DanCann Pharma A/S: A strengthened market position after an impressive H2-2022

COPENHAGEN, Denmark, 14 December 2022 - DanCann Pharma A/S (SS: DANCAN) ("DanCann Pharma" or the "Company"), a Danish company powered by cannabinoids, hereby announces that the Company is ready to fulfill its great ambitions after a successful half year.

Since the beginning of September, DanCann Pharma has carried out a rights issue and hereby secured another DKK 22 million, has closed export agreements for more than DKK 80 million, has been EU-GMP certified for the production of medical cannabis, has been given the green light for the relocation of the subsidiary CannGros and has been side listed on OTCQB Venture Market in the USA. Things have developed strongly for the ambitious bio-pharma Company.

Among other things, the Company has achieved the following during the second half of 2022:

• EU-GMP certification of Biotech Pharm1 (BP1) from the Danish Medicines Agency
  • Established a strong Quality Assurance (QA) setup
• Closed deals worth more than DKK 80 million for its biomaterial production for the next 3 years:
  • DKK 40 million with WEECO Pharma GmbH
  • DKK 41 million with Storkpharm Sp. z.o.o
• Raised additional approx. DKK 22 million for the further development of the Company and also write-down of its current loan facility
• Approval of the Company's subsidiary CannGros ApS and its new facilities in Ansager for even more lean production
  • Increasing interest and revenue in CannGros
  • Established a strong commercial department of CannGros and DanCann Pharma for sales and business development
  • Established its Regulatory Affairs (RA) function in CannGros
• Approval of its side listing on the OTCQB Venture Market in the USA

Since its foundation in 2018, DanCann Pharma has taken massive steps towards establishing itself as a manufacturer and distributor of products on the medicinal cannabis market. The first major milestone was passed when the Company pressed the start button in April 2021 in the high-tech production facilities Biotech Pharm1, where the biomaterial produced has since been tested and analyzed. With the Danish Medicines Agency's certification (EU-GMP), DanCann Pharma can soon - after its product validation and subsequent approval for release - move into actual commercial production.

Jeppe Krog Rasmussen, founder and CEO of DanCann Pharma, comments:

- We are now one of a limited number of companies in our industry that have achieved this certification, which is very satisfying. When the sale of products from Biotech Pharm1 becomes a reality within a short time, we will soon be able to fulfill our obligations in the commercial part of the business, where we already have signed agreements worth more than DKK 80 million until 2025,

DanCann Pharma is looking into a new reality, now that both capital increase, EU-GMP certification and share listing in the USA have been ticked off. The DanCann Pharma CEO is pleased with the organization's strengthened foundation and looks forward to being able to deliver results in the coming years and to repay the trust that the Company's many loyal investors have shown over the past four years, during which DanCann Pharma has developed from an exciting development project to an operating company.

Jeppe Krog Rasmussen elaborates:

- The approval of Biotech Pharm1 means that we can soon start the production of biomaterial for export to partners in Germany and Poland, and the listing on the US OTCQB Venture Market opens for interested investors from the US to trade in US dollars within US opening hours.

When DanCann Pharma went public in November 2020, it was on the Swedish Spotlight Stock Exchange. Here, investors will still be able to trade in the share, as the listing in the US is a side listing. And DanCann Pharma is currently one of only two Spotlight-listed companies to have made such a move.

Jeppe Krog Rasmussen concludes:

- The choice of the American OTCQB Venture Market is definitely deliberate. Over time, we have received a number of inquiries from potential investors in the USA, which we aim to meet. We have ambitions to work with the composition of our investors in the future, which until now has primarily consisted of retail investors. In the future, we want to increasingly address professional investors, such as semi-institutional and, in the long term, institutional investors, and we believe that the listing in the US can contribute to that.

About DanCann Pharma

DanCann Pharma A/S (SS: DANCAN) was founded in 2018 and is a Danish biopharmaceutical Company powered by cannabinoids. DanCann Pharma is a vertically integrated, licensed production and distribution Company. The Company focuses on discovering, developing, manufacturing, and commercializing new therapeutic cannabinoids in a wide range of disease areas. DanCann Pharma is EU-GMP-approved by the Danish Medicines Agency under the Danish Pilot Programme for medical cannabis, and have, among other things, license for manufacturing, export, import and distribution.

The Company has an ambition to deliver a qualified and standardized product - prepared according to standards that apply in the manufacture of conventional medicine. The DanCann Pharma group also owns the subsidiary CannGros ApS, which is the market leader in Denmark with the import and distribution of the products Bedrocan®, Bedica® and Bediol® to all the Danish pharmacies.

DanCann Pharma A/S (SS: DANCAN) is listed on the Spotlight Stock Market in Copenhagen/Stockholm and sidelisted on OTCQB Venture Market in USA (DCPXF).

For more information, visit: www.dancann.com  

For further information, please contact:

Jeppe Krog Rasmussen, CEO

E-mail: [email protected]  

Website: www.dancann.com  

Disclaimer

Some statements in this release may contain forward-looking information. All statements, other than of historical fact, that address activities, events, or developments that the Company believes, expects, or anticipates will or may occur in the future (including, without limitation, statements regarding potential acquisitions and financings) are forward-looking statements. Forward-looking statements are generally identifiable by use of the words "may", "will", "should", "continue", "expect", "anticipate", "estimate", "believe", "intend", "plan" or "project" or the negative of these words or other variations on these words or comparable terminology.

Forward-looking statements are subject to several risks and uncertainties, many of which are beyond the Company's ability to control or predict, that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements. Factors that could cause actual results or events to differ materially from current expectations include, among other things, without limitation, the inability of the Company, to obtain sufficient financing to execute the Company’s business plan; competition; regulation and anticipated and unanticipated costs and delays, the success of the Company’s research strategies, the applicability of the discoveries made therein, the successful and timely completion and uncertainties related to the regulatory process, the timing and outcomes of regulatory or intellectual property decisions and other risks disclosed in the Company's public disclosure record on file with the relevant securities regulatory authorities.

Although the Company has attempted to identify important factors that could cause actual results or events to differ materially from those described in forward-looking statements, there may be other factors that cause results or events not to be as anticipated, estimated or intended. Readers should not place undue reliance on forward-looking statements. The forward-looking statements included in this presentation are made as of the date of this presentation and the Company does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.