Source: © Saletomic | Megapixl.com
- Creso Pharma has launched its three new hemp-derived tea products under the cannaQIX® brand.
- The Company will sell the new CBD-based tea products to its existing distribution network in Switzerland.
- Following the German Federal Court’s favourable decision, Creso is looking to launch its new tea products in Germany as well.
Creso Pharma Limited (ASX:CPH, FRA:1X8) has announced the rollout of its proprietary CBD-based tea products in Switzerland, with more European markets set aside for expansion.
The Company has launched three new tea products under its cannaQIX® brand. The hemp-based products include cannaQIX® NITE tea, cannaQIX® tea, and cannaQIX® Immunity tea.
Creso’s ground-breaking technological achievement
The latest products have been manufactured based on a new 2nd generation pioneering technology. This technology is focused on improving the CBD content in compliance with regulations and gives the products a better taste.
The development of the new products is an inventive technological achievement for Creso. Besides, the new technology provides a significant competitive advantage to the Company.
Creso will now advance this new revolutionary technology for the manufacturing of cannaQIX® lozenges in the future.
Source: CPH Announcement, 1 April 2021
Leveraging established distribution network
Creso Pharma has completed all the necessary legal and regulatory due diligence, and the Company can now legally market and sell its new CBD-based tea products throughout Switzerland.
This will also leverage Creso’s established distribution network, which comprises more than 2,100 points of sales in Switzerland, where the Company is already selling its cannaQIX® products. The distribution networks include pharmacies, health nutrition shops, pharmacy networks, and major retail groups, including Manor.
Notably, Creso Pharma also supplies its products to all major wholesalers in Switzerland, including Amedis, Galexis, and Voigt. The distribution networks provide Creso with an established footprint that de-risks the new products’ rollout substantially.
CPH eyes launch of new hemp tea products in Germany
Recently, Germany’s Federal Court of Justice announced the decision to annul previous charges against hemp tea sellers. The charges had temporarily delayed the launch of Creso’s new tea products in Germany, scheduled for Q3 2020.
However, the Federal Court’s decision has cleared the path for the Company to launch its new tea products in Germany. The favourable decision has removed ambiguity regarding the guidelines related to the sale of food products based on hemp flowers and leaves in Germany. Now, CPH anticipates actively marketing and selling its CBD-based tea products in Germany without any regulatory obstacles.
Entry in other European markets
Interestingly, on the successful rollout of its new cannaQIX® products in both countries, the Company will explore the new expansion opportunities to introduce its products into other European markets. Creso Pharma will undertake the required due diligence for the sale legality in each new jurisdiction, in line with its standard practices.
Furthermore, CPH anticipates that consumers will well accept its new hemp-derived tea products.
Commenting on the launch, Commercial & Development Director of Creso, Dr Gian Trepp, said:
Creso Pharma is well financed to expand its proprietary technologies into new verticals, with other significant initiatives and revenue-generating products for human and animal health currently under development. The Company anticipates launching additional products shortly.
On 7 April 2021, CPH shares were trading at A$0.200 (at AEST 12:33 PM).