Select Interior Concepts Announces 2019 First Quarter Financial Results
ATLANTA–(BUSINESS WIRE)–Select
Interior Concepts, Inc. (NASDAQ: SIC), a premier installer and
nationwide distributor of interior building products, today announced
its financial results for the first quarter ended March 31, 2019.
FIRST QUARTER 2019 FINANCIAL HIGHLIGHTS COMPARED TO FIRST QUARTER 2018
-
Consolidated net sales increased 31.1% to $136.9 million, including
organic sales growth of 4.8% - Gross profit grew 38.6% to $38.7 million
-
Net income increased to $0.1 million compared to net loss of $1.3
million -
EBITDA increased to $11.2 million; Adjusted EBITDA increased 17.2% to
$12.5 million -
Operating cash flow totaled $10.6 million, up from a cash flow deficit
of $1.5 million -
Acquired Intown Design, an installer of residential and light
commercial countertops and cabinets in Georgia and neighboring
Southeastern states, further strengthening the Company’s presence on
the East Coast
Tyrone Johnson, Chief Executive Officer of Select Interior Concepts,
stated, “We achieved another quarter of significant growth in our
business, with results across the board in line with our expectations.
We further solidified our position as a key industry player across our
highly-complementary installation and distribution businesses. Price/mix
benefits and the contribution from acquisitions drove a 150 basis point
improvement in gross margin. Excluding approximately $2.0 million of
incremental corporate and public company infrastructure costs, Adjusted
EBITDA margin increased by approximately 40 basis points year over year.”
Mr. Johnson continued, “Our objective to deliver meaningful sales growth
while improving Adjusted EBITDA margin remains on track for 2019. The
structural advantages of our business model are allowing us to generate
favorable price/mix performance and we are poised to deliver stronger
results from cross-selling opportunities as we continue to integrate our
businesses. Our acquisition pipeline remains robust, and we have a
strong balance sheet that enables us to continue to drive accretive
inorganic growth. Our corporate and public company infrastructure is in
place, providing significant scalability for the next stage of our
growth. We remain excited about the prospects for the Company in 2019
and beyond.”
RESULTS FOR THE FIRST QUARTER OF 2019
Net sales for the first quarter of 2019 increased by 31.1% to $136.9
million, compared to net sales of $104.4 million for the first quarter
of 2018. Residential Design Services (“RDS”) segment sales increased
40.0% and Architectural Surfaces Group (“ASG”) segment sales increased
20.9%, compared to the first quarter of 2018. Net sales increased on an
organic basis by $5.0 million, or 4.8%, primarily driven by price/mix,
which more than offset lower volume. Acquisitions added $27.5 million to
net sales.
Gross profit for the first quarter of 2019 increased by 38.6% to $38.7
million, compared to $27.9 million for the first quarter of 2018. The
increase in gross profit was due to higher net sales from our existing
business and acquired businesses. Gross margin for the first quarter of
2019 was 28.3% (on a combined basis including intercompany
eliminations), compared to 26.8% for the first quarter of 2018. The
gross margin improvement is primarily a result of better price/mix, and
a favorable contribution from acquisitions. In our RDS segment, gross
margin increased 1.2% to 28.3% in the first quarter of 2019, from 27.1%
in the first quarter of 2018, as a result of favorable shifts in product
and customer mix. In our ASG segment, gross margin for the first quarter
of 2019 increased 1.8% to 27.9%, compared to 26.1% for the first quarter
of 2018, as a result of a favorable shift in product pricing and mix.
Operating expenses for the first quarter of 2019 were $35.5 million, or
25.9% of net sales, compared to $27.0 million, or 25.9% of net sales,
for the first quarter of 2018. Operating expenses for the first quarter
of 2019 and the first quarter of 2018 included $2.8 million and $4.1
million, respectively, of nonrecurring costs, primarily for professional
fees and equity-based compensation. Operating expenses excluding
nonrecurring costs were $32.7 million, or 23.9% of net sales for the
first quarter of 2019, compared to $22.9 million, or 21.9% of net sales,
for the first quarter of 2018. The increase of $9.8 million reflects
incremental operating expenses from recently acquired businesses, SIC
corporate costs, investments in the business units for continued growth
and higher depreciation and amortization.
For the first quarter of 2019, net income was $0.1 million, compared to
a net loss of $1.3 million for the first quarter of 2018. Net income for
the first quarter of 2019 includes the after-tax impact of $1.7 million
of other income, which primarily results from a change in the fair value
of earnout payments for completed acquisitions.
EBITDA for the first quarter of 2019 increased 108.2% to $11.2 million,
compared to EBITDA of $5.4 million for the first quarter of 2018.
Excluding the impact of equity compensation and nonrecurring costs,
Adjusted EBITDA for the first quarter of 2019 increased by 17.2% to
$12.5 million, compared to $10.7 million for the first quarter of 2018.
For the first quarter of 2019, Adjusted EBITDA as a percentage of net
sales was 9.1%, compared to 10.2% for the first quarter of 2018,
primarily attributable to the factors discussed above in gross margin
and operating expenses.
Operating cash flow totaled $10.6 million for the first quarter of 2019,
compared to a cash flow deficit of $1.5 million in the first quarter of
2018. Operating cash flow as a percentage of Adjusted EBITDA was 84.3%
for the first quarter of 2019. Liquidity from cash-on-hand and borrowing
availability under our revolving credit facility totaled $66.8 million
at March 31, 2019.
FINANCIAL RESULTS CONFERENCE CALL AND WEBCAST DETAILS
The Company will host a conference call today at 9:00 a.m. EDT to
discuss results for the first quarter ended March 31, 2019 and other
matters relating to the Company. During the conference call, the Company
may discuss and answer one or more questions concerning business and
financial matters and trends affecting the Company. The Company’s
responses to these questions, as well as other matters discussed during
the conference call, may contain or constitute material information that
has not been previously disclosed. To participate in the conference
call, dial 1-877-705-6003 from the United States, and international
callers may dial 1-201-493-6725, approximately 15 minutes before the
call. A webcast and presentation will also be available at www.selectinteriorconcepts.com
under the investor relations section. A replay of the call and webcast
will be available on the Company’s website approximately 4 hours after
the completion of the call.
ABOUT SELECT INTERIOR CONCEPTS
Select Interior Concepts is a premier installer and nationwide
distributor of interior building products with leading market positions
in highly attractive markets. The Residential Design Services segment
provides integrated design, sourcing and installation solutions to
customers, in the selection of a broad array of interior products and
finishes, including flooring, cabinets, countertops, window treatments,
and related interior items. The Architectural Surfaces Group segment
distributes natural and engineered stone through a national network of
distribution centers and showrooms under proprietary brand names such as
AG&M, Modul and Pental. For more information, visit: www.selectinteriorconcepts.com.
FORWARD-LOOKING STATEMENTS
This press release includes forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended, and, as
such, may involve known and unknown risks, uncertainties and
assumptions. Forward-looking statements may be identified by the use of
words such as “anticipate,” “believe,” “estimate,” “intend,” “could,”
“should,” “would,” “may,” “seek,” “plan,” “might,” “will,” “expect,”
“predict,” “project,” “forecast,” “potential,” “continue,” and other
forms of these words or similar words or expressions or the negatives
thereof. Forward-looking statements are based on historical information
available at the time the statements are made and are based on
management’s reasonable belief or expectations with respect to future
events. Forward-looking statements are subject to risks, uncertainties,
and other factors, including, but not limited to, those factors
contained in our Annual Report on Form 10-K for the fiscal year ended
December 31, 2018 (our “Annual Report”), that may cause the Company’s
actual results, level of activity, performance or achievement to be
materially different from the results or plans expressed or implied by
such forward-looking statements. All forward-looking statements in this
press release are qualified by the factors, risks and uncertainties
contained in our Annual Report. Forward-looking statements should not be
read as a guarantee of future performance or results, and will not
necessarily be accurate indications of the times at or by which such
performance or results will be achieved. Forward-looking statements
speak only as of the date on which they are made and the Company
undertakes no obligation to update any forward-looking statement to
reflect future events, developments or otherwise, except as may be
required by applicable law.
USE OF NON-GAAP FINANCIAL MEASURES
This press release and the schedules hereto include EBITDA and Adjusted
EBITDA, which are financial measures that have not been calculated in
accordance with accounting principles generally accepted in the United
States, or GAAP, and are therefore referred to as non-GAAP financial
measures. We have provided definitions below for these non-GAAP
financial measures and have provided tables in the schedules hereto to
reconcile these non-GAAP financial measures to the comparable GAAP
financial measures.
We believe that these non-GAAP financial measures provide valuable
information regarding our earnings and business trends by excluding
specific items that we believe are not indicative of the ongoing
operating results of our businesses, providing a useful way for
investors to make a comparison of our performance over time and against
other companies in our industry.
We have provided these non-GAAP financial measures as supplemental
information to our GAAP financial measures and believe these non-GAAP
measures provide investors with additional meaningful financial
information regarding our operating performance and cash flows. Our
management and board of directors also use these non-GAAP measures as
supplemental measures to evaluate our businesses and the performance of
management, including the determination of performance-based
compensation, to make operating and strategic decisions, and to allocate
financial resources. We believe that these non-GAAP measures also
provide meaningful information for investors and securities analysts to
evaluate our historical and prospective financial performance. These
non-GAAP measures should not be considered a substitute for or superior
to GAAP results. Furthermore, the non-GAAP measures presented by us may
not be comparable to similarly titled measures of other companies.
| Select Interior Concepts, Inc. | |||||||||||
| Condensed Consolidated Balance Sheets (Unaudited) | |||||||||||
| (In thousands) | |||||||||||
|
ASSETS |
March 31, 2019 | December 31, 2018 | |||||||||
| Cash and cash equivalents | $ | 7,110 | $ | 6,362 | |||||||
| Restricted cash | – | 3,000 | |||||||||
| Accounts receivable, net | 63,413 | 63,601 | |||||||||
| Inventories | 109,941 | 108,270 | |||||||||
| Prepaid expenses and other current assets | 3,696 | 2,809 | |||||||||
| Income taxes receivables | 834 | 1,263 | |||||||||
| Total current assets | $ | 184,994 | $ | 185,305 | |||||||
| Property and equipment, net | 21,783 | 19,798 | |||||||||
| Deferred tax assets, net | 9,355 | 9,355 | |||||||||
| Goodwill | 98,976 | 94,593 | |||||||||
| Customer relationships, net | 80,431 | 79,843 | |||||||||
| Other intangible assets, net | 21,343 | 20,872 | |||||||||
| Other assets | 6,175 | 6,248 | |||||||||
| Total assets | $ | 423,057 | $ | 416,014 | |||||||
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|||||||||||
| Accounts payable | $ | 40,430 | $ | 37,265 | |||||||
| Accrued expenses and other current liabilities | 25,925 | 27,620 | |||||||||
| Income taxes payable | 984 | 984 | |||||||||
| Customer deposits | 9,379 | 9,908 | |||||||||
| Current portion of long-term debt, net | 1,331 | 1,368 | |||||||||
| Current portion of capital lease obligations | 620 | 500 | |||||||||
| Total current liabilities | $ | 78,669 | $ | 77,645 | |||||||
|
Long-term debt, net of current portion and financing fees |
154,475 | 142,442 | |||||||||
| Long-term capital lease obligations | 1,434 | 1,544 | |||||||||
| Line of credit | 29,611 | 36,706 | |||||||||
| Other long-term Liabilities | 9,489 | 8,983 | |||||||||
| Total Liabilities | $ | 273,678 | $ | 267,320 | |||||||
| Class A common stock | 257 | 257 | |||||||||
| Additional paid in capital | 157,159 | 156,601 | |||||||||
| Accumulated deficit | (8,037 | ) | (8,164 | ) | |||||||
| Total stockholders’ equity | $ | 149,379 | $ | 148,694 | |||||||
| Total liabilities and stockholders’ equity | $ | 423,057 | $ | 416,014 | |||||||
| Select Interior Concepts, Inc. | |||||||||||
| Condensed Consolidated Statement of Operations (Unaudited) | |||||||||||
|
Three Months Ended March 31, |
|||||||||||
| (in thousands, except share data) | 2019 | 2018 | |||||||||
| Revenues, net | $ | 136,920 |
|
$ | 104,386 | ||||||
| Cost of revenues | 98,187 |
|
76,436 | ||||||||
| Gross profit | $ | 38,733 | $ | 27,950 | |||||||
| Operating expenses | |||||||||||
| Selling, general and administrative expenses | 35,467 | 27,000 | |||||||||
| Income from operations | $ | 3,266 | $ | 950 | |||||||
| Other expense | |||||||||||
| Interest expense | 4,329 | 2,523 | |||||||||
| Other (income) expense, net | (1,715 | ) | 239 | ||||||||
| Total other expense, net | $ | 2,614 | $ | 2,762 | |||||||
|
Income (loss) before provision (benefit) for income taxes |
$ | 652 | $ | (1,812 | ) | ||||||
| Provision (benefit) for income taxes | 525 | (503 | ) | ||||||||
| Net income (loss) | $ | 127 | $ | (1,309 | ) | ||||||
| Earnings (loss) per common share | |||||||||||
| Basic common stock | $ | 0.00 | $ | (0.05 | ) | ||||||
| Diluted common stock | $ | 0.00 | $ | (0.05 | ) | ||||||
| Weighted average shares outstanding | |||||||||||
| Basic common stock | 25,766,260 | 25,614,626 | |||||||||
| Diluted common stock | 25,826,120 | 25,614,626 | |||||||||
| Select Interior Concepts, Inc. | |||||||||||
| Condensed Consolidated Statements of Cash Flows (Unaudited) | |||||||||||
|
Three Months Ended March 31, |
|||||||||||
| (in thousands) | 2019 | 2018 | |||||||||
| Net cash provided by (used in) operating activities | $ | 10,551 | $ | (1,458 | ) | ||||||
| Purchase of property and equipment, net | (1,871 | ) | (2,058 | ) | |||||||
| Acquisition of NSI, LLC | – | (290 | ) | ||||||||
| Acquisition of Elegant Home Design, LLC (Indemnity payment in 2019) | (1,000 | ) | (11,492 | ) | |||||||
|
Escrow release payment related to acquisition of Greencraft Holdings, LLC |
(3,000 | ) | – | ||||||||
| Acquisition of Intown Design, Inc. | (10,662 | ) | – | ||||||||
| Net cash used in investing activities | $ | (16,533 | ) | $ | (13,840 | ) | |||||
| Proceeds from (paydown of) line of credit, net | (7,119 | ) | 13,061 | ||||||||
| Proceeds from term loan | 11,500 | 6,250 | |||||||||
| Term loan and line of credit deferred issuance costs | – | (31 | ) | ||||||||
| Payments on notes payable | (388 | ) | (294 | ) | |||||||
| Principal payments on long-term debt | (263 | ) | (263 | ) | |||||||
| Net cash provided by financing activities | $ | 3,730 | $ | 18,723 | |||||||
| Net increase (decrease) in cash | $ | (2,252 | ) | $ | 3,425 | ||||||
| Cash and restricted cash, beginning of period | $ | 9,362 | $ | 5,547 | |||||||
| Cash and restricted cash, end of period | $ | 7,110 | $ | 8,972 | |||||||
| Select Interior Concepts, Inc. | |||||||||||||
| Segment Information (Unaudited) | |||||||||||||
| (in thousands) |
Three Months Ended March 31, 2019 |
||||||||||||
| Net Sales | Gross Profit | Gross Margin | |||||||||||
| RDS | $ | 79,985 | $ | 22,640 | 28.3% | ||||||||
| ASG | 57,505 | 16,021 | 27.9% | ||||||||||
| Elims/Corp | (570) | 72 | n/a | ||||||||||
| Total | $ | 136,920 | $ | 38,733 | 28.3% | ||||||||
|
Three Months Ended March 31, 2018 |
|||||||||||||
| Net Sales | Gross Profit | Gross Margin | |||||||||||
| RDS | $ | 57,141 |
|
$ | 15,508 | 27.1% | |||||||
| ASG | 47,575 | 12,440 | 26.1% | ||||||||||
| Elims/Corp | (330) | 2 | n/a | ||||||||||
| Total | $ | 104,386 | $ | 27,950 | 26.8% | ||||||||
| Select Interior Concepts, Inc. | |||||||||||
| Reconciliation of Net Income to Adjusted EBITDA (Unaudited) | |||||||||||
| (in thousands) | Three Months Ended March 31, | ||||||||||
| Reconciliation of net income to Adj. EBITDA | 2019 | 2018 | |||||||||
| Consolidated net income (loss) | $ | 127 | $ | (1,309 | ) | ||||||
| Income tax expense (benefit) | 525 | (503 | ) | ||||||||
| Interest expense | 4,329 | 2,523 | |||||||||
| Depreciation and amortization | 6,249 | 4,684 | |||||||||
| EBITDA | $ | 11,230 | $ | 5,395 | |||||||
| Stock based compensation | 561 | 1,675 | |||||||||
| Purchase accounting fair value adjustments | (1,522 | ) | 234 | ||||||||
| Acquisition and integration related costs | 1,454 | 1,283 | |||||||||
| Employee related reorganization costs | 439 | 274 | |||||||||
| Other non-recurring costs | 347 | 949 | |||||||||
| IPO and public company readiness costs | – | 867 | |||||||||
| Total Addbacks | $ | 1,279 | $ | 5,282 | |||||||
| Adjusted EBITDA | $ | 12,509 | $ | 10,677 | |||||||
EBITDA is defined as consolidated net income before interest, taxes and
depreciation and amortization.
Adjusted EBITDA is defined as consolidated net income before (i) income
tax expense, (ii) interest expense, (iii) depreciation and amortization
expense, (iv) non-cash stock compensation expense, and (v) adjustments
for costs that are deemed to be transitional in nature or not related to
our core operations, such as severance, facility closure costs, and
professional and legal fees related to business acquisitions, or similar
transitional costs and expenses related to integrating acquired
businesses into our Company.
Contacts
Media Inquiries:
Janelle Joseph
(646) 818-9119
[email protected]
Investor
Relations:
Rodny Nacier
(470) 548-7370
[email protected]
Indivior
Indivior Provides Update on Aelis Farma’s Clinical Phase 2B Study Results with AEF0117 in Participants with Cannabis Use Disorder
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) 596/2014 (AS IT FORMS PART OF DOMESTIC LAW IN THE UK BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018).
- Primary and Secondary End Points of the Study were Not Met
- Indivior Does Not Currently Expect to Exercise AEF0117 Option
SLOUGH, United Kingdom and RICHMOND, Va., Sept. 4, 2024 /PRNewswire/ — Indivior PLC (Nasdaq/LSE: INDV) is today providing an update following Aelis Farma’s announcement of the results from its clinical Phase 2B trial with AEF01171, evaluating the efficacy and safety in treatment-seeking participants with moderate to severe Cannabis Use Disorder (CUD). The purpose of this trial was twofold: (1) to show that AEF0117 (0.1, 0.3, 1 mg once a day for 12 weeks) lowers cannabis use and (2) to determine the endpoints and optimal dosage of AEF0117 for use in future studies. In this phase 2B study, patients were treatment-seeking participants, 84% of whom had severe CUD.
The results of the study demonstrated that the primary endpoint, the proportion of participants who reduced their cannabis use to ≤1 day per week, as well as secondary endpoints measuring the proportion of participants reaching either complete abstinence or who used ≤2 day per week, were not met. Although these results are disappointing, they indicate that significant work remains to be done to understand subpopulations of patients with CUD, specifically those with severe CUD.
This clinical Phase 2B study is part of the strategic collaboration between Aelis Farma and Indivior, which includes an exclusive option for Indivior to license the global rights to AEF0117. Given the lack of separation from placebo on primary and secondary endpoints and before seeing further additional favorable clinical data, Indivior does not currently expect to exercise its option.
Important Cautionary Note Regarding Forward-Looking Statements
This news release contains certain statements that are forward-looking. Forward-looking statements include, among other things, express and implied statements regarding whether: we will be able to ultimately demonstrate the safety and efficacy of AEF0117, which is a prerequisite to filing any New Drug Application; we might ever exercise our option for AEF0117 and, if so, when; and other statements containing the words “believe,” “anticipate,” “plan,” “expect,” “intend,” “estimate,” “forecast,” “strategy,” “target,” “guidance,” “outlook,” “potential,” “project,” “priority,” “may,” “will,” “should,” “would,” “could,” “can,” “outlook,” “guidance,” the negatives thereof, and variations thereon and similar expressions. By their nature, forward-looking statements involve risks and uncertainties as they relate to events or circumstances that may or may not occur in the future.
Actual results may differ materially from those because they relate to future events. Various factors may cause differences between Indivior’s expectations and actual results, including, among others, the risks described in our most recent annual report on Form 20-F beginning on page 9 as filed with the U.S. SEC and in subsequent releases; legal and market restrictions that may limit how quickly we can repurchaser our shares; the substantial litigation and ongoing investigations to which we are or may become a party; our reliance on third parties to manufacture commercial supplies of most of our products, conduct our clinical trials and at times to collaborate on products in our pipeline; our ability to comply with legal and regulatory settlements, healthcare laws and regulations, requirements imposed by regulatory agencies and payment and reporting obligations under government pricing programs; risks related to the manufacture and distribution of our products, most of which contain controlled substances; market acceptance of our products as well as our ability to commercialize our products and compete with other market participants; competition; the uncertainties related to the development of new products, including through acquisitions, and the related regulatory approval process; our dependence on third-party payors for the reimbursement of our products and the increasing focus on pricing and competition in our industry; unintended side effects caused by the clinical study or commercial use of our products; our ability to successfully execute acquisitions, partnerships, joint ventures, dispositions or other strategic acquisitions; our ability to protect our intellectual property rights and the substantial cost of litigation or other proceedings related to intellectual property rights; the risks related to product liability claims or product recalls; the significant amount of laws and regulations that we are subject to, including due to the international nature of our business; macroeconomic trends and other global developments such as armed conflicts and pandemics; the terms of our debt instruments, changes in our credit ratings and our ability to service our indebtedness and other obligations as they come due; changes in applicable tax rate or tax rules, regulations or interpretations and our ability to realize our deferred tax assets; and volatility in our share price due to factors unrelated to our operating performance or that may result from the potential move of our primary listing to the U.S.
Forward-looking statements speak only as of the date that they are made and should be regarded solely as our current plans, estimates and beliefs. Except as required by law, we do not undertake and specifically decline any obligation to update, republish or revise forward-looking statements to reflect future events or circumstances or to reflect the occurrences of unanticipated events.
This release is being made by Kathryn Hudson, Company Secretary Indivior PLC.
About Indivior
Indivior is a global pharmaceutical company working to help change patients’ lives by developing medicines to treat substance use disorders (SUD), overdose and serious mental illnesses. Our vision is that all patients around the world will have access to evidence-based treatment for the chronic conditions and co-occurring disorders of SUD. Indivior is dedicated to transforming SUD from a global human crisis to a recognized and treated chronic disease.
Building on its global portfolio of OUD treatments, Indivior has a pipeline of product candidates designed to both expand on its heritage in this category and potentially address other chronic conditions and co-occurring disorders of SUD. Headquartered in the United States in Richmond, VA, Indivior employs over 1,000 individuals globally and its portfolio of products is available in over 30 countries worldwide. Visit www.indivior.com to learn more. Connect with Indivior on LinkedIn by visiting www.linkedin.com/company/indivior.
References:
- National Library of Medicine (U.S.) (2022, April). Effect of AEF0117 on treatment-seeking patients with cannabis use disorder (CUD) (SICA2). Identifier
NCT05322941 https://www.clinicaltrials.gov/study/NCT05322941
Logo – https://mma.prnewswire.com/media/1814851/Indivior_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/indivior-provides-update-on-aelis-farmas-clinical-phase-2b-study-results-with-aef0117-in-participants-with-cannabis-use-disorder-302237355.html
HERZLIYA, Israel and CALGARY, Alberta, Aug. 29, 2024 /PRNewswire/ — Innocan Pharma Corporation (CSE: INNO) (FSE: IP4) (OTCQB: INNPF) (“Innocan” or the “Company”), a pioneer in the pharmaceutical and biotechnology industries, is pleased to announce that it has completed its previously announced non-brokered private placement offering of 5,025,725 units of the Company (the “Units”) at a price of C$0.22 per Unit for gross proceeds of C$1,105,659.50 (the “Offering”).
Each Unit is comprised of: (i) one (1) common share in the capital of the Company (each a “Common Share”); and (ii) one (1) common share purchase warrant (each a “Warrant”). Each Warrant will entitle the holder thereof to purchase one Common Share at a price of C$0.32 for a period of four (4) years from the date of issuance.
Innocan intends to use the proceeds of the Offering for working capital and general corporate purposes.
The securities issued to Canadian subscribers in connection with the Offering are subject to a hold period of four months and one day from the date of issuance, in accordance with applicable Canadian securities laws.
Iris Bincovich, Chief Executive Officer of the Company, stated “we are very pleased with our successful offering. I would like to extend my sincere gratitude to our investors for their unwavering support. We see this as a strong vote of confidence by both existing and new investors which demonstrates investor support of our vision and strategic direction. These new funds will provide us with additional working capital to enable us to capitalize on new opportunities and allow us to advance strongly on our growth plans.”
The Company is also pleased to announce that it has granted an aggregate of 300,000 stock options (each an “Option“) to certain consultants of the Company pursuant to the Company’s stock option plan (the “Plan“). Each Option may be exercised for one (1) common share in the capital of the Company (each, a “Share“) at a price of $0.25 per Share. The Options expire on August 27, 2029.
All Options granted vest in accordance with the following vesting schedule: (i) 1/3rd of the Options vested immediately at grant; (ii) 1/3rd of the Options will vest on February 28, 2025; and (iii) 1/3rd will vest on August 27, 2025; all subject to the terms and conditions of the Plan.
About Innocan Pharma:
Innocan is a pharmaceutical tech company that operates under two main segments: Pharmaceuticals and Consumer Wellness. In the Pharmaceuticals segment, Innocan focuses on developing innovative drug delivery platform technologies comprises with cannabinoids science, to treat various conditions to improve patients’ quality of life. This segment involves two drug delivery technologies: (i) LPT CBD-loaded liposome platform facilitating exact dosing and the prolonged and controlled release of CBD into the blood stream. The LPT delivery platform research is in the preclinical trial phase for two indications: Epilepsy and Pain Management. In the Consumer Wellness segment, Innocan develops and markets a wide portfolio of innovative and high-performance self-care products to promote a healthier lifestyle. Under this segment Innocan has established a Joint Venture by the name of BI Sky Global Ltd. that focuses developing on advanced targeted online sales. https://innocanpharma.com/
Contact Information:
For Innocan Pharma Corporation:
Iris Bincovich, CEO
+1 5162104025
+972-54-3012842
+442037699377
[email protected]
NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATION SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Logo – https://mma.prnewswire.com/media/2046271/4883982/Innocan_Pharma_Corporation_Logo.jpg
View original content:https://www.prnewswire.co.uk/news-releases/innocan-pharma-announces-closing-of-private-placement-and-grant-of-stock-options-302234455.html
Cannabis
Europe Medical Cannabis Market Forecast 2024-2032: Tilray, Aurora Cannabis, and GW Pharmaceuticals Dominate the Market Landscape
Dublin, Aug. 29, 2024 (GLOBE NEWSWIRE) — The “Europe Medical Cannabis Oil Market Size, Industry Dynamics, Opportunity Analysis and Forecast 2024-2032.” report has been added to ResearchAndMarkets.com’s offering.
The Europe Medical Cannabis Oil market is poised for significant growth, projected to escalate from US$ 0.91 billion in 2023 to US$ 2.40 billion by 2032, advancing at a CAGR of 12.08%. In this comprehensive research report, the market is analyzed by:
- Derivatives;
- Source;
- Application;
- Route of Administration;
- End-user;
- Distribution Channel; and
- Country.
Market Highlights Identified in the Report
- Progressive legalization across Europe is creating a favorable regulatory environment, enhancing market expansion for medical cannabis oil products.
- Germany leads the market with a robust infrastructure and supportive regulations, while other countries like the UK, Italy, and Spain show significant growth potential based on evolving regulatory landscapes and market dynamics.
- Key players such as Tilray, Aurora Cannabis Inc., and GW Pharmaceuticals dominate the market, emphasizing research, strategic partnerships, and innovation to maintain competitive edge amidst evolving industry dynamics.
The medical cannabis oil market has experienced substantial growth as legalization and acceptance of cannabis-based treatments expand globally. Cannabis oil, derived from the cannabis plant through extraction methods, contains cannabinoids such as THC and CBD, known for their therapeutic properties. Increasing recognition of cannabis oil’s potential in alleviating symptoms of various medical conditions, including chronic pain, epilepsy, and anxiety disorders, has driven its adoption in medical settings.
Governments in several countries are progressively legalizing medical cannabis, creating a conducive regulatory environment for market expansion. Additionally, growing consumer awareness about alternative and natural therapies has fueled the demand for cannabis oil products. The market is characterized by diverse product offerings, including full-spectrum and CBD-isolate oils, catering to different therapeutic needs and preferences.
Despite regulatory challenges and stigma associated with cannabis, the medical cannabis oil market continues to evolve, driven by ongoing research, favorable legislative changes, and shifting attitudes toward cannabis-based therapies in healthcare.
Regional Insights
Germany is likely to maintain its leadership position in the European medical cannabis oil market due to its established infrastructure, supportive regulations, and strong healthcare system. Germany legalized medical cannabis in 2017, giving the market a head start compared to many other European countries. This established infrastructure and experience position Germany as a leader in the field. As awareness and acceptance of medical cannabis increase, the number of patients seeking treatment in Germany is steadily rising. This fuels market growth and incentivizes further investment in research and development.
Germany’s regulatory framework for medical cannabis is considered relatively patient-friendly compared to some other European countries. This facilitates access for patients with qualifying conditions. The UK legalized medical cannabis in 2018 and is experiencing an increase in patient access programs. This, coupled with ongoing research, could lead to significant market growth. Italy legalized medical cannabis in 2006 but has faced challenges with availability. As regulations become more streamlined and patient access expands, the Italian market holds significant growth potential. Spain has a well-established medical cannabis industry with a focus on domestic production. As regulations evolve and export opportunities increase, the Spanish market could see a boost.
Competitive Landscape
The Medical Cannabis Oil market is characterized by a vigorous competitive landscape, with prominent entities like Tilray, Aurora Cannabis Inc., GW Pharmaceuticals, Almiral, Bedrocan, and others at the forefront, collectively accounting for approximately 41 % of the overall market share. This competitive milieu is fueled by their intensive efforts in research and development as well as strategic partnerships and collaborations, underscoring their commitment to solidifying market presence and diversifying their offerings.
The primary competitive factors include pricing, product caliber, and technological innovation. As the Medical Cannabis Oil industry continues to expand, the competitive fervor among these key players is anticipated to intensify. The impetus for ongoing innovation and alignment with evolving customer preferences and stringent regulations is high. The industry’s fluidity anticipates an uptick in novel innovations and strategic growth tactics from these leading corporations, which in turn propels the sector’s comprehensive growth and transformation.
Key Topics Covered
Chapter 1. Research Framework
Chapter 2. Research Methodology
Chapter 3. Executive Summary: Europe Medical Cannabis Oil Market
Chapter 4. Europe Medical Cannabis Oil Market Overview
Chapter 5. Europe Medical Cannabis Oil Market Analysis, by Derivatives
Chapter 6. Europe Medical Cannabis Oil Market Analysis, by Source
Chapter 7. Europe Medical Cannabis Oil Market Analysis, by Application
Chapter 8. Europe Medical Cannabis Oil Market Analysis, by Route of Administration
Chapter 9. Europe Medical Cannabis Oil Market Analysis, by End-user
Chapter 10. Europe Medical Cannabis Oil Market Analysis, by Distribution Channel
Chapter 11. Europe Medical Cannabis Oil Market Analysis, by Country
Chapter 12. The UK Medical Cannabis Oil Market Analysis
Chapter 13. Germany Medical Cannabis Oil Market Analysis
Chapter 14. The Netherlands Medical Cannabis Oil Market Analysis
Chapter 15. Italy Medical Cannabis Oil Market Analysis
Chapter 16. Spain Medical Cannabis Oil Market Analysis
Chapter 17. Poland Medical Cannabis Oil Market Analysis
Chapter 18. Rest of Europe Medical Cannabis Oil Market Analysis
Chapter 19. Company Profiles (Company Overview, Financial Matrix, Key Product Landscape, Key Personnel, Key Competitors, Contact Address, and Business Strategy Outlook)
A selection of companies mentioned in this report includes, but is not limited to:
- Aurora Cannabis Inc.
- Bedrocan
- Biocann
- BIOTA Biosciences LLC
- Cannamedical
- Mary Jane CBD
- Sanity Group GmbH
- Tilray
- Valcon Medical
For more information about this report visit https://www.researchandmarkets.com/r/dh7q46
About ResearchAndMarkets.com
ResearchAndMarkets.com is the world’s leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.
-
Cannabis2 weeks agoSilly Nice Announces Launch of New 1G 510 Vape Cartridge and 2G All-In-One Vape in New York Dispensaries This September
-
Cannabis2 weeks agoCannabis Cultivation Market – Global Food Additives, Oils, Tinctures, Cannabis Indica, Cannabis Sativa Forecast 2024-2030
-
Cannabis1 week ago
Europe Medical Cannabis Market Forecast 2024-2032: Tilray, Aurora Cannabis, and GW Pharmaceuticals Dominate the Market Landscape
-
Cannabis2 weeks ago
Global Hemp Based Food Market Size To Worth USD 4.87 Billion By 2033 | CAGR Of 13.12%
-
Innocan1 week agoInnocan Pharma Announces Closing of Private Placement and Grant of Stock Options
-
Indivior4 days agoIndivior Provides Update on Aelis Farma’s Clinical Phase 2B Study Results with AEF0117 in Participants with Cannabis Use Disorder
