Australia’s THC Global (ASX:THC) has acquired an Australian clinic network with more than 1,100 active medical cannabis patients.
Tetra Health provides support to patients and medical practitioners. In terms of the latter, the network has more than 600 referring physicians across the country and 30 that can prescribe medicinal cannabis. It makes its money primarily though patient consultation fees and data that assists healthcare providers in making evidence-based treatment decisions.
Tetra Health says it has access to a number of difference medications that vary in cannabinoid content – and with the acquisition by THC Global, it will have more. However, it will remain a product-agnostic concern in the time ahead. Currently, doctors in Tetra’s network prescribe products from companies including Althea (ASX:AGH), MGC Pharma (ASX:MXC) and Little Green Pharma (ASX:LGP).
The future looks promising, with more than 10,000 prospective patients in its database and an addressable annual patient population in excess of 20,000.
“Through this acquisition, we will be able to rapidly increase the number of Australian patients can access cannabis, including our own high-quality low patient cost products,” said THC Global CEO Ken Charteris.
THC Global says it will be able to reduce costs of medical cannabis to Australian patients through cutting out intermediary markups and handling costs.
As well as expanding its current network of partnerships with private hospitals and medical centres here in Australia, the potential to launch Tetra in new regions including New Zealand will also be investigated. All staff currently associated with Tetra Health will be continuing on post-acquisition.
In other recent news from THC Global, its most recent quarterly update noted Q1 2020 cash receipts of over $1.2 million – more than 44% year on year growth. The company also stated its Australian produced TGA GMP medicinal cannabis products will be available for prescription to Australian patients sometime this month.
THC Global said its Australian operations have not been affected by COVID-19, and activities at its production facilities at Southport and Bundaberg in Queensland have continued with additional workplace safety measures in place. The Southport plant kicked off operations last year, producing Canndeo-branded CBD 25.