WHITEFISH, MT / August 5, 2014 / The U.S. medical marijuana industry has grown at a 16.2% CAGR between
2009 and 2014 to generate $2 billion in annual revenue, according to IBIS World.
With over 1.4 million businesses and a growing number of public
companies in the space, investors have a number of options when looking
to gain exposure, ranging from large firms running clinical trials to
small firms developing delivery systems.
These companies are largely focused on endocannabinoid receptors CB1
and CB2, which are thought to be involved with a variety of
physiological processes, including appetite, pain-sensation, mood, and
memory. By utilizing CBDs found in cannabis, they hope to treat a wide
range of medical conditions, including cancers, epilepsy, glaucoma,
multiple sclerosis, Tourette’s syndrome, and others.
So far, researchers have identified about 100 cannabinoids with the
potential to become low-cost treatments for these conditions,
counteracting the expensive and frequently toxic drugs and therapies
developed by larger, more traditional pharmaceutical companies.
Capitalizing on CBDs
The poster child for cannabis therapeutics is GW Pharmaceuticals plc
(NASDAQ: GWPH), which rose from $8.90 per share following its May 2013
initial public offering to over $107 per share in 2014. Currently, the
company’s Sativex clinical trials have involved over 3,000
patients being studied for cancer pain treatment, neuropathic pain,
arthritis, bladder dysfunction, and other conditions.
While GW Pharmaceuticals’ clinical trials are generally long-term in nature, Cannabis Technologies Inc. (OTCQB: CANLF) (CSE: CAN) aims to shorten the time to market by leveraging its Cannabinoid Drug Design Platform
("CDP"). The technology is designed to rapidly identify new bioactive
compounds within the cannabis plant that interact with certain genes
responsible for certain diseases.
GW Pharmaceuticals trades with a $1.5 billion compared to Cannabis
Technologies’ $15 million market capitalization, which means that the
latter involves greater risks in exchange for greater potential reward.
Other players in the market include AbbVie Inc.’s (NYSE: ABBV) THC-based Marinol for nausea and Valeant Pharmaceuticals’ Inc.’s (NYSE: VRX) Cesamet cannabinoid for neuropathic pain.
Cannabis Technologies CEO Craig Schneider’s 20 years of experience in
the biopharmaceutical industry and capital markets is supplemented by
the experience of two leading scientists. With its proprietary CDP
platform in place, the team plans to initially focus on its CTI-085 topical formulation for the treatment of glaucoma, which has already shown promise in preclinical and animal trials.
Dr. Sazzad Hossain Ph.D, M.Sc., CSO, has two decades of experience in
new drug discovery and natural health product development, including
experience as a senior scientist at the Canadian government’s National
Resource Council Canada bringing therapies to market. In addition, Dr.
Hyder Khoja, Ph.D., M.Sc., A.Ag., brings 17 years of extensive
experience in breeding, cultivation, and genetics, helping cover the
more agricultural side of the business.
The company’s botanical research
team has already begun to develop the individual strains and clones
that will produce the raw material bases for future pharmaceutical
research. Specific studies are also planned to ascertain how growing
methods affect the secondary metabolite content, and to discover how a
tight specification can be met while satisfying commercial expectations.
Cannabis Technologies has positioned itself to capitalize on the $2
billion cannabis therapeutics industry with its unique CDP platform and
experienced management team. As the company progresses with the
development of CTI-085 and expands its botanical research efforts,
investors seeking exposure to the rapidly growing medical cannabis
industry may want to take a closer look at the stock.
Sign up for future email updates on Cannabis Technologies Inc. developments here:
For more information, see the following resources:
- Company Website
- Investor Presentation
- OTC Markets Profile
Disclaimer: Except for the historical
information presented herein, matters discussed in this article contain
forward-looking statements that are subject to certain risks and
uncertainties that could cause actual results to differ materially from
any future results, performance or achievements expressed or implied by
such statements. Emerging Growth LLC dba TDM Financial, which owns
CannabisFN, is not registered with any financial or securities
regulatory authority, and does not provide nor claims to provide
investment advice or recommendations to readers of this release.
Emerging Growth LLC dba TDM Financial, which owns CannabisFN, may from
time to time have a position in the securities mentioned herein and may
increase or decrease such positions without notice. For making specific
investment decisions, readers should seek their own advice. Emerging
Growth LLC dba TDM Financial, which owns CannabisFN, may be compensated
for its services in the form of cash-based compensation or equity
securities in the companies it writes about, or a combination of the
two. For full disclosure please visit: http://www.cannabisfn.com/legal-disclaimer/.
SOURCE: Emerging Growth LLC
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