Cannabis entrepreneur Kevin Nafte has come on board at Lyphe Australia as general manager, tasked with steering the company's wholesale division into profitability before the year is out.
Nafte made the move from Uruguay, where he had been running his own cannabis lifestyle and wellness brand, YVY Life.
His appointment follows the departure of managing director Tracey Loton, who left to launch her own consultancy three months after the UK parent company entered administration.
In spite of the turbulence surrounding the UK business — which has since been sold — the Australian operation continues to trade, with Nafte reporting to Lyphe Group founding investor George Scorsis.
After relocating his family from South America, Nafte said he had "open, honest and transparent" conversations with Lyphe's stakeholders about the company's situation prior to taking the role and was satisfied it has a long-term future in Australia.
"I've got a clear picture of what the financial situation is of the Australian entity," he added.
The local company operates two brands — Aelleve and Wild Flower — with Nafte and three medical science liaisons (MSLs) responsible for forging commercial partnerships and relationships with prescribers.
He said the focus is on "long-term, steady growth" and careful cost control with a view to achieving profitability by the end of 2024.
Though the operation is already "pretty lean", Nafte said he would be looking to tighten processes further, while continuing to build on the commercial partnerships Loton established.
"We're really appreciative of everything that Tracey did, she's created a really solid foundation," he said. "The next phase is streamlining processes and systems, making things more efficient, and building out the supply chain so we have continuity, which is going to be crucial."
The company will also refine its product range, introducing more competitively priced flower products for concession card holders under the Aelleve brand — which also carries an oil range — while Wild Flower continues as its premium tier.
Plans are also in place to launch a live rosin, high-THC vape in day and night formats and, potentially, pastilles and gummies.
"The idea is to [deliver] what the market's asking for, diversify our portfolio and use my experience in other markets to see what other innovative products we can bring in," Nafte said.
The company's oil and flower products are currently sourced from Portugal and Canada, though that may not remain the case indefinitely.
"I have a vast network in Latin America, so I'll probably look at some options [there] going forward," he added.
Lyphe Australia's telehealth clinic — previously overseen by Georgie Lutz — is now led by Laura Farhat.
