Bod signs distribution agreement with Gold Coast cannabis group
21 June 2019, Written by David Simmons
Listed cannabis healthcare company Bod Australia (ASX: BDA) has teamed up with Burleigh Heads Cannabis (BHC) and partner company Cannabis Doctors Australia (CDA) on a distribution agreement.
Under the agreement Bod will gain access to BHC's wholesale network and will be able to utilise CDA's education, support and products for its network of patients and doctors seeking access to medicinal cannabis in Australia.
Specifically, the agreement will see Bod's MediCabilis product distributed and promoted around Australia.
CDA have a number of clinics and an established patient base in Australia. The group have successfully processed over 1,300 approvals since October 2018, resulting in more than 1,800 medicinal cannabis prescriptions.
The group recently closed a crowdfunding campaign to boost its growth both in Australia and New Zealand.
CDA hoped to raise $500,000 minimum but closed the crowdfunding round securing $1.5 million from 547 people via crowdfunding platform PledgeMe.
CDA was formed in October 2018 by Dr Matua Jansen (pictured right), a former hospital oncology specialist, and his cousin, medical director, Dr Ben Jansen (pictured left), who is currently a registered general practitioner and holds a fellowship in urgent care in Australia and New Zealand.
The educators and promoters of medicinal cannabis have commenced patient approvals for MediCabilis through its physical clinics and telehealth service. Bod anticipates strong demand for its product and hopes to see prescriptions increase over the coming months.
In addition to the distribution agreement, Bod and BHC intend to collaborate on novel non-THC cannabis prescription products to meet the needs of both physicians and patients.
"BHC and CDA are leaders in medicinal cannabis and have extensive networks of medicinal specialists, physicians and patients nationwide," says Bod Australia CEO Jo Patterson.
"This provides an excellent foundation for Bod to grow medicinal cannabis sales much more rapidly in Australia and New Zealand in the coming months."
"As well, Bod is in ongoing discussions with a number of potential distribution partners internationally to drive further revenue growth and looks forward to updating shareholders in the near term."
Shares in Bod are up 3.92 per cent to $0.26 per share at 11.43am AEST.
Business News Australia
Author: David Simmons