ASX-listed cannabis company eSense-Lab is looking to cash in on the demand for hand sanitisers fuelled by COVID-19.

It has signed a letter of intent with Israeli marine biotechnology company SeaLaria Ltd to develop new products using eSense’s terpene strains and SeaLaria’s gelatinised red algae.

The initial focus of the joint venture will be on alcohol-free hand sanitisers.

eSense CTO Dr Eyal Kalo said results from the first experimental batch are currently being analysed. The companies are also working together on an ointment to treat skin disorders.

CEO Itzik Mizrahi added: “We have looked into possible co-operation with SeaLaria for some time, but increased consumer demand for hand sanitisers has pushed both companies to prioritise the potential development of more effective products to match.”

eSense, headquartered in Israel with a registered office in Western Australia, describes itself as “a life sciences company creating virtual plant-based products for medicinal and recreational consumption”.

Shares climbed 40 per cent on the ASX yesterday (Thursday) following the announcement.