Phytocann Group and Pharmasimple are partnering to improve cannabis distribution and research and development.
Phytocann has acquired a 5 per cent equity stake in Belgium’s Pharmasimple – a company listed on Euronext Growth Paris – for €5m (~£4.20m).
The capital acquisition takes advantage of Phytocann’s expansion into Europe as the continent opens up its medical cannabis market, and the company has said that the strategic relationship opens up a new era for the distribution of cannabis products in pharmacies.
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The partnership will focus on research and development, with the aim of launching new ranges and products which are already being explored by the two entities. The unique products will be dedicated to Pharmasimple, including CBD oils and cosmetics, and research and tests are being carried out on new product innovations based on CBD and other non-psychotropic cannabinoids.
As a long-standing online pharmacy leader, Pharmasimple has been undergoing a business transformation for several months by diversifying its network of physical pharmacies. Having set itself the goal of 200 by 2025, 14 are already open and 15 are scheduled to open in 2022.
Brands belonging to Phytocann Group including Harvest Laboratoires, Ivory, Easy Weed and Herboristerie Alexandra, will be distributed both in shops and on the Pharmasimple website.
Phytocann has also emphasised that, with online sales of CBD being of crucial importance to the company, the partnership will enable it to create shared synergies and expand its online presence.
Phytocann has stated that this increase in capital lays the foundations for a medium-term IPO.
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