Total combined orders for delivery for Creso Pharma (ASX: CPH) now over $1M

By Trevor Hoey. Published at Jan 19, 2021, in ASX Biotechs

Creso Pharma Limited (ASX:CPH; FRA:1X8) continues to build a strong revenue platform for 2021, advising today that it has received two new purchase orders (POs) for its anibidiol® line of animal health products totalling A$247,826 (CHF171,000).

The above purchase order total is composed of a new PO from the new commercial partner for LATAM Medara/Adler of A$86,957 (CHF60,000) and a follow-up PO of A$256,470 (CHF171,600) from current commercial partners.

These orders come less than a week after Creso Pharma confirmed that it had ‘’banked’’ $320,000 following the delivery of a second shipment of cannaQIX® products to the subsidiary of Lupin International (NYSE: LUPIN), Pharma Dynamics South Africa.

Together, the total value of combined orders represents CHF728,000 (A$1,055,0721) which Creso Pharma expects to recognise as revenue within the first half of FY2021. This is a major achievement for the Company and highlights the growing demand that it is witnessing for its leading product ranges on a global scale.

The purchase orders underpin the strong demand growth for the company’s industry leading products and the first geographic expansion result in Southern LATAM starting in Uruguay.

This sets the basis for rapid growth into further LATAM countries, Argentina, Paraguay, Chile, Bolivia and beyond.

While Creso Pharma is broadening its areas of distribution, the company uses GMP (Good Manufacturing Practice) development and manufacturing standards for its products as a reference of quality excellence with initial product registrations in Switzerland.

The company has worldwide rights for a number of unique and proprietary innovative delivery technologies that enhance the bioavailability and absorption of cannabinoids.

Creso Pharma negotiates regulatory guidelines as conditions improve

The orders announced today are a significant achievement for Creso Pharma, highlighting the company’s ability to navigate stringent regulatory requirements for marketing hemp products across Europe, as well as reaffirming management’s ability to progress growth initiatives in difficult market conditions.

The demand for the products remains high and these POs serve as further confirmation of the success of the anibidiol® product line in the rapidly growing European and LATAM animal health market.

The product uptake since 2017 continues, totalling over 4 million anibidiol® doses in purchase orders.

Creso is continuing to explore plans to expand its animal health portfolio with additional innovative products such as various hemp-flour and hemp seed oil products.

With growing demand for its existing products, management is also progressing strategies to increase its footprint in the sector.

Commenting on Creso Pharma’s ability to quickly scale up its operations to meet increasing demand, commercial director Dr. Gian Trepp said, “We are very pleased by the PO developments from current and new customers.

‘’Our capabilities to supply the products in spite of the current very challenging COVID situation in a fast and flexible way is a key success factor.

‘’These capabilities and the newly enlarged product portfolio places Creso in a favorable position to respond best to the fast-growing demand and benefit from new animal health opportunities to grow its footprint in this space.”

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