The Australian company Little Green Pharma (LGP), which already supplies CBD:THC 20:1 oil to the French experimentation of medical cannabis, won the second call for tenders which aimed to distribute CBD 50 oil for experimentation.
While the final amount of the tender is not publicly disclosed, LGP may supply up to 1 million of its CBD50 product under the terms of the tender.
Little Green Pharma had refused to apply for the first call for tenders launched by the Ministry of Health for the extension of the experiment. The latter indeed promised a price of €14 per bottle, a price well below its manufacturing, transport and customs costs.
Despite alerts from patients and professionals involved in the experiment, the lack of anticipation by the General Directorate of Health (DGS) had led to 2 shortages of CBD oils, a product mainly delivered to patients. The DGS then launched a second call for tenders to fill the holes in the racket.
Thanks to this award, LGP remains the main supplier of the French trial, with more than 85% of the 3,000 participants, according to its figures, being relieved by the company’s medical cannabis products.
The supply price for each bottle is set at 77 Australian dollars (47 euros), and the total value may be up to 1 million euros, depending on demand. LGP anticipates that this request will be met at the end of the trial period, in March 2024.
Over the past two years, experimentation has consistently shown positive results, with 91% of 1643 active patients reporting beneficial results.
With the second largest population in the European Union, France represents an important market for LGP, and the company sees its participation in the trial as a valuable advantage in view of bringing medical cannabis into common law in 2024.
For the past three years, LGP has provided LGP-branded products to more than 2,500 trial participants. The company has also entered into discussions with the French health authorities to explore possibilities for future expansion in the market.
Following the announcement, LGP shares rose 7.89%.
