Oxford Cannabinoid Technologies (OCT) has begun trading today on the London Stock Exchange following a capital raise of £16.5 million, Eastern Eye reports. The company is 2% owned by Casa Verde, the cannabis-focused venture capital firm for which Snoop Dogg is a partner.
Another 21% of the firm is owned by Kingsley Capital Partners, while 11% is held by tobacco company Imperial Brands and 8% is owned by Gavin Sathianathan.
The company was co-founded by Neil Mahaparta, who controls Kingsley, and Sathianathan and his wife, the report says. The company was founded in 2017 to develop cannabinoid-based prescription medications and has a research partnership with Oxford University.
John Lucas, OCT chief executive, has indicated that the company will not use naturally-derived cannabinoids, rather compounds that resemble natural cannabinoids produced synthetically.
The firm said that it aims to get its first drug to market by 2027 and develop a portfolio of four drug candidates for approval. OCT estimated the “addressable pain market” is worth at least £42.5 billion globally.
In an interview with the Financial Times, Mahaparta said the company had considered a private funding round “but market conditions appear buoyant” for medical cannabis pharmaceutical firms.
United Kingdom regulators only last year allowed medical cannabis companies to trade on the exchange. The Financial Conduct Authority guidance does not permit recreational cannabis companies access to the market.
Get daily cannabis business news updates. Subscribe