MGC Pharma will receive a $5 million cash grant to create a GMP-certified manufacturing facility for its novel treatment for COVID-19, ArtemiC.
MGC Pharmaceuticals Ltd (ASX: MXC), a European based biopharma company specializing in the production and development of phytocannabinoid-derived medicines, is pleased to announce it has qualified for the support and start to receive the ~$5 million cash grant from Malta Enterprise to renovate and extend the Company's existing Clinical Research Organisation (CRO) facility in Malta to include a fully functioning GMP certified manufacturing facility for liquid dose form and its COVID-19 anti-inflammatory product, ArtemiC.
Malta Enterprise is the country's economic development agency, tasked with attracting new foreign direct investment as well as facilitating the growth of existing operations. In June this year, Malta Enterprise announced they may provide financial support not exceeding 80% of the eligible costs to support undertakings to carry out investment projects to increase or initiate production of COVID-19 relevant products or to diversify existing production to be able to produce COVID-19 relevant products.
MGC Pharma through its positive clinical trial work and results for ArtemiC, has qualified to receive a cash grant of approximately 3.1 million Euro (~A$5 million) from Malta Enterprise (ME) for the manufacturing of ArtemiC™ in Malta, which represents 80% of the expected construction and equipment cost for expanding the Company's existing CRO facility in Malta to include a GMP certified manufacturing facility.
The Opportunity for ArtemiCTM
MGC Pharma recently completed a renovation of its CRO Facility in Malta with assistance provided by ME. Following the Malta Enterprise COVID-19 initiative, MGC Pharma was presented with a unique opportunity to extend and build a world class, fully functional, EU-GMP manufacturing facility and create a European manufacturing hub for ArtemiCTM and for liquid form dose medicines, with the ability to scale up production to meet expected growing demand with positive clinical trial results.
Upon completion of the facility, MGC Pharma will be in a strong position to streamline global distribution via Malta's convenient shipping access to the entire globe. The initial target markets for the distribution of ArtemiC will be Israel, Russia, the CIS countries and countries in the Balkan region as determined by the distribution agreement signed with K.S. Kim International, a wholly owned subsidiary of SK-Pharma group.
The MXC Malta facility extension is currently under construction and is expected to be fully operational by Q2 CY2021.
MGC Pharma is very committed to our operations in Malta and helping to build a responsible and viable industry to support the island's emerging Pharma and Cannabis industries.Roby Zomer, Co-founder and Managing Director of MGC Pharma
Roby Zomer, Co-founder and Managing Director of MGC Pharma, commented: "We have been working closely with Maltese Authorities and Malta Enterprise and now have a tremendous opportunity to establish a European hub for our anti-inflammatory product, ArtemiCTM, which is continuing to have positive clinical trial results".
Kurt Farrugia, Chief Executive Officer, Malta Enterprise commented: "Malta Enterprise has been working closely with MGC Pharma Ltd, for almost two years now. We are very proud that their activities in Malta, will now also involve the production of ArtemiC™, a treatment whose effectiveness against the COVID-19 virus is currently being scientifically and clinically proven. The production of ArtemiC™ in Malta, will continue to strengthen our position as the ideal hub for advanced manufacturing and scientific development, and Malta Enterprise, as a strategic partner for anyone seriously interested in investing in Malta."
To learn more about MGC Pharma, visit their company HQ here.
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