TORONTO (April 20, 2018) – PharmaCielo Ltd. (the "Company") announces that it has reached an agreement to acquire Colombia’s only established provider of telemedicine services, Ubiquo Telemedicina, enabling expanded access to medicinal cannabis expertise among the Colombian medical community.
A joint venture between the Government of Colombia and the private sector, Ubiquo Telemedicina launched in 2016 in the Department of Antioquia, Colombia. A knowledge management and medical consultation system, the platform currently has a patient base of more than 80,000 in the department, with established plans for expansion throughout the country over the next 36 months, increasing the base of both medical expertise and patients supported exponentially.
“Ubiquo Telemedicina provides a unique opportunity for PharmaCielo to continue our leadership in the Colombian marketplace, and to support the expansion of medicinal cannabis expertise throughout the country,” said Anthony Wile, CEO. “With over 400 medical practitioners currently engaging this interactive platform in support of a wide range of specialties, including areas of critical care, the facilitation of knowledge from within the medical community about cannabis formulations and medically appropriate treatment options is unparalleled.”
The operating mandate of Ubiquo Telemedicina is to create fair and equal access for all Colombians to medical care and expertise. By enabling the Colombian medical community to provide increased access to highly specialized practitioner knowledge and consultation, Ubiquo Telemedicina facilitates continuing medical education and treatment-focused communication among practitioners. As part of the operating agreement, knowledge about the possible uses, benefits and risks of medicinal cannabis will be enabled among medical practitioners associated with the platform to help them make educated and informed decisions about products and monitoring, in addition to the broad range of consultative supports currently provided by the platform.
Following execution, the two organizations are jointly working to conclude definitive agreements for working together to meet the needs of current medical practitioners associated with Ubiquo Telemedicina as well as to confirm strategies for expansion throughout the country.
Pursuant to the agreement, the Company intends to acquire all of the shares of Ubiquo Telemedicina, which will become a wholly-owned subsidiary of the Company in exchange for a combination of cash and shareholdings in PharmaCielo Ltd. valued at approximately $1.5 million CDN. The acquisition is arms-length and remains subject to due diligence, applicable approvals and a definitive purchase and sale agreement, which will include customary conditions, including obtaining all necessary corporate and applicable regulatory approvals. The acquisition is anticipated to be completed in 60 days or less.
PharmaCielo Ltd. is a global company privately held and headquartered in Canada, with a focus on processing and supplying all natural, medicinal-grade cannabis oil extracts and related products to large channel distributors. PharmaCielo’s principal (and wholly-owned) subsidiary is PharmaCielo Colombia Holdings S.A.S., headquartered at its nursery and propagation centre located in Rionegro, Colombia.
The boards of directors and executive teams of both PharmaCielo and PharmaCielo Colombia Holdings S.A.S. are comprised of a diversely talented group of international business executives and specialists with relevant and varied expertise. PharmaCielo recognized the significant role that Colombia’s ideal location will play in building a sustainable business in the medical cannabis industry, and the Company, together with its directors and executives, has built a compelling business plan focused on supplying the international marketplace.
PharmaCielo Colombia Holdings S.A.S., a wholly owned subsidiary of PharmaCielo Ltd., is headquartered at the Company’s Nursery and Propagation Center based in Rionegro, Colombia.
This press release contains forward-looking statements. Forward-looking statements can be identified by the use of words such as “intends”, “anticipates”, or variations of such words and phrases or state that certain actions, events or results “may” or “will” be taken, occur or be achieved. These forward-looking statements are based on assumptions, including the ability for the Company and Ubiquo Telemedicina consummating the acquisition and executing their business plans, that management believes are reasonable in the circumstances, but the actual results, performance or achievements may be materially different from any future results, performance or achievements expressed or implied by any forward-looking statements. Forward-looking statements can be affected by known and unknown risks, uncertainties and other factors, including, but not limited to, risks associated with closing the acquisition of Ubiquo Telemedicina including failure to obtain necessary approvals, risks associated with early stage companies, risks associated with the regulation of cannabis and cannabinoid derivatives, and risks associated with operating in Colombia. Accordingly, readers should not place undue reliance on forward-looking statements. Except as required by law, PharmaCielo undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise. However, any further disclosures made on related subjects in subsequent reports should be consulted.