis 2.0 products (edibles, vapes, beverages, etc.) and its sales growth between 2020 and 2025, moving at a CAGR of 51%.
In 2021 Avicanna will be focused on commercialization, geographic expansion, scientific advancements, and following through on the pathway to profitability. These are some of the company’s highlights for 2021 so far:
- Partnership with Harrington Wellness Inc. to promote Re+Play CBD products.
- Partnership with Alliancepharma Technologies to import and distribute its pharmaceutical cannabinoid-based products into Ecuador.
- Expansion of RHO Phyto products into retail channels in Canada in Q1 2021, a market estimated at $3 Billion CAD.
- Commercial expansion into the US, UK, Brazil, Mexico, Argentina, Ecuador, and Peru with CBD cosmetics (Pura Earth/Pura H&W) and medical cannabis (RHO Phyto) products.
Avicanna in a Nutshell
Avicanna is in its commercial-stage unfolding to what seems to be a great year ahead for the company. Without a doubt, there is more to come in 2021.
For more information please visit Avicanna.
The preceding article is from one of our external contributors.
It does not represent the opinion of Benzinga and has not been edited.
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