MONTREAL, Aug. 26, 2019 (GLOBE NEWSWIRE) -- Elixxer Ltd. (TSX-V: ELXR / OTCQB: ELIXF) is pleased to announce the completion of two investments in Little Green Pharma Ltd. (“LGP”). As previously announced on May 22nd 2019, Elixxer Ltd. has closed on a AUD$5.5M purchase of shares from a non-executive founder of LGP, increasing Elixxer Ltd.’s ownership of LGP from 26% to 40.4%. Elixxer Ltd. has also participated in a private placement of convertible debentures in LGP for AUD$800,000. These two investments make Elixxer Ltd. the largest single shareholder of LGP.
- Elixxer Ltd. has completed an AUD $5.5M purchase of shares in LGP
- Elixxer Ltd. paid AUD$800,000 to participate in a strongly oversubscribed private placement to raise AUD$9M for LGP, led by Canaccord Genuity (Australia) Ltd.
- Patients registering for medicinal cannabis prescriptions in Australia continue to rise
LGP appointed Canaccord Genuity (Australia) Ltd. to lead a private placement to raise AUD$9M by way of an issue of convertible debentures. The private placement completed in early August 2019, and Elixxer Ltd. participated in the amount of AUD$800,000. The capital raised will provide LGP with funding to expand its production capacity and execute on its longer-term vision of optimising drug delivery technologies for cannabinoid therapies from high-quality, domestically cultivated cannabis.
LGP was granted the third licence to cultivate and produce medicinal cannabis by Australia’s Federal Office of Drug Control and is the only company in Australia producing locally-grown and manufactured medical cannabis products for patient use with approximately 1,000 patients using the medicines. This is in comparison to other ASX-listed companies which have focused on research and development, or the distribution of imported medicinal cannabis products. LGP’s corporate focus is on expanding its production capacity to supply its distribution agreements across Europe.
Photos accompanying this announcement are available at
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A recent audit of LGP’s cultivation facility was completed by German authorities in order to ensure appropriate and consistent quality of medicinal plant substances. LGP has established Good Agricultural and Collection Practice (“GACP”) standards for plant starting materials.
There are now more than 11,000 patients registered to access medicinal cannabis in Australia, and much like the market for medicinal cannabis in Canada, Australia is on track to become a leading source for patients.
Mazen Haddad, CEO of Elixxer Ltd. stated, “In late 2017, LGP was our first investment into the global cannabis market. The company has since achieved many significant milestones and has secured a leading position in the Australian market. I am pleased to announce that we have increased our ownership of LGP to 40.4% and participated in the most recent private placement. We support and endorse LGP’s future advancements and look forward to working with them as they execute on their growth strategy.”
For further information, please contact:
John McMullen, President
Tel: +1-416-803-0398
john@elixxer.com
Renmark Financial Communications Inc.
Melanie Barbeau: mbarbeau@renmarkfinancial.com
Media – Kellie Coppin: kcoppin@renmarkfinancial.com
Tel: (416) 644-2020 or (514) 939-3989
www.renmarkfinancial.com
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