Lexaria Bioscience Corp (OTCQX:LXRP) (CSE:LXX), a drug delivery platform company, revealed Thursday that it has inked a definitive five-year pact through its subsidiary Lexaria Hemp Corp with Universal Hemp LLC.
The Kelowna, British Columbia company will provide its patented DehydraTECHTM technology to Universal Hemp LLC, a manufacturer of hemp-based raw ingredients and CBD derivatives.
Universal Hemp plans to make its CBD-infused bulk food ingredients available in the US immediately, and in Canada when new legislation takes effect in October.
The company did not disclose financial details, or royalty payment rates, although it did say that the companies have agreed to disclose minimum payments over the life of the agreement of US$3,750,000.
“We are very excited about signing this licensing agreement with Lexaria Bioscience to bring to market Lexaria’s highly effective delivery system which makes cannabidiol or hemp-derived CBD readily available in the human body,” said Universal Hemp founder CEO Chad Kahunahana.
Tech being applied to CBD at scale
Kahunahana noted that Lexaria’s technology was developed over many years for specified applications and is now, for the first time, being applied to CBD at scale.
“We anticipate our SuperBio Infusion line of ingredients will become the industry leader for CBD-infused health and beauty, food and beverage, wellness, athletic and other products where maximum performance is vital,” said Kahunahana. “In terms of bioavailability, shelf stability and taste this is the best performing technology in the market, hands down. Our corporate customers cannot wait to put our water-soluble solution into their products.”
DehydraTECH-enabled food ingredients are protected under Lexaria’s existing US patents and include CBD-infused wheat or corn flour, gum Arabic, whey protein, green tea, tapioca starch and many forms suitable for beverage and dietary supplement formulations.
Lexaria Bioscience has 40 patents pending around the world for disruptive drug delivery technologies. A patent for DehydraTECH, which improves the taste, smell, speed and absorption of compounds, has been granted in the US and Australia.
DehydraTECH, according to Lexaria, increases intestinal absorption, speeds delivery to the bloodstream and provides taste-masking benefits for orally administered bioactive molecules including cannabinoids, vitamins, non-steroidal anti-inflammatory drugs, nicotine and other molecules.
“We are pleased to announce our new licensee Universal Hemp whose well respected presence in the hemp industry will enable our patented technology to have widespread use and distribution in high-performance products providing precision dosing, maximum strength, and rapid uptake,” said Lexaria Bioscience CEO Chris Bunka.
Universal Hemp plans to make its CBD-infused bulk food ingredients available in the US immediately, and in Canada when regulations permit.
Contact Uttara Choudhury at [email protected]