MGC Pharmaceuticals signs supply deal with AMC for phytomedicine products
MGC Pharmaceuticals, a developer of phytocannabinoid-derived medicines, has signed a $24 million supply and distribution deal with US-based AMC Holdings.
The deal is for the supply of the company’s products, which include epilepsy candidate CannEpil, dementia and Alzheimer’s candidate CogniCann, and CimetrA over an initial three-year period.
MGC Pharmaceuticals said that this is its maiden dedicated supply agreement for the supply of its products into the US.
The biopharma company added that the deal with AMC Holdings is also a major step in speeding up the clinical trials process for CannEpil and CogniCann, apart from giving access to the medicines to more patients.
Roby Zomer — Co-founder and Managing Director of MGC Pharmaceuticals said: “This is an important milestone agreement for MGC Pharma, as it provides MGC access to the largest healthcare market in the world. We look forward to working with our new partners at AMC and utilising their expertise and network to widen patient access to MGC’s phytomedicine products.
“This Agreement provides MGC Pharma with a pipeline for strong revenue streams over the next three years, with the possibility of larger revenues to follow, and the opportunity to be at the forefront of phytomedicines in the USA. Additionally, the ability to add new sites to our current clinical trials programs for CannEpil and CogniCann will greatly enhance the ongoing process for both.”
AMC Holdings as the licensed distributor of MGC Pharmaceuticals’ products in the US will carry out all marketing work in the US, apart from handling the import and warehousing of the products.
MGC Pharmaceuticals said that the US supply agreement has a minimum $3 million of sales in the first year, which will be contingent on AMC Holdings getting a National Clinical Trial Number (NCTN) for a product of the former by the end of September 2021.
Securing the NCTN will allow hospitals in the US to take part in the ongoing clinical trials for CannEpil or CogniCann, said MGC Pharmaceuticals.
Brent Yessin — AMC Holdings General Counsel and President of AMC Florida said: “We believe that disease management of intractable conditions, like Refractory Epilepsy and Dementia, as well as the recent spike in COVID 19 around the US, is driving healthcare providers and researchers to seek alternatives to existing drugs or protocols.
“MGC’s track record developing botanical or bio-pharmaceutical solutions as alternatives to existing medications, many of which have negative side effects affecting patients’ quality of life, made this an exciting collaboration for AMC.”