Medicinal cannabis company, MGC Pharmaceuticals’ new medicinal cannabis-based line known as “Mercury Pharma” has seen a significant, 85% increase in order volumes with strong demand for phytocannabinoid medicine driving growth. Prescriptions issued for cannabinoid-based medicines have more than doubled to date, according to MGC.
The new order for 3,700 units of MGC’s Mercury Pharma 100, a prescription-only 100mg/mL cannabidiol or “CBD” solution will propel the company’s revenues to over $430,000 and add around $200,000 to the initial supply contract value. Initially, 2,000 units were ordered under the supply contract.
With MGC’s new Mercury Pharma brand launching in early 2020, the early direct impacts to the company’s bottom line would seem encouraging.
The pharmaceutical company is aiming to be able to provide a more affordable CBD solution to Australian and New Zealand markets. According to the British Journal of Clinical Pharmacology, the most common uses of CBD are in the treatment of anxiety, schizophrenia, nausea, vomiting, inflammation and epilepsy.
MGC pharmaceuticals has a non-exclusive distribution agreement in place with Cannvalate, who connects suppliers of medicinal cannabis with doctors and pharmacies. This supply agreement has improved the availability of its medical cannabis products under the Australian Special Access Scheme via doctors and pharmacies.
Cannabis plants contain about 500 chemical compounds with the two major chemical being CBD and tetrahydrocannabinol, or “THC”. THC is the recreational, psychoactive and illegal cannabis drug. CBD is not psychoactive, meaning it will not get the user “high” and comes with a rapidly developing suite of medicinal uses.
MGC has permission from Australia’s Therapeutic Goods Administration to import its medicinal cannabis-based products for supply in either a clinical trial or under the Special Access Scheme. CBD is legal in Australia under the Special Access Scheme via a prescription from a doctor.
The Special Access Scheme allows health practitioners to access therapeutic goods that are not on the Australian Register of Therapeutic Goods for their patients under exceptional clinical circumstances.
NB: This article is for general financial markets news purposes only and is not to be taken as an endorsement of, or advertisement for any individual product, medicine or drug.
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