VANCOUVER, British Columbia, Dec. 22, 2017 (GLOBE NEWSWIRE) -- via NetworkNewsWire – Pivot Pharmaceuticals Inc. (CSE:PVOT) (OTCQB:PVOTF) (“Pivot” or the “Company”), and its wholly-owned medical cannabis products division, Pivot Green Stream Health Solutions Inc. (“PGS” or “Pivot Green Stream”), are pleased to announce that Pivot has signed a binding letter of intent to establish a California-based entity (“PGS-California”) in order to accelerate the monetization of the Ready To Infuse Cannabis (“RTIC”) technology as previously announced on December 20, 2017. Pivot plans to build manufacturing facilities in legal cannabis markets throughout North America and Europe, obtain the necessary licensures, and launch products using RTIC technology which transforms cannabis oil into powder for infusion. The letter of intent is subject to customary conditions including regulatory approval, the negotiation of a definitive agreement and satisfactory completion of due diligence.
Pivot seeks to gain market share in the food and beverage segment of the cannabis industry in legal markets in the near term through in-house brand development and by providing co-packing services for other edible brands through strategic partnerships. Co-packing services are an underserved, high-demand segment of the cannabis industry on the B2B side and will help further the awareness and visibility of the “Made with Instant THC” & “Made with Instant CBD” brands.
Pivot will appoint Ross Franklin and Patrick Rolfes to executive leadership roles within PGS-California to help execute its business strategy of conducting research, development and commercialization of cannabinoid-based products. Mr. Rolfes states that “Pat and I look forward to working with Pivot to monetize the RTIC patents. Our facilities will be able to produce a variety of food and beverage products such as capsules, K-Cups, stick packs, baked mixes, liquid shots, protein shakes, topicals, lotions, and bottle beverages.”
Dr. Patrick Frankham, CEO of Pivot Pharmaceuticals, stated that “Pivot continues to execute on its business strategy to upscale cannabis oils into premium healthcare and nutritional products. The California cannabis market is estimated to be worth $7B annually making it an attractive territory for Pivot’s pipeline of products and technologies. We are also delighted to announce that Ross Franklin will join our Scientific Advisory Board. His extensive cannabis product development and commercial expertise will be a great asset to Pivot as we enter the US market.”
Following the passing of Adult Use of Marijuana Act (Prop. 64), cannabis will be legal in California beginning January 1, 2018. California's main regulatory agencies are the Bureau of Cannabis Control (BCC), Department of Food and Agriculture, Department of Public Health and Cannabis Regulatory Authority (CRA). PGS-California will apply for all necessary licenses with the appropriate agencies.
About Pivot Pharmaceuticals Inc.
Pivot Pharmaceuticals Inc. is an emerging biopharmaceutical company engaged in the development and commercialization of therapeutic pharmaceuticals and nutraceuticals using innovative drug delivery platform technologies. Pivot’s wholly-owned medical cannabis products division, Pivot Green Stream Health Solutions Inc. (“PGS” or “Pivot Green Stream”), conducts research, development and commercialization of cannabinoid-based nutraceuticals and pharmaceuticals. PGS has acquired worldwide rights to BiPhasix™ Transdermal Drug Delivery platform technology (topical), Solmic Solubilisation technology (oral) and Thrudermic Transdermal Nanotechnology (transdermal) for the delivery and commercialization of cannabinoid, cannabidiol (CBD), and tetrahydrocannabinol (THC)-based products. PGS’ initial product development candidates will include topical treatments for women’s sexual dysfunction (PGS-N005), as well as psoriasis (PGS-N007), and an oral product (PGS-N001) for cancer supportive care. For more information please visit www.PivotPharma.com
Cautionary Statement
Except for historical information contained herein, the matters set forth above may be forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ from those in the forward-looking statements. Words such as anticipate, believe, estimate, expect, intend, and similar expressions, as they relate to Pivot or Pivot Green Stream, or its management, identify forward-looking statements. Such forward-looking statements are based on the current beliefs of management, as well as assumptions made by and information currently available to management. Pivot’s ability to build manufacturing facilities, obtain the necessary licensing and launch products using RTIC technology is dependent upon numerous factors, many of which are beyond the control of Pivot, including receiving the necessary regulatory approvals. Pivot’s ability to gain market share is dependent upon the market accepting its products over those of its competitors, some of whom are better funded than Pivot. Cannabis remains illegal under U.S. federal law and the approach to enforcement of U.S. federal laws against marijuana is subject to change. As a result, Pivot faces a risk of adverse enforcement action. Pivot’s access to public and private capital in the United States could also be restricted. Certain securities exchanges in Canada are reviewing entities in Canada that have operations in the United States and may take action against such entities if they are found to be violating U.S. federal law. As a result of the foregoing, actual results could differ materially from those contemplated by the forward-looking statements as a result of the foregoing factors and certain other factors, such as the failure to meet the conditions imposed by the regulators, the level of business and consumer spending, the amount of sales of Pivot's products, the competitive environment within the industry, the ability of Pivot to continue to expand its operations, the level of costs incurred in connection with Pivot's expansion efforts, economic conditions in the industry, and the financial strength of Pivot's customers and suppliers. Pivot does not undertake any obligation to update such forward-looking statements. Investors are also directed to consider all other risks and uncertainties.
Company Contact:
Pivot Pharmaceuticals Inc.
Patrick Frankham, PhD, MBA
Chief Executive Officer
Tel: (514) 943-1899
Email: Info@PivotPharma.com
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