Creso Pharma pursuing animal health – a fast growing segment of the cannabis market
Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.
In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.
The below articles were written under our previous business model. We have kept these articles online here for your reference.
Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.
Click Here to View Latest Articles
Cannabis stocks had a challenging year in 2019, but signs are emerging that a change of fortunes is in-store for the sector and a number of listed cannabis companies already look to be turning the corner.
Over the longer term, there’s little doubt that the sector is primed for massive growth as legalisation continues to expand across the globe, the benefits of cannabis and hemp receives greater recognition, and market acceptance improves.
One market segment in particular is primed for significant growth — animal health. This is a market that was worth US$70 billion in 2019 and is projected to be among the fastest growing Cannabidiol (CBD) sectors.
The global veterinary CBD market is predicted to grow at a 123% annual rate (CAGR) in the years 2019 to 2025, says the latest Market Research Future report.
This massive size of this market and its anticipated growth can be attributed to the “the rising global trend of the ‘humanisation’ of pets,” according to Dr Miri Halperin Wernli.
Dr Halperin Wernli is the CEO and co-founder of Creso Pharma (ASX:CPH), an ASX listed medicinal cannabis company that develops and commercialises cannabis and hemp derived therapeutic, nutraceutical, and life style products for human and animal health.
Creso has commercialised anibidiol® Regular and anibidiol® Plus for small, medium-sized, and large pets to help reduce stress and aid in the functioning of the animals’ nervous systems.
Pet owners report that the product has also contributed to the management of pain and improved the vitality of their pets after just one week of use in addition to normal feed. The product does not get the dogs ‘high’ as it is non-psychoactive and there is no chance of overdose.
The products are produced in Switzerland and commercialised in collaboration with Virbac S.A. (EPA:VIRP) in more than ten European countries.
In a milestone achievement, the company has now sold over three million doses of its anibidiol® product since the product was launched in late 2017, while global sales of the product grew by approximately 700% in 2019.
These three million portion sachets of anibidiol® granules have benefited over 100,000 dogs in the less than two years since the product launched.
The impressive sales figures in Europe are paving the way for launches into additional countries on other continents including North and Latin America, where a growing need for natural complementary feed to help mitigate stress and improve the wellbeing of pets has been observed.
Furthermore, Creso Pharma has successfully developed three additional hemp-derived products to improve the wellbeing of pets. These are slated for launch later this year.
Responding to strong demand from veterinaries and pet owners, Creso, together with Virbac Switzerland, has also launched its new anibidiol® Oil 500 product — a lifecycle management enhancement for the anibidiol® range. Initially the product will be marketed in Switzerland, with other national markets being added throughout 2020.
This news comes on the back of other promising developments in 2020 as management pointed to numerous potential share price catalysts in the year ahead. With tangible developments likely to drive revenue growth in the near to medium-term it isn’t surprising that the company shares have rebounded sharply since its December lows.
Yet Animal Health is far from Creso Pharma’s only focus. The company has a diversified business model and a portfolio of 13 products that covers products for both humans and animals.
These products have been developed with standardised dosing and formulations through the application of pharmaceutical rigour, GMP (Good Manufacturing Practice) standards and innovative delivery technologies.
Of the 13 products, four have been commercialised, with nine pending commercialisation, while the company is considering new opportunities as it establishes itself in multiple global markets.
General Information Only
S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.
Conflicts of Interest Notice
S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.
Publication Notice and Disclaimer
The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.
Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.
This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.
