The Hydroponics Company (ASX:THC) is one of the first ASX-listed cannabis companies to have secured a medicinal cannabis research licence.
The license was granted to THC’s wholly owned subsidiary Canndeo Ltd by the Office of Drug Control.
The research licence will allow Canndeo to build its exclusive Plant Breeders Rights (PBR) protected Cannabis sativa strains.
Dr Andrew Beehag, chief executive officer of Canndeo, commented:
"We are very pleased to have been issued a research licence, which effectively paves the way forward for future domestic supply of medicinal cannabis, targeting multiple markets with high purity cannabidiol (CBD) and enabling THC to continue its roll out of high quality imported products as well as locally produced medicines."
THC will now advance research into medicinal cannabis to undertake both its own research exploring optimal cultivation and production methodologies and strain development.
The company will also look to the implementation of its epigenetic technology as a key innovation in the field.
The research licence is the first step in establishing Canndeo’s domestic pharmaceutical production capability with anticipated product availability in 2018.
THC has been one of the most successful IPO's of 2017, and shares are expected to open higher today.
The heavily oversubscribed IPO was priced at $0.20 per share, with the company last trading at $0.31 per share.