Adastra Holdings (CSE:XTRX, FRA:D2EA) Ltd. - formerly Phyto Extractions Inc. - said its wholly-owned subsidiary Adastra Labs Inc. has received acceptance of its application for a Controlled Drugs and Substances Dealer's License by Health Canada.
The company said Health Canada is now formally reviewing the application. Health Canada has advised that it commits to 270 calendar days from the date of receipt for processing these applications and expects to finish the review of Adastra's application by March 2022.
In a statement, Donald Dinsmore, COO of Adasta commented: "Adastra Labs' laboratory is perfectly positioned to conduct groundbreaking research into psychedelic formulations and testing due to the existing GMP-compliant construction, security and our proven track record operating in the cannabis sector. With this infrastructure in place, securing a Controlled Drugs and Substances Dealer's License a logical next step for the Company. Putting quality first throughout, our processes will allow us to serve the emerging medical market for these substances."
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A Health Canada dealer's license would permit Adastra to perform the following activities:
- Procure controlled substances, including by import, synthesis, propagation, cultivation, and harvesting of psychedelic mushrooms for Psilocybin extraction;
- Research and manufacture controlled substances such as Psilocybin and Psilocin;
- Business-to-business sale of controlled substances, including by export; and
- Sale of controlled substances via pharmacies.
Known for its renowned cannabis concentrate products, Adastra has now successfully taken the first steps to become a licensed cultivator, tester, extractor, and seller of controlled substances, including Psilocybin, Psilocin, MDMA, N, N-Dimethyltryptamine (DMT), 5-MeO-DMT, and LSD.
When the dealer's license is formally approved, Adastra Labs expects to conduct the majority of this work out of its 13,500 square foot, state-of-the-art extraction, and production facility located in Langley, British Columbia.
The company expects that having the ability to do extraction research and development into psychedelic compounds will prepare it to collaborate with partners such as medical doctors, pharmaceutical companies, and pharmacies as clinical trials lead to the legalization of psychedelics and the advancement of micro-dosing in the near future.
Michael Forbes, CEO of Adastra commented: "Ongoing research into compounds like Psilocybin has demonstrated that there may be significant positive impacts when psychedelics are used to treat mental health issues such as PTSD, anxiety, depression, and even migraines.
"With our team's extensive background in plant biochemistry, pharmacology, and chemistry, as well as clear indications of changing societal and regulatory environments regarding psychedelic treatments for mental health issues, it is clear that Adastra is well-suited to enter into the psychedelic space."
Submission of the company's dealer's llcence application is subject to compliance with applicable securities laws, including any necessary approvals by the CSE.
Founded in 2014, Adastra Holdings (CSE:XTRX, FRA:D2EA) Ltd. has built a successful reputation as a household name in cannabis concentrates among consumers and retailers alike. Adastra Labs Inc. was founded in 2018 and is an agricultural-scale cannabis extraction, distillation, and product manufacturer.
The company producing and distributes cannabis-derived products designed for medical cannabis and forward-looking therapeutic use. As a leading supplier, Adastra Holdings (CSE:XTRX, FRA:D2EA) currently distributes its product line to 1400-plus adult-use retailers and a web-based medical platform, CannMart Inc., seeking to provide consistent, quality concentrate products and alternative treatment options across the country to patients.
Contact the author at jon.hopkins@proactiveinvestors.com