Relevium Technologies Inc. (TSX.V: “RLV”, OTCQB: “RLLVF” and
Frankfurt: “6BX”) (the “Company” or “Relevium”), is pleased to
provide a corporate update on the Company’s positioning and
strategy regarding medical cannabis and CBD Nutraceuticals.
LEEFYLYFETM BRAND OF HEMP CBD
FORMULATIONS
United States The Food and Drug
Administration (the “FDA”), held a key public hearing last Friday
regarding its role in regulating cannabis-derived products such as
CBD as nutritional supplements. The FDA’s position is that although
hemp is no longer an illegal substance under federal law, the FDA
continues to regulate cannabis products under the Food, Drug, and
Cosmetic Act (“FD&C Act”) and Section 351 of the Public Health
Service Act. Therefore, and until their position changes, any
cannabis product marketed with a claim of therapeutic benefit,
regardless of whether it is hemp-derived, must be approved by the
FDA before it can be sold. The statement also confirms that the
addition of CBD to food products and dietary supplements is
unlawful.
Several constituents presented their cases
including consumers in need of CBD for medical purposes, calling
for the FDA to allow hemp CBD as a supplement. However, other
groups representing the pharmaceutical industry pushed for stricter
controls claiming that there is not enough evidence about the
benefits from CBD.
The public hearing was the first of many steps
towards allowing CBD as a supplement, which would then allow
companies like Relevium, who fall under the supplement jurisdiction
of the FDA, to provide current and future customers with trusted
nutraceutical formulations containing full-spectrum CBD through its
LeefyLyfeTM and Bioganix® brands across the US.
Under the FD&C Act, cosmetic products and
ingredients are not subject to premarket approval by the FDA as
long as the product does not make a health claim. This is important
since the Company is also testing skin care formulations under its
Push and Pull TM brand formulated with CBD. Although still under AB
testing, the new skin care line is expected to produce important
growth potential for the Bioganix® family of products.
Abis Hussain, CMO of Relevium Technologies
stated “Subject to obtaining a greenlight from our legal counsel on
the subject, we plan to release to the market our first skin care
line extension with full spectrum hemp CBD oil.” The next seven
months of 2019 are expected to be transformational for Relevium and
for the health and wellness industry as a whole.
Aurelio Useche stated: “The next step in the
FDA’s position to allow CBD as a food additive is for it to be
classified as generally recognized as safe (“GRAS”) by qualified
experts under the conditions of its intended use. We expect this
process will take place this year, therefore making it possible for
our brands to offer the wonderful benefits of this herbal
supplement to all consumers.”
Europe and the United
KingdomThe European authorities in Europe and the UK have
taken similar positions to the US by allowing the sale of
full-spectrum hemp oil and hemp CBD as long as no medical claims
are made. In Germany, in order to be able to make a medical claim,
companies have to register their products with the health
authorities to obtain a PZN (Pharma-Zentral-Nummer), which is a
national code for medicine identification across Germany needed to
make health claims and for the products to be sold through
pharmacies in the country.
The Company, through a local partnership, is
seeking to have several formulations registered under the PZN
number codification and plans to market such products through
pharmacies and major health portals in the country.
BIOCANNABIX MEDICAL CANNABIS
BUSINESS
Canadian MarketThe Canadian
market has been the subject of much debate in terms of its ability
to effectively supply medical cannabis to health seeking Canadian
consumers. In addition to the considerable investment that is
required to build-out a compliant facility and tougher regulations
in terms of the licensing process, the Canadian market is still
“learning” from market wide issues and crop failures leading to
poor quality and supply issues across the Country.
Relevium, through its wholly-owned Biocannabix
biopharma subsidiary mission is to provide safe, organically
sourced medicine for pediatric care into the Canadian market. The
Company remains committed to its vertical integration strategy.
However, rather than investing into an indoor cultivation and
extraction facility in Canada, the Company is currently in
discussions with South American based companies to fulfill this
important part of its vertical integration.
Aurelio Useche, CEO stated: “In order to provide
the right pediatric medicine, we need to control plant genetics,
safety, quality and consistency of the extracts. As such, we
believe and are committed to the vertical integration of our
medical business. South America is our focus in achieving this
objective.”
For these reasons, the Company has decided not
to pursue a grow and processing facility in Canada. Instead,
Biocannabix is currently looking at acquiring a significant
interest in a late stage applicant with a focus on sales, import,
export, formulating and R&D for Canada, while securing and
controlling plant genetics and extracts from South America.
Aurelio Useche, CEO of Relevium Technologies
states, “Due to the increased capital costs and risk factors
imposed by the Canadian market, we have made the strategic decision
to pursue an investment into a late-stage applicant for Standard
Processing to expedite our research and sales focus for Canada”.
The Company is currently in negotiations to execute an LOI with a
late-stage applicant,
Considering Options for Shareholder
Value CreationAs Relevium continues to obtain and build
strategic cannabis assets under its wholly owned subsidiary
“Biocannabix”, management will be reviewing alternatives to ensure
shareholders maximize value through a focused and well-defined
“vertical” for Biocannabix. Management is examining the ability of
its medical cannabis bio-pharma subsidiary to deliver substantial
accretive value for its shareholders. The Company expects to update
its shareholders on the results of this review over the coming
months.
About Relevium Technologies
Relevium is a publicly-traded company that
operates in the health and wellness industry, including legal
cannabis, with a primary focus on online distribution. The
principal business of the Company is the identification,
evaluation, acquisition and operations of brands and businesses in
the health and wellness markets and medical cannabis. The Company
pursues its business strategy through an acquisition and
partnership model in a holistic approach to encompass a wide range
of health and wellness consumer products. Relevium operates through
two wholly owned subsidiaries:
BGX E-Health LLC (BGX), based in Orlando,
Florida, markets dietary supplements, nutraceuticals, sports
nutrition and cosmeceuticals primarily through its Bioganix® brand
portfolio in the US and Europe. Relevium’s premium brands are sold
at some of the world’s largest retailers including such as
Walmart.com and Amazon.com.
Biocannabix Health Corporation (BCX), based in Montreal, Quebec,
is a biopharma nutraceutical company focused on delivering
pediatric endo-medicinal nutraceuticals for cannabinoid
therapy.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Cautionary Note Regarding
Forward-Looking StatementsThis release includes
certain statements and information that may constitute
forward-looking information within the meaning of applicable
Canadian securities laws. All statements in this news release,
other than statements of historical facts, including statements
regarding future estimates, plans, objectives, assumptions or
expectations of future performance, including the timing and
completion of the proposed acquisitions, are forward-looking
statements and contain forward-looking information. Generally,
forward- looking statements and information can be identified by
the use of forward-looking terminology such as "intends" or
"anticipates", or variations of such words and phrases or
statements that certain actions, events or results "may", "could",
"should", "would" or "occur". Forward-looking statements are based
on certain material assumptions and analysis made by the Company
and the opinions and estimates of management as of the date of this
press release, including the assumptions that the Company will be
able to apply for and ultimately obtain an ACMPR licence, the
proposed business of Biocannabix will develop as anticipated, that
the Company will raise sufficient funds to develop the Biocannabix
business, and that the Company will obtain all requisite regulatory
approvals. These forward-looking statements are subject to known
and unknown risks, uncertainties and other factors that may cause
the actual results, level of activity, performance or achievements
of the Company to be materially different from those expressed or
implied by such forward-looking statements or forward-looking
information. Important factors that may cause actual results to
vary, include, without limitation, the risk that the proposed
business developments may not occur as planned; the timing and
receipt of requisite approvals and failure to raise sufficient
funds.
Although management of the Company has attempted
to identify important factors that could cause actual results to
differ materially from those contained in forward-looking
statements or forward-looking information, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove
to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward- looking
statements and forward-looking information. Readers are cautioned
that reliance on such information may not be appropriate for other
purposes. The Company does not undertake to update any
forward-looking statement, forward-looking information or financial
outlook that are incorporated by reference herein, except in
accordance with applicable securities laws. We seek safe
harbor.
On Behalf of the Board of Directors
RELEVIUM TECHNOLOGIES
INC.
Aurelio UsechePresident and CEO
For more information about this press release: Tel:
+1.888.528.8687
RELEVIUM TECHNOLOGIES INC
Email: investors@releviumcorp.com Website:
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