AusCann has loaned a further A$500,000 to its European partner Eurocann as the two companies continue to work on a merger.
Cannabiz revealed in February that Eurocann, which owns Dortmund-based manufacturer and distributor HAPA Pharma, was looking to instigate a back-door listing on the ASX by merging with AusCann.
Eurocann co-founder Andrew Chapman is the chairman of AusCann and also managing director of Merchant Funds Management, the largest shareholder of both companies.
In its quarterly update to the ASX, AusCann said regulatory certainty in Germany meant the company could “proceed with a transaction” and complete due diligence.
“It is the intention of AusCann to move quickly on a transaction and apply to the ASX for re-listing as soon as possible,” the company said in its Q3 financial report.
AusCann’s shares have been suspended from the ASX since August 2022.
The company revealed that since the end of the quarter it has loaned a further $500,000 to Eurocann which is “expected to be the final amount under the current loan agreements”.
Eurocann is working to secure a “material financing transaction with strategic European partners”, AusCann added.
Meanwhile, HAPA Pharma is developing a new strain of medicinal cannabis tailored to “thrive in the new regulatory framework” in Germany, while the latter part of 2024 will see the manufacturer enter the Polish market.
Avecho Biotechnology
Avecho Biotechnology has appointed experienced healthcare executive Kathy Connell to its board as discussions around licensing agreements reach a “defining phase of execution”.
Connell has held a number of senior roles in the biotech, pharmaceutical and consumer health sectors – including 12 years at Johnson & Johnson – specialising in business development, licensing, acquisitions and venture investment.
Avecho chair Dr Greg Collier said her expertise will “maximise our chances of securing high-value future licensing agreements” following its phase III clinical trial examining the effectiveness of its TMP drug-delivery system in sleep-deprived patients.
Melodiol Global Health
The founder of US-based wellness company Sierra Sage Herbs, Jodi Scott, has resigned from the board of Melodiol Global Health with immediate effect.
Melodiol acquired Scott’s business in 2022, but amid a need to slash costs had mothballed the business to focus on Australian distribution firm Health House International and Canada-based subsidiary Mernova Medicinal.
In January, the company confirmed it had sold certain intellectual property owned by Creso Pharma Switzerland and Sierra Sage Herbs to Spry Life, a company established by Scott.
Meanwhile, Melodiol has promoted financial controller Tim Tian to chief financial officer. He replaces Chris Grundy who has held the CFO role since 2017.