Israeli medical cannabis company Tikun Olam Cannbit Pharmaceuticals signed an MoU for cooperation with British company ITH Pharma, for the supply of CBD oil and other medical cannabis products in the UK. According to the agreement, announced Wednesday, ITH Pharma will undertake an order to purchase approximately one ton of cannabis oil from the company per year, in bi-monthly doses, most likely starting December 2020. In addition, Tikun Olam Cannbit will sell ITH Pharma the formulas for an array of different THC and CBD rich oils and flowers, to sell in the emerging UK medical cannabis market. Subject to the removal of regulatory restrictions applicable to the parties in connection with export and import and other conditions to be set out in the agreement, it stipulates that the companies will work together to establish a joint company which will engage in the marketing and manufacturing of medical cannabis products in the UK.This announcement is a continuation of Tikun Olam Cannbit’s plans to expand into Europe, which it announced at the end of May of a binding supply agreement with Fette Pharma for the German, Austrian and Swiss markets in a deal amounting to more than NIS 100 million.Avinoam Sapir, CEO of Tikun Olam Cannbit, said that “ITH is a professional, veteran company based on pharma and science, so we believed that our synergy with it is right and we expect that the cooperation between us will lead to excellent business results for both parties.”
In addition, Sapir thanked the Health Ministry for its recent decision to allow the export of medical cannabis under certain conditions, saying “there is no doubt that the move announced by the Health Ministry to open the Israeli market for exports also gave us a boost and opened up new opportunities for us, and this is one of them.”ITH Pharma engages in the development, sale, marketing, and distribution of medical products in the UK and is considered a leading company in the supply of injectable drugs and pharmaceutical preparations in a range of medical labels. The company is a major supplier to the National Health Service as well as a number of leading hospitals in the UK.