The administrator overseeing the collapse of Asterion Australia has found no wrongdoing by the company, concluding that external factors were responsible for its failure.
Asterion, which had ambitions to construct a large-scale facility in Toowoomba with a production capacity of 500,000kg of cannabis, engaged BRI Ferrier in February after running into serious financial difficulties.
The company carried debts of A$8 million and was contending with legal action from creditor and project design firm Wiley & Co, which said it was owed $2m.
In a recent report to creditors, administrator Ian Currie said he had negotiated an outcome "for all proceedings to be discontinued", noting that Asterion had intended to contest the claim.
Currie found no evidence that Asterion had traded while insolvent, and supported director Stephen Van Deventer's view that the legal threat from Wiley was one of the factors that brought the business down.
"Stephen Van Deventer attributed the company's failure to the following reasons: lack of financing, Covid-19 pandemic and restrictions, litigation commenced by a creditor, [and] the collapse of [the] cannabis industry impacting cannabis financial markets.
"My investigations indicate [those] factors accurately contributed to the company's failure."
Currie also noted that attempts to transfer Asterion's medicinal cannabis licence, along with related engineering and design work, had been unsuccessful.
"After discussions with the Office of Drug Control and a party who was interested in acquiring the company's business and medicinal cannabis licence, the decision was made to surrender [the] licence," he said.
Asterion had originally planned a partnership with ANTG before the Australian company pulled out of the arrangement. At the time BRI Ferrier was called in, the company had just $12,540 in cash.
Ecofibre
Ecofibre has received patent grant notifications for two of the five applications it submitted last year to the US Patent and Trademark Office (USPTO), with a third formal grant notification still pending.
The two granted patents cover treatments for ovarian cancer and endometriosis, while the third relates to the company's proprietary method and system for producing hemp extracts.
The remaining two applications — addressing treatment of head/neck and endometrial cancer — are currently under USPTO review.
The endometriosis patent encompasses the therapeutic use of cannabinoids for fibroids and dysmenorrhea (period pain).
Data underpinning the gynaecological patent applications came from Ecofibre's active gynaecological disorder research study conducted with the University of Newcastle.
Ecofibre said its next focus will be on forming partnerships to bring treatment and management options for gynaecological diseases to market.
Chief scientific officer and women's health practitioner Dr Alex Capano added: "Gynaecological cancers account for over 15% of cancers diagnosed in women globally. They are frequently diagnosed in late stages, [are] considerably aggressive, difficult to treat, and often result in metastatic disease.
"The five-year survival rates for certain gynaecological cancers range from 17 to 39%. The need for improved therapeutic options is clear."
Avecho
Avecho has begun producing nearly 300,000 CBD soft-gel capsules in preparation for its upcoming phase III insomnia clinical trial.
Production is being handled by US-based contract manufacturer Procaps Group, which makes pharmaceuticals, nutraceuticals and other medicines across more than 50 countries.
Among its products is the FDA-approved synthetic THC drug dronabinol.
With 540 patients enrolled in the trial, Avecho will require 290,000 capsules in total. The A$2 million secured through a recent entitlement offer will cover these costs, while efforts to raise a further $9m through placements are continuing.
Avecho chief executive Paul Gavin said: "We can't commence the trial until the investigational product is manufactured so raising sufficient capital to commence these activities now, while we conclude raising capital, was crucial.
"We are delighted that Procaps Group will be joining us on this journey as we prepare for this defining late-stage clinical trial which will be an exciting milestone for our company and the biotechnology industry at large."
The clinical trial is expected to get underway in the third quarter, subject to the outcome of the placement capital raise.
Alongside the trial capsules, Procaps will manufacture three registration batches that will go through stability studies to determine the shelf life of the commercial product.
Epsilon Healthcare
Epsilon's share price jumped 25% on Friday after its wholly owned subsidiary THC Pharma had its medicinal cannabis licence renewed.
The Office of Drug Control also approved an increase in the company's permitted manufacturing quantities to accommodate growing customer demand.
Shares reached a high of $0.02c on Friday before easing slightly, and are currently trading at $0.018c, giving the company a market capitalisation of A$5.14 million.
Creso Pharma
Creso Pharma has broadened its footprint in Asia, with its full Green Goo animal care range now available online through Happy Town Pets, the partner firm of Singapore-based distributor Gotro Global.
To strengthen its position in Singapore further, Creso is building a direct-to-consumer ecommerce channel set to launch later this year.
The company, which has faced scrutiny from the ASX over its financial position, is also expanding in South Korea, where pet food supplier Providence Animal Health Korea will distribute both the Green Goo range and Creso Pharma Switzerland animal care products.
The South Korean push follows an initial A$217,400 purchase order from Providence for Creso's anibidiol product, while product registration for the Green Goo Animal First Aid range is currently in progress in that market.
Additional products are lined up for registration in the months ahead.
Creso identified Asia as a priority market for the business, with "multiple initiatives" in motion to drive further revenue growth.
CEO and managing director William Lay said: "The expanded distribution partnership[s] in Singapore and South Korea provide Creso Pharma with a unique operating platform to drive further sales growth in 2023."
He added there was "plenty of additional upside through pending product registrations and the recent launch of the Sierra Sage Herbs product line into the Taiwanese animal healthcare market".
Cann Global
Cann Global has sought another six-week extension to its trading halt as its "proposed acquisition" stretches into a ninth month.
The company told the ASX it may be in a position to make an announcement by June 30.
Trading in Cann Global shares was first suspended on September 23, 2022.
