AusCann has extended an additional A$500,000 loan to its European partner Eurocann as the two companies push forward with plans to merge.
It was reported in February that Eurocann, which owns Dortmund-based manufacturer and distributor HAPA Pharma, was pursuing a back-door listing on the ASX through a merger with AusCann.
Eurocann co-founder Andrew Chapman is the chairman of AusCann and also managing director of Merchant Funds Management, the largest shareholder of both companies.
In its quarterly ASX update, AusCann stated that regulatory certainty in Germany had allowed the company to "proceed with a transaction" and complete due diligence.
"It is the intention of AusCann to move quickly on a transaction and apply to the ASX for re-listing as soon as possible," the company said in its Q3 financial report.
AusCann's shares have been suspended from the ASX since August 2022.
The company disclosed that after the quarter's close it extended a further $500,000 to Eurocann, an amount "expected to be the final amount under the current loan agreements".
Eurocann is working to secure a "material financing transaction with strategic European partners", AusCann added.
Separately, HAPA Pharma is developing a new cannabis strain designed to "thrive in the new regulatory framework" in Germany, and plans to enter the Polish market in the latter half of 2024.
Avecho Biotechnology
Avecho Biotechnology has brought experienced healthcare executive Kathy Connell onto its board as licensing agreement discussions approach a "defining phase of execution".
Connell has held a range of senior positions across the biotech, pharmaceutical and consumer health sectors — including 12 years at Johnson & Johnson — with a focus on business development, licensing, acquisitions and venture investment.
Avecho chair Dr Greg Collier said her expertise will "maximise our chances of securing high-value future licensing agreements" following its phase III clinical trial examining the effectiveness of its TMP drug-delivery system in sleep-deprived patients.
Melodiol Global Health
Jodi Scott, founder of US-based wellness company Sierra Sage Herbs, has stepped down from the board of Melodiol Global Health with immediate effect.
Melodiol acquired Scott's business in 2022, but subsequently mothballed it amid cost-cutting pressures, choosing instead to concentrate on Australian distribution firm Health House International and Canada-based subsidiary Mernova Medicinal.
In January, the company confirmed it had sold certain intellectual property owned by Creso Pharma Switzerland and Sierra Sage Herbs to Spry Life, a company established by Scott.
Melodiol has also promoted financial controller Tim Tian to the role of chief financial officer, succeeding Chris Grundy, who has held the CFO position since 2017.
