TORONTO, ON / ACCESSWIRE / November 22, 2022 / Canntab Therapeutics Limited (CSE:PILL)(OTCQB:CTABF)(FRA:TBF1) (the "Company" or "Canntab") a leading innovator in cannabinoid and terpene blends in hard pill form for therapeutic applications, is providing an update on several matters impacting the Company.
Over the past number of months, Canntab has undertaken a strategic review of its domestic operations in the context of the global market. The Company's conclusion, which was first communicated in the Company's MD&A for the year ended May 31, 2022 filed under its SEDAR profile on September 28, 2022, was that in the absence of a complete pivot away from our core competencies into a crowded consumer market for pre-rolls and vaporizer devices, focusing exclusively on tablet manufacturing for the domestic market is not financially viable and the Company was repositioning its production capabilities to a small batch special order basis and management was focusing its business development efforts to establish licensing partners in non-Canadian markets to exploit the valuable patents held by the Company.
On November 17, 2022, Canntab received a notice from its landlord indicating that the lease for Canntab's Markham manufacturing site will not be extended. The lease expires on December 31, 2022. Despite the Company's long tenure at the Markham location, the landlord has declined to extend Canntab's lease. Canntab has contacted Health Canada to engage in discussions to determine how Canntab may retain its various Cannabis licenses held by the Company.
Mr. Goldstein, Co-Founder, CFO, and interim CEO of the Company stated, "Canntab has already begun the process of contacting several other Canadian license holders with the intent of moving approximately $600,000 of Cannabis inventory to other licensed facilities made up primarily of finished bottled products, bulk tablets, and some cannabis distillate. Canntab expects to realize ongoing revenues from this asset."
Canntab will also immediately seek to move its production, testing and manufacturing equipment to establish its tablet manufacturing process at another licensed facility in Canada or elsewhere.
The Company as previously stated in its annual report and recent MD&A discussions, had already been pursuing a new strategy of focussing on international licensing arrangements coupled with a royalty regime based on its proprietary and patented technologies.
Canntab received its 4th issued patent and 2nd in Australia on October 6, 2022, entitled "Modified release multi-layer cannabinoid formulations". Canntab anticipates receiving a similar patent approval sometime in 2023 in both the USA and Canada. Canntab's intention is to license its proprietary technologies to other parties that will manufacture our tablet formulations in their respective jurisdictions. Canntab intends to transfer the technology and know-how to each licensed entity and discussions spanning several months are well underway with arm's length third parties in Europe, Scandinavia, Africa, Australia, South America and the United States.
In addition, Canntab is speaking with privately owned cannabis companies who are looking to secure liquidity through the public markets or otherwise grow their businesses in a merger transaction.
Mr. Goldstein added, "We will no longer need to spend the money necessary to maintain Canntab's licensing status at the Markham facility which has not proven to be profitable. We can now operate in a very low overhead environment and focus on licensing and monetizing our intellectual property."
About Canntab Therapeutics Limited
Canntab is a Canadian phytopharmaceutical company focused on the manufacturing and distribution of a suite of hard pill cannabinoid formulations in multiple doses and timed-release combinations. Long referred to as Cannabis 3.0 by the Company, Canntab's proprietary hard pill cannabinoid formulations provide doctors, patients and consumers with medical grade solutions which incorporate all the features one would expect from any prescription or over the counter medication sold in pharmacies around the world. These include once a day and extended-release formulations, both providing an accurate dose and improved shelf stability.
Canntab holds a Cannabis Standard Processing & Sales for Medical Purposes License and a Cannabis Research License.
Canntab trades on the Canadian Securities Exchange under the symbol PILL, on the OTCQB under the symbol CTABF, and on the Frankfurt Stock Exchange under the symbol TBF1.
