Creso Pharma Ltd (ASX:CPH) (OTCMKTS:COPHF) (FRA:1X8) has secured a new purchase order (PO) for its leading range of anibidiol® animal health products from an existing commercial partner, Virbac Switzerland.
The purchase order (PO) is a repeat order and is valued at A$247,8261 (CHF171,000) and the company expects to complete delivery of the order in April 2021.
This order adds to several bookings that the company has secured in recent weeks including three respective POs for anibidiol® valued at CHF277,000 (A$401,4491) from current commercial partners.
The company expects to fulfil these orders during the current quarter, with the sale to be banked shortly after.
The total POs confirmed for delivery in H1 FY2021 now stand at a record of around A$1,055,2721 (CHF728,000).
“Highlights opportunity to scale”
Creso commercial director Jorge Wernli said: “We are very pleased with the recent developments and receipt of a number of purchase orders for both the anibidiol® and cannaQIX® product lines.
“These POs highlight the significant growth that we are witnessing for our offerings, across a range of large markets where there is considerable opportunity to scale.
“These new orders also underscore our ability to supply products in spite of very challenging circumstances which have developed as a result of the COVID-19 pandemic in a fast and flexible manner.
“Our capabilities to generate and deliver ongoing POs and deliver a record start to FY2021 leaves Creso in a very favourable position to capitalise on the fast-growing demand we are witnessing for our offering and the large market opportunity the health sector represents.”
Strong demand for product
Creso is witnessing strong demand for its products through Latin America and has recently secured regulatory approval for its animal health product line from the Ministry of Agriculture and Animal Feed in Uruguay through its commercial partner Adler Laboratories and also received an initial PO for anibidiol® valued at A$86,957 (CHF60,000) - which will be delivered around April 2021.
During January 2021, the company also finalised delivery of its second PO valued at A$318,841 (CHF220,000) for its cannaQIX® products from the South African subsidiary of Lupin International (NYSE:LUPIN), Pharma Dynamics.
These products were delivered during January, allowing Creso to bank the total value of the order.
The orders also underscore the company’s ability to navigate stringent regulatory requirements for marketing hemp products globally, as well as management’s ability to progress growth initiatives in difficult market conditions.
Creso Pharma is confident that further orders for the anibidiol® and cannaQIX® product lines will materialise in key markets.
The company also anticipates a number of orders from its wholly-owned Canadian subsidiary, Mernova Medical Inc. to materialise in the near term.