The cannabis oil company PharmaCielo Ltd., a Canadian company with its nursery and propagation centre located in Rionegro, Colombia, went public on the TSX January 18, 2019, at the beginning of what the new CEO, David Attard, expects to be “an exciting year for PharmaCielo shareholders.”
The company began trading on the TSX Venture Exchange (“TSXV” or “TSX Venture”) under the Ticker PCLO (TSXV:PCLO). The announcement that PharmaCielo was going public it was accompanied by an announcement that co-founder and interim CEO, Anthony Wile, would step down. Since then, Wile has returned to his role as CEO of Grupo Jaque Ltd., a private equity company in Medellin, Colombia. He remains a PharmaCielo shareholder, but his efforts are focused on other new ventures.
David Attard has been a member of PharmaCielo’s board since 2015 and is a former executive with President’s Choice Financial. He has 17 years of experience in the financial services industry and believes PharmaCielo, which specializes in processing and supplying all natural, medicinal-grade cannabis oil extracts, is on track to lead the industry world-wide.
“Global, consumer-facing companies are accustomed to supply chain partners that can provide inputs of consistently high quality, in large volume,” says Attard. “As the most sophisticated and scalable cannabis producer in South America, PharmaCielo is ready to meet these requirements and to create significant value for shareholders and partners, in the process.”
In one of his first acts as CEO, Attard appointed Dr. Delon Human as global head of health and innovation. A board member since 2016, Dr. Human is a published author, international lecturer and health care consultant specializing in global health strategy, corporate and product transformation, harm reduction and health communication.
In 2019, PharmaCielo plans to complete its 2,300 m2 GMP² certified Research and Technology Centre oil processing and product innovation facility. There, Dr. Human and his team will expand the development of partnerships with global end-product suppliers, while ensuring that they can meet the needs of these potential customers.
This year, the company will also register multiple cannabis strains and finalize relationships with distributors, manufacturers and international jurisdictions. Industrial cultivation facilities within or adjacent to indigenous communities will also commence in partnership, as PharmaCielo confirms its leadership in fulfilling licensed producer regulatory obligations to source 10% of THC dominant production from rural and indigenous communities.
PharmaCielo currently has approximately 6.0 hectares of open-air greenhouse under active cultivation at its nursery and propagation centre located in Rionegro, Colombia, and approximately 139 hectares of total current cultivation capacity. The company plans to steadily increase this area with a goal of cultivating approximately 20 hectares by the end of 2019, when it plans to place its first cannabis oil extracts on store shelves. They have been investing millions in the research and licenses needed to meet this target.
In Canada, so far the demand is growing. Health Canada reports that in November 2018, the total sales of cannabis oil increased 14% from the month before (from 6,838 litres to 7,805 litres). A December 2018 report from Deloitte indicates that medical cannabis in Canada is anticipated to generate $0.77 billion to $1.79 billion in sales in 2019.
With such a large medical market at stake, not only in Canada, but the world, PharmaCielo sees itself ready to meet the challenge.
“We are on strong footing as we launch scale production and sales in 2019,” says Attard. “The Company is already producing medicinal-grade cannabis oil, is well capitalized and has near-term revenue opportunities both in Colombia and target international jurisdictions.”