Zelira Therapeutics Ltd (ASX:ZLD, OTCQB:ZLDAF) is expanding into the growing New Zealand cannabinoid-based medicines market by way of a five-year exclusive distribution agreement with NUBU Pharmaceuticals.
The agreement with NZ’s largest medicinal cannabis distribution company furthers Zelira’s global commercialisation strategy to grow the global footprint of its Pharmaceutical (Rx) portfolio.
It expands the availability of Zenivol®, Zelira’s clinically validated cannabinoid-based insomnia medication, beyond Australia and Germany, and HOPE™ beyond Australia and the US, into the highly regulated and tightly held NZ market.
Aligns to expansion strategy
Zelira Therapeutics managing director Dr Oludare Odumosu said: “Our partnership agreement with NUBU aligns to Zelira’s global expansion strategy across our Rx (Pharmaceutical) portfolio.
"We are delighted to be partnering with NUBU, New Zealand’s largest medicinal cannabis distribution company, with existing strategic partnerships already in place with many of New Zealand’s largest pharmacy groups.
"Zelira’s entry into the highly-regulated New Zealand medicinal cannabis market is further testament of Zelira’s world-class pharmaceutical manufacturing and commitment to producing the highest quality, evidence-based cannabinoid medicines.”
Minimum order quantities
The exclusive agreement with NUBU includes minimum order quantities totalling more than A$2.6 million (with A$178,000 in Year 1) for New Zealand over a five-year term.
NUBU will be filing for formal New Zealand government registration with the Ministry of Health NZ for Zenivol® and HOPE™1.
“Welcome addition”
“The team at NUBU are incredibly excited about bringing Zelira’s evidence-based medicines to New Zealand patients," NUBU chief executive officer Mark Dye said.
"Although there is no shortage of interest in medicinal cannabis here in New Zealand, there is a lack of data.
"Prescribers especially are calling out for clinical evidence so as they can prescribe with confidence, and the arrival of Hope and Zenivol (along with the associated research) will be welcome addition to the medicinal cannabis landscape.”
Agreement terms
Key terms of the distribution agreement include:
- Commencement date of December 16, 2021, and a term of five years;
- Supply of finished dosages of Zenivol® and HOPE™1 from Australia to New Zealand;
- NUBU will distribute products under the Zelira brand in New Zealand;
- To retain exclusivity, NUBU is required to purchase annual minimum quantities of Zenivol® and HOPE™1 totalling over A$2.6 million (with A$178,000 in Year 1) for New Zealand over the five-year term of the distribution agreement; and
- As is usual in such agreements, the distribution agreement can be terminated when one party fails to perform by either party giving 30 days written notice.
This agreement further validates Zelira’s expertise in pharmaceutical quality production and commitment to clinically validated cannabinoid-based medicines.
Partnerships with New Zealand’s largest pharmaceutical wholesalers ensure maximum accessibility and hassle-free prescription fulfilment for doctors and patients across the country via New Zealand’s major pharmacy networks.
About Zelira
Zelira Therapeutics is a leading global biopharmaceutical company manufacturing and marketing cannabinoid-based medicines.
The company owns a portfolio of proprietary revenue-generating products and a pipeline of candidates undergoing clinical development that are positioned to access the world’s largest and fastest-growing markets.
Zelira is focused on developing and clinically validating branded cannabinoid-based medicines for the treatment of a variety of medical conditions in its Rx business, including insomnia, autism and chronic non-cancer pain as well as offering over the counter (OTC) products.
The company has two proprietary formulations under the HOPE™ brand that are generating revenues in Australia, Louisiana and Washington DC with other states in the US expected to follow.
Zelira is also generating revenue in Australia and Germany from its proprietary and patented Zenivol® - a leading cannabinoid-based medicine for the treatment of chronic insomnia.
Zenivol® has successfully completed the world’s first cannabinoid-based efficacy trial for chronic insomnia where it was found to be a safe and effective treatment. This clinical trial was published in the prestigious peer-reviewed journal SLEEP®.
About NUBU
Formed in 2016, NUBU Pharmaceuticals is now New Zealand’s largest medicinal cannabis distributor, with a growing portfolio of medicinal cannabis products and associated medical devices for New Zealand patients.
NUBU also develops New Zealand-made cannabis products for export markets, harnessing two of New Zealand’s great strengths, its innovative culture and unique botanicals.