Next Investors logo grey

MXC plants first CBD crop in Europe

Published 16-JUN-2016 12:15 P.M.


2 minute read

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

MGC Pharmaceuticals (ASX:MXC) has announced the successful plantation of its first medical cannabis crop at the company’s growing farm in Ljubjana, Slovenia.

The test crop of the non-psychoactive Cannabis Sativa L strain is scheduled for harvest in Q3 2016.

Measuring 5000m2 in size, the test crop will be used to evaluate optimal growing methods testing key factors such as soil type, nutrients and growing conditions.

Quality control methods such as crop testing are in line with MXC’s goal to be a market leader in the production of medical cannabis products including cosmetics and medicinal raw materials.

With MXC receiving recent FDA approval for 16 of their cannabidol based anti-ageing cosmetic products and signing their first distribution deal in the US, followed by approval from Health Canada, the company is set to enter the multi-billion dollar cosmetic market with a unique product offering.

In 2014 the global cosmetics market topped $460 billion and is expected to reach $675 billion by 2020. With increasing demand for natural cosmetic products, MXC is well positioned to catch the wave of this growing trend.

At present MXC is seeking opportunities to license out its extensive genetics, breeding and growing know-how and has begun primary discussion with potential North American clients.

PANAX Pharma acquisition

Negotiations for the key acquisition of Czech based PANAX Pharma are nearing completion, which if successfully executed would see MXC gain access to PANAX’s state-of-the-art medical research facility at the Vukoz institute.

With PANAX having a cannabis license that carries far fewer THC restrictions, MXC will be able to carry out research on higher yielding THC strains without overreaching regulations experienced in other parts of the world.

This strategic acquirement will substantially enhance MXC’s capability to develop specific medical cannabis genetics and breeding protocols, development of specific medical cannabis strains and as well as enabling MXC to develop future medicinal cannabis products.

MXC expects its first full scale harvest in 2017, with commercial CBD extract production to follow shortly after.

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.