The UK inventors of a technology acquired by Bod Science, Aqua Phase, must wait for their initial payment of GB£1 million (A$1.8m) following delays to a pharmacokinetic (PK) study to test its bioavailability credentials.
Bod said third-party delays in the “testing and analysing stage” have pushed back the deadline for completion of the study until June 30, 2023.
Bod announced its intention to acquire Aqua Phase last August for £3m ($5m). Under the terms of the deal, one month’s stability data, the manufacture of a technical product batch, and the completion of a PK study are required to trigger the initial payment.
With the first two conditions met, the only remaining one is the successful completion of the PK study to measure the bioavailability of the Active Pharmaceutical Ingredient.
CEO Jo Patterson told Cannabiz last year that typical oral CBD compounds in oil are estimated to deliver only 6% to 8% bioavailability. Aqua Phase, however, is likely to deliver 30%.
“We look forward to the successful completion of the PK study in the next few months and the completion of this transformational acquisition,” she said in a statement to the ASX.
Patterson described the achievement of non-pharmaceutical GMP stability of Bod’s CBD product as an “exciting milestone” for the Aqua Phase technology.
“In terms of stability, it’s important to note that not all products containing CBD are created equal and quality control can be a problem,” she said. “CBD products can be prone to degradation and oxidation, leading to changes in potency and potentially harmful contaminants.
“Bod is committed to rigorous scientific research and development and dedicated to safe and innovative drug development.”
Meanwhile, Bod will receive almost $440,000 from finance lender Radium Capital as an advance for its first half research and development tax rebate.
Radium offers access to R&D funds up to 80% of the ATO rebate.
Bod said the loan facility will provide the company with strategic capital in a way that reduces the need for dilutionary equity.
