Kanabo Group Plc
("Kanabo" or the "Company")
MoU with Forbe Ltd
MoU to distribute CBD in Israel as Minister of Health announces CBD will be removed from the Dangerous Drugs Act
Kanabo Group Plc (LSE:KNB), the pan-European medical cannabis Company focussing on the development and distribution of cannabis-derived products for medical patients and wellness CBD consumers, announces it has signed a Memorandum of Understanding ("MoU") with Forbe Ltd for the sale of CBD products in Israel.
Forbe Ltd counts amongst its customers two of the largest national health providers in Israel (directly and indirectly) and the second largest pharmacy chain in the country.
Under the MoU, Kanabo will be responsible for procuring and processing CBD products according to regulatory guidelines and Forbe will be responsible for marketing, distribution and sales as well as acquiring the required licenses and import approvals. Forbe will work exclusively with Kanabo to distribute the products covered by the MoU.
CBD to be Excluded from the Dangerous Drugs Ordinance in Israel
The regulatory landscape for the sale of CBD in Israel is becoming increasingly positive following the announcement on 3 March 2022 by the Ministry of Health to exclude substances or products containing the CBD component from the Dangerous Drugs Ordinance.
Furthermore, the Minister of Health stated in his resolution that over the next two years, the Ministry of Health will promote research and development activities, alongside the development of regulatory capacity in the Ministry's departments, so that products containing CBD could be marketed in Israel.
Israel is therefore a significant addressable market for the Kanabo and Forbe collaboration with a deregulated market estimated to be worth up to US$475m in total by 2025 (according to a financial report from Deloitte, prepared for the Manufacturers Association of Israel).
Madonna Hovel, CEO of Forbe Ltd commented; "I am delighted to sign this MoU with Kanabo thereby taking us into the emerging CBD markets in Israel. Kanabo Group plc has deep domain expertise in procuring and processing high-quality CBD products. I'm proud of this collaboration between Forbe and Kanabo and I'm sure it will position Kanabo as CBD market leader by providing our customers' needs for high-quality products and services in this high growth market in Israel."
Avihu Tamir, CEO of Kannabo Group plc, added; "This MoU with Forbe Ltd is a key step in our stated strategy to become a leading Company within the CBD consumer markets. We see Forbe Ltd as a key strategic partner in Israel as we further develop and commercialise our CBD products for millions of customers."
For further information, please visit http://www.kanabogroup.com/ or contact the following:
| Kanabo Group Plc |
|
| Avihu Tamir, CEO | Via Vox Markets |
| Peterhouse Capital Ltd |
|
| Eran Zucker / Lauren Riley (Financial Adviser) | Tel: +44 (0)20 7469 0930 |
| Lucy Williams / Charles Goodfellow (Corporate Broker) | Tel: +44 (0)20 7469 0930 |
| Vox Markets (Investor Relations) |
|
| Kat Perez | KanaboGroup@voxmarkets.co.uk |
About Kanabo Group Plc
Kanabo Group Plc is creating a new standard in the medical cannabis industry to improve the well-being of millions of people around the world by providing a better alternative to the smoking of medicinal cannabis flowers. Kanabo, which was the first medicinal cannabis company to IPO on London Stock Exchange, has a focus on the distribution of cannabis-derived products for medical patients and non-THC products for CBD consumers. It has conducted extensive Research & Development to produce high-quality cannabis extract formulas, innovative medical-grade vaporizers, and various non-smoking consumption solutions. Kanabo sells a range of medical cannabis products and wellness CBD products in the Primary Markets, including its VapePod, which delivers a metered dose with every inhalation.
About Forbe Ltd
Forbe Ltd. ("Forbe") is a company focussed on the provision of nutritional supplements and associated medical devices for the consumer. Forbe was founded and is currently managed by Madonna Hovel, Vice President of the federation of the Israeli Chambers of Commerce (Tel Aviv & centre).
Reach is a non-regulatory news service. By using this service an issuer is confirming that the information contained within this announcement is of a non-regulatory nature. Reach announcements are identified with an orange label and the word “Reach” in the source column of the News Explorer pages of London Stock Exchange’s website so that they are distinguished from the RNS UK regulatory service. Other vendors subscribing for Reach press releases may use a different method to distinguish Reach announcements from UK regulatory news.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
