Zelira Therapeutics Ltd (ASX:ZLD) (OTCQB:ZLDAF) is set to extend the roll-out of its products to more US states in the world’s largest cannabis market, following the successful launch in Pennsylvania and Louisiana.
The company said it had successfully launched licensing deals in different jurisdictions, undertaking seven deals, including two in the US, in the first seven months of this year.
Speaking at a Proactive medicinal cannabis webinar, managing director Dr Richard Hopkins said each licensing deal in the US would attract six-figure upfront licensing fees and double-digit royalties.
In Pennsylvania, the company has generated seven-digit revenue in the first year and in Louisiana, the company ‘virtually has the whole state to ourselves".
Hopkins said the company had been structured in such a manner that its teams were split between US and non-US, to enable both teams to work in independent jurisdictions.
“It is a smart strategic move so we can ensure we can run both jurisdictions in parallel,” he said, noting that the US was a huge market.
In the US, there are 4 million registered medical cannabis patients in a population of 330 million compared to 65,000 registered medical cannabis patients in Germany with a population of 83 million and 11,000 patients in Australia with a population of 25 million.
Hopkins noted that every market around the globe had been growing by triple digits.
Multiple products launches
The company is on track to launch five products in 2020, having already launched HOPE™ for Autism in US and targeting for its launch in the Australian market by the end of the third quarter this year. It plans to launch Hope in Germany and the UK in 2021.
Zenivol™ for Insomnia is targeted for launch, also by the end of the third quarter this year, in both the US and Australia, with 2021 launch dates planned for Germany and the UK.
Its Aged Disorder is set for launch in the US by the end of 2020 and is in collaboration with the Parkinson’s Foundation in the US.
Hopkins said more information would be disclosed on its dermatology and chronic pain, both of which were targeted for launch in 2021 in the US.
He said: “We are excited about all of the products, and each of them has been positioned to meet an unmet medical need.”