Hellenic Dynamics
Hellenic Dynamics is facing down its second petition for compulsory liquidation this year as it continues to endure funding delays.
This week, Hellenic published an update to investors stating that a new petition for compulsory liquidation had been filed on November 01 by a shareholder.
According to the petition, which is now due to be heard in the High Court on December 18, Hellenic owes £32,274.26.
However, Hellenic’s directors are pushing back on the petition, claiming that as the petitioner is not a creditor of the company, the petition ‘amounts to an abuse of the process of the High Court’.
As such, Hellenic will be making an application for the petition to be dismissed.
This marks the second such petition to be filed against the company this year, after Hellenic avoided compulsory liquidation in August after reaching a payment agreement with creditor Hill Dickinson LLP.
Hill Dickinson had filed a ‘winding-up’ petition due to an outstanding debt of £85k, but Hellenic secured two small loans from directors, enabling it to make an initial payment and establish a repayment schedule.
The situation underscores the company’s precarious financial position, as it also waits on a €1 million loan initially announced back in April 2024.
The loan, with a 3.5% annual interest rate, was initially intended to be used for working capital and expanding cultivation capacity at Hellenic’s facility in northern Greece.
Following repeated delays, it stated that it was unable to publish its FY24 results by 31 July 2024, seeing its stocks suspended from the London Stock Exchange in August, which are yet to be reinstated.
Last week, Hellenic issued another update on the illusive loan, stating that ‘despite continued reassurances from the lender, the loan has not been received’.
It added that there was ‘no certainty that the loan will be received’, or on what date this could be expected, and it is now exploring alternative financing options.
Synbiotic
German hemp and cannabis buy-and-build group Synbiotic announced the latest addition to its considerable roster this week, following the acquisition of a 50.2% stake in Greensby.
Greensby, a European platform designed to connect patients, pharmacies, telemedicine providers, and consumers in the hemp and cannabis market, will now be integrated into Synbiotic’s platform.
As such, Greensby will expand to include hemp products and cultivation accessories for recreational cannabis, offering up to 4,000 products. As one of the largest comparison portals for medicinal cannabis in Europe, Greensby allows users to compare prices, access strain-specific data, and view batch-dependent cannabinoid and terpene profiles.
“Greensby unites all the needs of the hemp and cannabis industry on a single platform,” said Emilio Ropero, CCO of Synbiotic. “We are creating an interface to optimally serve all market participants, from patients to consumers.”
The deal involves a capital increase within SynBiotic, where greensby shareholders will receive 37,000 new shares in SynBiotic, valued at €259,000.
News of the acquisition came just over a week after it announced that its acquisition of Weeco Pharma, completed in May, was baring fruit.
The German importer and wholesaler of medicinal cannabis, has reportedly proven to be highly successful. By the end of October 2024, Weeco had already achieved €6.75 million in sales, surpassing its annual target. The company now projects over €8 million in revenue for the full year 2024. As a result, sales forecasts for 2025 and 2026 will be revised upwards in the coming weeks.
Daniel Kruse, Managing Director of SynBiotic, highlighted Weeco’s rapid value growth, describing it as a ‘real asset’ for investors. He added that SynBiotic’s focus for the next 18 months will be on the growing medicinal cannabis market, with plans for further acquisitions in cultivation and supply chain operations.
SynBiotic is also reportedly using this momentum to attract potential investors through an extensive November roadshow, showcasing the success of Weeco and the group’s broader growth
Stenocare
After being forced to reduce its sales forecast for the full year twice in recent months, Stenocare has announced plans to offload its cultivation business.
This week, the Danish medical cannabis company, announced plans to pursue a new trading-focused business model, seeing it shift its focus from vertical integration to a more trading-focused model specialising in prescription-based medical cannabis products.
This transformation includes the decision to exit production activities at its Danish cultivation facility and redirect resources to trading and marketing efforts aimed at expanding global sales.
To facilitate this transition, Stenocare has signed a conditional agreement with Hedemann Løvstad Ejendomsselskab ApS (HLE) to terminate the lease for its cultivation facility. The deal includes transferring ownership of production equipment to HLE, relieving Stenocare of approximately 18 million DKK in cost obligations over six years.
This figure includes 14 million DKK in long-term lease and equipment costs and an additional 4 million DKK in annual savings on production staff and operational expenses starting in 2025.
The decision to exit production reflects challenges with prolonged and uncertain approval timelines from the Danish Medicines Agency, which made achieving breakeven at the facility unlikely. By eliminating these financial burdens, Stenocare aims to enhance its operational agility, streamline its organisation, and reallocate resources to focus on growth opportunities.
Stenocare’s board and management view this transition as a necessary step to ensure the company’s long-term success and protect shareholder interests. The agreement with HLE is contingent on the successful completion of a capital raise announced in October 2024.
