DanCann Pharma A/S targeting annual revenue of approx. DKK 60-100 million – and with several new partner agreements in the pipeline

COPENHAGEN, Denmark, November 1, 2022 - DanCann Pharma A/S (SS: DANCAN) ("DanCann Pharma" or the “Company”), a Danish company powered by cannabinoids, hereby announces that the Company is in talk and negotiations with a number of new international partners as a further addition to the WEECO Pharma GmbH (“WEECO Pharma”) agreement, which DanCann Pharma signed in August.

DanCann Pharma expects to hit its commercial breakthrough with increased sales activities following the expected approval of the production facilities in Q4 2022, breakeven during 2024 and an expected revenue in 2025–2027 of DKK 60-100 million annually, based on its two legs of the business around biomaterial and import/export of medical cannabis products to the European market. With distribution in the Company’s identified future core markets (Denmark, Germany, Poland, the UK, and Israel).

WEECO Pharma is one of the leading importers and distributors of medicinal cannabis in Germany, with a distribution network in the country that includes direct connections to pharmacies, cannabis suppliers, and distributors, as well as several pharmaceutical wholesalers. Over the last five years WEECO Pharma has partnered with most leading cannabis firms and has become one of the key players in the cannabis industry in Germany and Europe.

WEECO Pharma will purchase, import, package, market, and distribute the products from DanCann Pharma to the European medicinal cannabis marketplace. The agreement is non-exclusive for the products with a binding commitment of approx. DKK 40 million for a three-year period. 

The two companies expect the first shipment to commence during May-2023, after DanCann Pharma have obtained all necessary approvals and documentation in the matter of the stability for the products. DanCann Pharma expect to receive the EU-GMP approval from the Danish Medical Agency in Q4 2022.

Jeppe Krog Rasmussen, CEO of DanCann Pharma, comments:

- This is one of our first major binding deals, but far from the last. We are very pleased with this, and it is something that we have been working on for a long time. DanCann Pharma is now entering the “commercial-phase-change” after having invested significantly in our production facilities Biotech Pharm1. Success in Germany, the largest market for medical cannabis in Europe and globally, is the path to success in Europe.

According to the DanCann Pharma CEO, the WEECO Pharma-agreement must be seen as a bridgehead towards future supply agreements. And the Company is well under way in negotiations with interested parties on various European markets.

Jeppe Krog Rasmussen elaborates:

- Showing the DanCann Pharma flag through WEECO Pharma's strong distribution network and medicinal cannabis sales team will ensure that we become a significant supplier to the German market. Our production for 2023 will solely be distributed to Germany with this arrangement (WEECO Pharma), but with that said, it is important to emphasize that this agreement is just one of future many, which is why our shareholders can expect similar initiatives and news about partnerships in the near future, when we strive to fill the book with strong European partners for the European medicinal cannabis market.

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 based in Denmark. The Company focuses on discovering, developing, manufacturing, and commercializing new therapeutic cannabinoids in a wide range of disease areas.

DanCann Pharma A/S (SS: DANCAN) is listed on the Spotlight Stock Market in Copenhagen.

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.