Unique Value Proposition to Savvy Investors
Verdemed brings to the market a distinctly unique value proposition for savvy investors who want to take part in the booming medical cannabis business, while maintaining the long-term investment perspective of the pharmaceutical industry, minimizing the downsides of both plays.
Verdemed has the upside potential of the pharmaceutical industry, simultaneously mitigating the downsides of its inherent risky-costly research and drug development programs. Verdemed will only develop tested medications and products which have been approved in Canada, Europe and the USA, including exclusive licenses for novelty cannabinoid-based formulations and products such as:
Verdemed combines Canadian cannabis industry expertise, Latin American smart capital, international pharmaceutical business knowledge, superior regulatory affairs capabilities, and top-notch medical experience. Verdemed also represents an aspiration and a vision for the benefits that medical cannabis can bring to doctors and patients in Latin America.
Verdemed was born in Canada and has been an international pharmaceutical business since its inception. It offers the best combination of Canadian medicinal cannabis industry expertise and superior, proven top management capabilities to develop business in one of the largest and most attractive markets in the world: Latin America.
The Business Potential of Cannabis Medicines in Latin America
The recent regulatory framework changes in key jurisdictions such as Chile, Colombia, and Uruguay finally gave the Latin American population legal access to cannabinoid-based medicines and opened the doors to a market of over 640 million people in the region.
The medical cannabis market in Latin America is in its infancy, which gives first movers like Verdemed a sustainable strategic competitive advantage over traditional medicinal cannabis players. Currently, the most advanced pro-cannabis regulatory frameworks are in Argentina, Brazil, Chile, Colombia, Mexico, Peru, and Uruguay. Together, they represent a population of 479 million, with a potential market of almost US$24 billion.
Although Latin American countries are moving towards the end of prohibition, they are doing so in an unsynchronized way, similar to markets in the USA, where each state has its own legislation for cannabis. The legal frameworks are not standardized either, generating an uneven business playground for cannabis companies in each country and jurisdiction.
This highly complex business environment requires the best pharmaceutical formulations: top-notch products; in-house medical affairs and clinical trials expertise; a robust business and regulatory strategy; and a strong executive leadership team with proximity to Latin America in order to navigate the market there successfully. Verdemed excels in all of the criteria that define winning contenders.
Medical Cannabis in Canada and USA
Canada, the birthplace of Verdemed, was the first country to adopt a systematic legal framework to regulate the medical use of cannabis (in 2001) – the Marijuana Medical Access Regulations. As a result, Canada became the global leader in the industry, and its national market serves as a useful reference for the future of cannabis around the world.
Canada had 23,930 registered medical cannabis clients in April 2015. By 2017, there were 201,398, and recently the figure surpassed 300,000. The national market size, according to Mackie Research Statista 2018, grew from CAD 49 million in 2015 to CAD 567 million in 2018 and is expected to reach over CAD 1.1 billion by 2020, for medicinal pharmaceutical cannabis only. This is not even considering the adult recreational use potential, which is not Verdemed’s current focus.
The USA has had a less smooth trajectory in its process of ending prohibition, with some conflict between state and federal legislation. In 2014, this conflict was eased with the Rohrabacher-Farr amendment, which prevents the Justice Department from interfering with state medical cannabis laws. In 2018, most states have legalized or are in the process of legalizing cannabis, with
46 states allowing doctors to prescribe medicinal cannabis, and 27 states fully ending prohibition and allowing the adult recreational use of cannabis. The USA’s medical cannabis market was valued at US$4.7 billion in 2016 and is expected to reach US$13.2 billion in 2025.