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Pharma & Biotech

MGC Pharmaceuticals says AMC Holdings places first order under US$24mln supply deal

The US$3mln purchase order is for CimetrA, MGC’s curcumin and Boswellia compound, which has shown early promise in treating the symptoms of COVID-19

MGC Pharmaceuticals Ltd (LSE:MXC, OTC:MGCLF, ASX:MXC) said its partner AMC Holdings placed its first order a little over a month after signing a supply deal worth up to US$24mln over the next three years.

The US$3mln purchase order is for CimetrA, MGC’s curcumin and Boswellia compound, which has shown early promise in treating the symptoms of Coronavirus (COVID-19).

At 110,000 units of CimetrA, this is the biggest single order the company has received for the product to date.

In the same announcement, investors were told that AMC, which supplies the scientific and medical research community in the US, has committed to providing MGC with a US$2mln letter of credit.

MGC managing director Roby Zomer said: "The receipt of the first year US$3mln purchase order for CimetrA from AMC firmly establishes our exciting partnership and MGC Pharma's expansion into the USA market for our unique phytomedicines.

“The agreement will provide a foundation for further clinical research and development of our products and enable access for US patients to have access to our products in the immediate future."

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