Benzinga | Oct 19, 2021 07:16AM EDT

Canonic Announces Full Commercial Launch Of Its First Medical Cannabis Products In Israel

Canonic Ltd., focused on the development of medical cannabis products and a wholly-owned subsidiary of Evogene Ltd. (NASDAQ:EVGN) (TASE: EVGN), today announced the full commercial launch of its first two medical cannabis products, known as G200 and G150, following positive feedback received from patients during the company's pre-launch campaign. These products were originally expected to be released to market during 2022.

Canonic's first launched products, G200 and G150, are part of the G-nnovation product line under Canonic's Meta Yield product program. Canonic's G200 product will be available under the T20/C4 category[1] and G150 will be available under the T15/C3 category[2], according to the product categories established by the Israeli Ministry of Health. These products are based on cannabis varieties that were selected and developed using Evogene's computational platform to express high levels of THC[3] and premium consumer traits[4].

In September and October 2021, Canonic conducted a pre-launch campaign, during which G200 and G150 were marketed in Israel to a limited number of licensed patients through selected pharmacies. Following positive feedback in the pre-launch campaign, indicating high patient satisfaction with the quality and positive effect of the products, Canonic decided to move ahead with the full commercial launch of these products in Israel. This was ahead of the original scheduled launch, which had been planned for 2022. These products will be widely available to consumers in pharmacies across Israel, from the day of this announcement.

With respect to product production for next year, as disclosed in the past, Canonic's business model, which is based on producing products through external growers and manufacturers, provides the company relative flexibility in meeting demand in the market.

There are more than 100,000 licensed patients in Israel that consumed approximately 27 tons of cannabis in the first 8 months of 2021[5], and the total medical cannabis market in Israel is estimated at $260 million per year[6]. According to industry estimates, based on current growth rates, the number of patients in the Israeli market is expected to more than double by 2025.[7]