Canopy Health Innovations Closes Financing & Announces Leadership Appointment
SMITHS FALLS, ON, Dec. 21, 2016 /CNW/ – Canopy Growth Corporation (TSX:CGC) (OTC: TWMJF) (“Canopy Growth” or “CGC”) is pleased to announce that the recently formed Canopy Health Innovations (“CHI” or the “Corporation”), has closed an offering to sell common shares in the Corporation for gross proceeds of approximately $7 million. CHI will use the proceeds to establish general operations and begin clinical research (in partnership with licensed third parties, including Canopy Growth) into the effectiveness of clinically ready whole plant cannabis drug formulations and dose delivery systems on specific indications.
CHI will operate as a pure research incubator and is strategically positioned and focused on creating an IP portfolio that can be built into commercial opportunities for CGC and its subsidiaries.
Pursuant to agreements entered into between CHI and CGC, CGC and its subsidiaries will work closely with CHI whereby CGC will act as a primary supplier of cannabis products for clinical research, as a research partner through its subsidiary Tweed Inc., which recently acquired a Controlled Drugs and Substance Dealer’s License from Health Canada, allowing it to, among other things, possess cannabis and cannabis by-products for the purposes of analytical testing, and in the commercialization of IP created by CHI.
Canada is in a unique leadership position with respect to cannabis research and cannabis IP. Our intention with CHI is to build an extension of the business that is dedicated to product specialization. By defining, in clinical terms, how to apply specific cannabis profiles and delivery systems to certain conditions we can drive physician acceptance and grow the market at the same time.
Bruce Linton, Chairman of CHI and Chairman & CEO of CGC
CGC is also pleased to announce that Marc Wayne will join CHI as founding President and Director. Marc is well regarded as a pioneer in the Canadian medical cannabis field having both co-founded Bedrocan Canada, one of Canada’s first licensed producers and the Cannabis Canada Association (formally CMCIA), acting as its founding Chair. Marc was also instrumental in helping develop the Canadian Consortium for the Investigation of Cannabinoids (CCIC) and turning it into a global innovator in education and research on the medical uses of cannabis. With his years of start up and executive management experience, Mr. Wayne is ideally suited to lead this health and research focused enterprise during this critical time for cannabis research.
This is a very exciting time for cannabis research and the possibility to take whole plant cannabis therapies to another level. Canada is well positioned with its current regulatory environment to lead in this area. The calls for more research into cannabis have been heard, and I am honored to have the opportunity to lead CHI as a credible first mover into this area.
Marc Wayne, CHI President and Director
Effective upon the closing of the offering, Mr. Wayne has resigned his position as Managing Director of Canopy Growth Corporation and as President of Bedrocan Canada Inc. in order to focus his attention on CHI. The Canopy Growth Corporation management team and Board of Directors wishes to deeply thank Marc Wayne for his instrumental role in forming Canopy Growth Corporation and his dedication to medical cannabis, work which will continue and accelerate at CHI.
CHI is currently owned in part by Canopy Growth Corporation (TSX: CGC) and private investors. The corporate vision of CHI is to increase the understanding of cannabis based therapies through research, drive product innovation and build intellectual property in the medical cannabis industry.
Here’s to Future Growth.
Get ahead of the crowd by signing up for 420 Investor, the largest & most comprehensive premium subscription service for cannabis traders and investors since 2013.