PreveCeutical Medical Inc (CSE:PREV) (OTCMKTS:PRVCF) said Wednesday that a letter of intent with Crushedit LLC regarding a C$16.25 million cannabidiol isolate supply agreement and a natural-health- product licensing deal with Asterion Cannabis Inc are among the milestones achieved in 2018.
Vancouver-based PreveCeutical said in a press release that its other accomplishments include the start of a medicinal cannabis division, completion of a C$6.5 million financing and expansion of its Australian operations.
The company added that it has reached its 2018 research targets for its scorpion venom-derived peptide program and its soluble gel drug delivery platform program. PreveCeutical also said it completed a workshop in Australia to advance its dual gene therapy research and development program.
Shares of PreveCeutical fetched C$0.05 in Wednesday’s Canadian trading and US$0.04 on the OTC Markets.
In November, the company announced that it had entered into a letter of intent with Nevada-registered Crushedit, under which PreveCeutical's cannabis division would supply Crushedit with at least 2,500 kilograms of CBD isolate over 12 months at C$6,500 per kilogram, for a total of at least C$16.25 million.
PreveCeutical added Wednesday that its letter of intent with the Penta 5 Group has expired. PreveCeutical said complexities regarding the structure of the group made a proposed share purchase transaction unfeasible. The companies are in negotiations regarding possible alternative transaction structures, according to PreveCeutical.
In August, Asterion granted PreveCeutical a worldwide license to use, manufacture, distribute and sell three Health Canada-approved natural-health products.
Last month, the company said it had developed a way to convert phytocannabinoids extracted from the company's five cannabis strains from acid to neutral.
Contact Dennis Fitzgerald at [email protected]