- Science-focused cannabis company developing analytical testing, processing, and formulation capability in Canada
- Also research, cultivation, extraction, import, distribution, and manufacturing in Germany
- Operates from a decommissioned German Air Force command center and nuclear bunker
What XPhyto does:
XPhyto Therapeutics Corp.(CSE:XPHY) is a science-focused cannabis company developing analytical testing, processing, and formulation capability in Canada and research, cultivation, extraction, import, distribution, and manufacturing in Germany.
The firm has two exclusive 5-year engagements with the Faculty of Pharmacy at a major Canadian university to provide certified analytical testing capability, as well as extraction, isolation, and formulation facilities, and drug research and development expertise.
XPhyto has also acquired 100% ownership of the German cannabis company Bunker Pflanzenextrakte GmbH. The company operates from a decommissioned German Air Force command center and nuclear bunker near Munich, hence its name, which is the largest cannabis laboratory in Germany.
Europe’s biggest economy is projected to have one of the highest growth rates in the world for a cannabis market, with a 76.8% compound annual growth rate to reach $1.6 billion by 2022, according to research by Arcview.
The firm listed on the Canadian Securities Exchange (CSE) on August 6 under the trading symbol ‘XPHY’, with its shares currently trading at $1.20 each, giving it a market cap of around C$56.5million.
How’s it doing:
On July 30, Xphyto revealed that the German Federal Institute for Drugs and Medical Devices (BfArM) has granted Bunker Pflanzenextrakte a cannabis cultivation and extraction licence for scientific purposes.
XPhyto said that, subject to meeting BfArM security requirements, the licence is valid and authorizes the company to cultivate and extract up to 70 different strains of Cannabis sativa and indica for scientific purposes at Bunker’s high-security facility located in a monitored security area in Bavaria, in the south of Germany.
Robert Barth, VP European Corporate Development of XPhyto and Managing Director of Bunker commented: “Germany is emerging as the largest legal medical cannabis market in the world and we expect it to grow to be a multi-billion dollar industry within five years. XPhyto is well positioned as a first-mover in this exciting market.”
- Facility buildout in Germany should be accomplished in the next 6-12 months
- Acquiring a narcotics importer/wholesaler is high on list of priorities
- Or alternatively, securing licenses for themselves, and building out European distribution.
- In Canada, focus on commissioning of extraction facility in ISO-certified cleanroom in the University of Alberta
- Getting to work on some of its proprietary formulas, followed by clinical validation.
What the boss says:
Hugh Rogers, XPhyto’s CEO commented at the time of the company’s stock market debut on August 6: "Trading on the CSE is a significant corporate milestone on our way to becoming a major player in the next wave of cannabis investment opportunities.
"With Xphyto's recently announced German cannabis cultivation and extraction licence, and its certified R&D processing and formulation capability coming on-line in Canada, the Xphyto team is strongly positioned to exec