Ecofibre has named an interim chief executive and is moving toward a sale and leaseback arrangement involving two of its US manufacturing properties as part of its ongoing push to cut debt.
John Foley, a consultant who has been working with Ecofibre, will take the helm while the company searches for a permanent CEO.
Foley is described as a "seasoned, successful private equity CEO" who has been assisting the business with Project Ensure, an internal initiative designed to drive the company towards a cash-positive position.
He will receive a weekly salary of US$10,000 and will be based in Greensboro, North Carolina.
In a separate development, Ecofibre has reached a conditional agreement to sell two Greensboro properties for a combined US$10.4 million (A$15.7m) to a real estate investment firm.
Under the arrangement, the company will lease the properties back for US$924,000 (A$1.4m) per month in the first year, with rent increasing by 3% annually over an initial seven-year term.
Ecofibre shares rose 9% to $0.059c during Monday's trading session.
UPDATE (May 15, 2024): Ecofibre has confirmed the resignation of Ecofibre Advanced Technology president Jeff Bruner "in accordance with his contract".
The company also confirmed that Bruner has joined legal proceedings initiated by former chief science officer Dr Alex Capano in March, which centre on allegations involving subsidiary EOF Bio.
Capano filed proceedings in Delaware in the US accusing several board directors of being "conflicted" in their roles with the company.
Ecofibre said it is "vigorously defending" the litigation and has filed a motion to dismiss.
Bioxyne/BLS
Bioxyne subsidiary BLS has signed an exclusive supply and collaboration agreement with Swiss firm CY Biopharma to develop psychedelic-based treatment options for patients living with depression and post-traumatic stress disorder.
Bioxyne said the agreement gives BLS the opportunity to manufacture and supply the Australian, New Zealand, US, and European clinical trials market with novel psilocybin products; develop proprietary formulations and drug-delivery methods; and supply Australian patients via the authorised prescriber scheme.
CEO Sam Watson said: "Psychedelics are showing significant potential in the treatment of various mental health conditions; a beacon of hope for the large cohort of patients who do not respond to conventional treatment options."
"In Australia, 10.4% of people report experiencing symptoms of depression, and 33% of patients diagnosed with depression respond inadequately to current treatments within certain indications. Our goal is to help these patients get their lives back."
CY Biopharma CEO Dr Anton Hoos added: "Together we plan to build a reliable supply of pharmaceutical-grade, naturally derived psilocybin for patients in Australia and New Zealand."
Aurora Cannabis
Canadian company Aurora Cannabis has introduced its first branded dried flower range to New Zealand, a market it described as "poised for growth".
CEO Miguel Martin added: "We see great potential in the New Zealand market and intend to leverage symmetry with our leadership in Australia."
Aurora acquired MedReleaf Australia in February in a A$50 million cash and share deal.
