Australia: Chemist Warehouse and Cannatrek do medical cannabis deal

AFR Report…

Chemist Warehouse, Australia’s largest pharmacy chain, will be able to supply low-dose cannabidiol (CBD) products to the masses thanks to an exclusive supply deal with medicinal cannabis company Cannatrek.

CBD products are used to treat conditions such as inflammation, anxiety, insomnia and chronic pain. It is a non-psychoactive cannabinoid, meaning it does not induce the “high” associated with cannabis.

Chemist Warehouse co-founder Jack Gance and Cannatrek CEO Tommy Huppert (wearing hat) have formed a partnership to develop and sell cannabinoid products. Tash Sorensen

Speaking to The Australian Financial Review, Chemist Warehouse founder Jack Gance said the deal involved Chemist Warehouse receiving equity in Cannatrek, which he believed would result in a better outcome for both companies, as well as consumers.

“We looked at 20 suppliers [of medical cannabis] and chose Cannatrek because they grow the product, they know the market and … they’re effective and efficient,” he said.

“We had a situation where they were the right people to do business with and we get equity in the business, so the more we build up the business, the more benefit we get from the equity. Consumers also win because we’re able to offer the best prices.

Read full report at. https://www.afr.com/companies/healthcare-and-fitness/chemist-warehouse-and-cannatrek-do-medical-cannabis-deal-20210201-p56yhg

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