Creso Pharma agreement signals entry into Scandinavia
Creso Pharma Limited (ASX:CPH) has signed a commercial term sheet agreement with Farmagon, Oslo, Norway to enter the Scandinavia market with Creso products.
Farmagon is an established wholesale distributor in Norway, with over 25 years of experience in pharma in Scandinavia.
Through this partnership, Creso expects to leverage Farmagon’s licences, deep industry know-how and active retailer distribution channels to bring in-demand medical cannabis products to Scandinavia and surrounding markets.
Under the agreement, Farmagon has the right to commercialise Creso’s products under co-branding with Creso, or white labelling in the defined territory, subject to prescribed minimum order quantities.
The first phase of the commercial roll out will be the focused on the launching of cannaQIX® 50 and cannaQIX® 10, both of which will be marketed as medicinal cannabis products under a required narcotics licence.
Farmagon brings supply chain advantages
In managing the sales operations, all aspects of the supply chain from medical professionals to shopfront and online distributors are in place.
The sales channels will comprise doctors across a range of disciplines including alternative medicine, oncologists, neurologists and pain management doctors.
In terms of the group’s sales strategy, distribution to retail, pharmacies, drugstores, grocery shops and online is being coordinated.
The agreement covers Norway as a commercial gateway as well as Denmark, Sweden and Finland, and can be terminated by either party giving 3 months’ notice.
Highlighting Scandinavia’s high profile position in terms of science based products, Creso Pharma’s chief executive and co-founder Dr. Miri Halperin Wernli said, “We are excited to enter the Scandinavian markets with our products.
‘’Besides being an attractive market this will bring excellent opportunities as Scandinavia is a top quality reference for marketing science based products.
Farmagon brings a wealth of experience to the table having operated for decades in the pharmaceutical space, whereby it now benefits from long-standing strong relationships across the supply chain, including an active retailer distribution network across the region.
There are also obvious benefits that will flow from the group being an authorised wholesale organisation with narcotics licences for healthcare products for humans and animals in place.
Chief executive and founder of Farmagon John Schnell said, “We look forward to working together with Creso Pharma to realise this exciting opportunity.”
S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.
Conflict of Interest Notice
S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.
The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.