Avicanna Inc., an innovative, commercial-stage, and international biopharmaceutical company focused on the development, advancement, and commercialization of evidence-based, cannabinoid-based products, is pleased to provide fourth quarter 2021 results and highlights, as well as fiscal 2022 guidance.
Aras Azadian, CEO stated, “During 2021 we forged our path within the Canadian market and demonstrated our potential as a biopharmaceutical company with the commercialization of our proprietary wellness and medical products at a global level. We are optimistic about the early commercial success we have attained from our vertical integration which synergistically combines our sustainable input materials with our proprietary formulations to deliver a diverse portfolio of products competitively on the global stage.”
Q4 2021 Highlights and Guidance
- Projected record revenue of $1.3M, representing the fourth consecutive quarter over quarter increase of at least 30%.
- Projected total fiscal 2021 revenue of $3.3M, representing a 133% growth from $1.5M in 2020.
- 70,000 units of proprietary cannabinoid-based product sold across global channels, representing a 160% growth from Q3, resulting in124,000 units during 2021 versus 4,100 units in 2020.
- A total of 34 “cannabis 2.0” product listings across medical and adult-use channels in Canada, signifying an increase of 36% from the Q3-21.
- Total of 18 “cannabis 2.0” SKUs launched in Canada, through four brands which included the successful launch of Viola and re+Play brands during the quarter.
- Strengthened its position with the Medical Cannabis by Shoppers™ online portal with a total of 12 SKUs available to patients and the medical community by the end of fiscal 2021.
- The Company’s international distribution channels also progressed during the quarter with the opening of the Company’s 14th international market across four continents.
- The export and commercialization of its CBD skin care line Pura H&W™ in the United States and its medical cannabis brand RHO Phyto™ into the Caribbean region.
2022 Strategy and Guidance
2022 is expected to be a pivotal year for the Company, where it’s focus on commercial initiatives through its proprietary medical, wellness, skincare and pharmaceutical products are expected to yield more quantitative milestones across its international commercial channels.
- Projected $9M in consolidated revenue from global operations, which is expected to be led by the anticipated sales of approximately 300,000 units of proprietary cannabinoid-based products.
- Anticipated increase in the number of “cannabis 2.0” SKUs across all four brands, coupled with additional listings that are expected to reach 60 by the end of 2022 in Canada.
- Expected expansion of existing evidence-based products to new medical channels and market share in Canada, motivated by the initial successful outcome of the partnership with Medical Cannabis by Shoppers™.
The Company is very optimistic about the combination of its market-tested intellectual property with its Latin American operations, which are transforming into a global supply and manufacturing infrastructure for its active pharmaceutical ingredients (API) and finished products. This is further encouraged by the progressive regulations towards medical and pharmaceutical applications of cannabinoid-based products at a global level. It is expected that the Company’s international operations will achieve significant growth, fortify its brands, achieve operational efficiencies, and facilitate new international market entrances, all while advancing commercialization efforts in existing markets.
- Anticipated marketing authorization and commercialization of its first pharmaceutical preparation into three new international markets.
- Anticipated expansion of proprietary and evidence-based skincare and wellness topical products into new international markets including the United Kingdom, European Union, and South America.
- New international markets expected for Aureus™ branded raw-material business units, including its standardized seeds and API, while delivering to existing partners.
- Projected progression of innovation and advancements of its scientific platform, product pipeline and Intellectual property portfolio, which is expected to be further secured with the expected scientific evidence yielded through several clinical collaborations with leading Canadian institutions.
- Management expected to concentrate on further operational efficiencies and optimization of the Company’s commercial activities by focusing on strategic and market-tested business models with the aim of achieving self sufficiency towards the end of 2022.
Correction of Error in January 28, 2022 News Release
As previously announced in the Company’s news release dated January 28, 2022 (the “Closing Release”), the Company closed a non-brokered private placement (the “Offering”) of convertible debenture units of the Company (the “Units”), with each Unit consisting of an aggregate of $1,000 principal amount of secured subordinated convertible debentures and 545 common share purchase warrants, at a price of $800 per Unit, for aggregate gross proceeds to the Company of approximately $1,550,400. There were a total of 1,938 Units issued on January 28, 2022 in connection with the Offering, rather than 1,626 Units as erroneously stated in the Closing Release.
About Avicanna Inc.
Avicanna is an innovative, commercial-stage, and international biopharmaceutical company focused on the development, advancement, and commercialization of evidence-based cannabinoid-based products for the global consumer, as well as medical and pharmaceutical market segments. In leading global cannabinoid advancements, Avicanna conducts most of its research in Canada at its R&D headquarters in the Johnson & Johnson Innovation Centre, JLABS @ Toronto, located in the MaRS Discovery District. The Company actively collaborates with leading Canadian academic and medical institutions. For more information about Avicanna, visit www.avicanna.com, contact Ivana Maric by email at info@avicanna.com or follow us on social media on LinkedIn, Twitter, Facebook or Instagram.
The Company posts updates through videos from the official Company YouTube channel https://www.youtube.com/channel/UCFXPBGdKSxOUOf_VZoSFSUA.
