Khiron Serves Record Number of Patients With
Khiron Products Globally in Its Medical Treatment Clinics
TORONTO,
June 28,
2022 /CNW/ - Khiron Life Sciences Corp. (TSXV: KHRN)
(OTCQX: KHRNF) (Frankfurt: A2JMZC)
the global medical cannabis leader, continues expansion of the
Khiron end-to-end solution throughout Latin America and Europe. Khiron's growth aligns with its
mission to improve consumers' quality of life through its global
network of medical cannabis treatments clinics.
Khiron is serving a record number of patients who
are being treated with Khiron products globally. The company has
recently reached a cumulative stock of more than 100.000 bottles of
medical cannabis sold. This network of medical treatment clinics
allows Khiron to collect evidence and conduct studies on the usage
of medical cannabis. The groundbreaking analysis of the benefits of
medical cannabis sets Khiron apart from any other cannabis
companies in today's marketplace
Khiron has posted record 2022 Q1 numbers that
included revenue of $4.6 million, a
65% increase from Q1 2021, as well as record revenue in medical
cannabis of over $2.6 million in Q1
2022, a 470% increase from the prior year. Q1 2022 showed an
operating cash outflow of 2.8 million against a total receivable of
4.4 million. Khiron continues to grow thanks to the infrastructure
that the company has built and some of the newer operations are
already becoming profitable and EBITDA positive. Khiron is reducing
expenses, selling high margin products, and being disciplined in
the expansion approach.
In countries such as Colombia and Germany, Khiron is benefiting from patients'
ability to utilize their health insurance for treatment in its
medical cannabis clinics. This exemplifies the opportunity on the
path forward for a global cannabis company such as Khiron to
leverage the health insurance expansion that will continue to cover
more and more markets.
Below is a status on Khiron's 2022 business
developments, marking is a growth year for Khiron expansion
throughout both Europe and
Latin America:
Status on Europe (the UK and Germany):
- Khiron has established market leadership in the UK with its
first two products on the market, and its KHIRON 20/1
THC-predominant strain is one of the best-selling medically
prescribed products in the UK market.
- Europe, where Khiron is
currently expanding through an asset light strategy, poses a large
market opportunity for Khiron as additional countries beyond the UK
are legalizing medical cannabis. The UK has a potential of at least
1 million medical cannabis patients and Germany has the potential of over a million
patients by 2024. Additionally, Germany offers full coverage of insurance for
medical cannabis.
- Khiron has acquired Pharmadrug GmbH. The acquisition provides
Khiron with a European manufacturing and distribution center for
cannabinoid-based medicines with EU-GMP certification. This will
have a direct positive impact on revenues and higher gross margins
allowing Khiron to keep wholesale fees in-house. These fees range
between 20-30%. The long-established German company will be
instrumental in expanding Khiron's product portfolio with new
dosage formats and bringing Khiron's full-spectrum extracts to
Germany and the United Kingdom to grow the patient base
- In Q1 2022, Europe (the UK and
Germany) represented 53% of all
medical cannabis revenue, compared to 10% in Q1 2021.
- Europe accounted for 33% of
Khiron's medical cannabis revenues, at more than 1.5 million CAD during 2021.
- Khiron also announced a new product, the THC-dominant
full-spectrum extract KHIRIOX 25/1, which will be available to
pharmacies and patients in Germany
and the UK in the near future. KHIRIOX 25/1 combines the medicinal
properties and areas of application of the established THC isolate
formulations (dronabinol) with the specific advantages of a
full-spectrum extract, which may have fewer side effects and are
better tolerated by patients.
Status on Latin America:
Colombia
- Khiron foresees a positive environment with the election of the
new president of Colombia,
Gustavo Petro, who has reiterated
his commitment to the consolidation of the medical cannabis
industry and recognizes the potential of medical cannabis to reduce
high-cost therapies that are already in place.
- Khiron is the leader in medical cannabis in Latin America with its unique vertically
integrated approach and leverage of insurance coverage on its
clinics.
- Colombia is the only country
in Latin America with universal
health insurance coverage for medical cannabis. Over 82% of Khiron
sales were sold through insurance coverage, and over 84% of the
sales were sold to returning patients.
- On May 31 2022, Khiron broke the
record of 10.000 cannabis units per month, achieving positive net
profit in its Colombian clinic operations.
- Khiron owns and operates 6 Zerenia Clinics in Colombia that have the capacity to attend more
than 1,000 patients daily through physical and virtual
appointments.
- In June 2022, Khiron opened its
first retail pharmacy, fully licensed to dispense medical cannabis
products to patients outside the Company's own clinic network.
Three weeks since its opening, it has sold 197 prescriptions.
Peru
- Khiron owns and operates two Zerenia Clinics in Peru and by the end of July 2022, Khiron will open two additional
clinics.
- Sales of Khiron products in Peru have grown consistently and Khiron is
expanding the access of Khiron products into drugstores and
pharmacies. Sales have grown more than 75 percent from Q4 in 2021
to Q1 in 2022.
- Khiron obtained the sanitary registries for Khiriox, THC-rich
products that will be launched on the market soon. These products
will be available on pharmacies shelves across the country,
allowing fast and safe access to all patients.
- With the soon to be launched CBD ointment, Khiron positions
itself in Peru by offering the
broadest and most complete portfolio of registered products with
CBD and THC derived from a Full Spectrum extract.
Mexico
- In March 2022, Khiron signed a
partnership with Teleton, allowing it to establish its medical
cannabis clinics, Zerenia, within Teleton's network across
Mexico and to distribute Khiron
products in Teleton's pharmacies. Teleton has 24 Medical Centers
(22 rehabilitation centers, 1 autism center and 1 Children's
Hospital for Cancer) located across the country, and around 600,000
patients with disability, cancer and autism conditions.
- Khiron also has a partnership with Mexico's top university, Tecnologico de
Monterrey, where Khiron provides
medical education for ethical and safe prescribing of medical
cannabis, launching its third course this year. To date, almost
1.000 physicians have been trained through this partnership.
Brazil
- Brazil is the most recent
market for Khiron's Latin American expansion. Between late Q2 and
early Q3 2022, Khiron will open its first Zerenia Clinic in
Rio de Janeiro.
- The Company also expects to achieve its first import of high
THC in Q3 2022.
About Khiron Life Sciences
Corp.
Khiron is a leading global medical cannabis
company with expanding operations in Latin America and Europe. Leveraging wholly-owned medical health
clinics and proprietary telemedicine platforms, Khiron delivers an
end to end solution combined with a patient-oriented approach,
physician education programs, scientific expertise, and product
innovation, Focusing on creating access to drive
prescriptions, brand loyalty with patients worldwide, Khiron
is growing its business throughout Colombia, Germany, UK, Peru, and Brazil, and is positioned to begin
operations in Mexico. Khiron
is led by Co-founder and Chief Executive Officer, Alvaro Torres, together with an experienced and
diverse executive team and Board of Directors, with headquarters in
Bogata, Colombia.
Visit Khiron online at https://investors.khiron.ca
Linkedin
https://www.linkedin.com/company/khiron-life-sciences-corp/
Cautionary Statement Regarding
Forward-Looking Statements
This press release may contain "forward-looking
information" within the meaning of applicable securities
legislation. All information contained herein that is not
historical in nature constitutes forward-looking information.
Forward-looking information and statements contained herein reflect
management's current beliefs and is based on information currently
available and on assumptions that management believes to be
reasonable. These assumptions include, but are not limited to,
assumptions regarding the future regulatory developments and
economic conditions, the Company's ability to continue its growth
and reduce costs. The Company undertakes no obligation to update or
revise any forward-looking information, whether as a result of new
information, estimates or opinions, future events or results or
otherwise or to explain any material difference between subsequent
actual events and such forward-looking information, except as
required by applicable law.
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SOURCE Khiron Life Sciences Corp.