Tilray has entered a partnership with Sandoz Canada and extended an existing medical cannabis distribution deal to include the rest of the pharmaceutical company’s global distribution network, the CBC reports.
Tilray first started a Canada-only deal with Sandoz, owned by Novartis Pharmaceutical Group, in January 2018. Non-smokable medical cannabis products with the Tilray and Sandoz brands started shipping to customers in June.
The new deal allows Tilray to use Sandoz’s supply chain, sales force, and will allow for the co-branding of products.
“Tilray is a global company, and we’re thrilled to build upon the success and momentum from our existing agreement with Sandoz Canada by taking our partnership global.” — Brendan Kennedy, CEO of Tilray, in the report
Tilray CEO Brendan Kennedy said Germany is the first priority for the partnership. All doctors in Germany are allowed to write medical cannabis prescriptions, which are covered by insurance. Germany also has a larger population and economy than Canada.
Sandoz also distributes to the U.S., but stringent federal cannabis laws will prevent cannabis imports, for now. However, if President Trump signs the 2018 Farm Bill into law, as he is expected to do, it could allow for more CBD-based products to be imported immediately.
Tilray shares were up more than 20 percent following the announcement, topping out at $82.29 on Wednesday on the NASDAQ exchange.
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