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Few industries appear to be evolving at such pace as the medicinal cannabis and CBD markets. Every week seems to bring new news; from countries legalising its use and making this life-changing drug available to patients, through to further discoveries on the therapeutic properties of the cannabis plant and its potential to improve lives.
Just last week came the news that a team from Curtin University had developed tiny capsules of CBD which have the potential to treat neurological disorders such as Alzheimer’s disease, multiple sclerosis and traumatic brain injuries. Little surprise then, that the demand for medicinal cannabis is expected to soar from $33.1bn today to $84.0bn by 2028 – a CAGR of 14.3%.
Over six million adults in the UK have tried cannabis products, whether that be in supplement, oil, topical or ingestible form, and that number increases every year, as new up-and-coming CBD and medicinal cannabis brands enter the arena. Among those leading the way is Avida Global, a producer of sustainably produced, high-quality medicinal cannabis oils and derivatives.
Founded in 2018, Avida Global has spent the last three years obtaining the licenses required to cultivate medicinal cannabis in North East Colombia and build a state-of-the-art facility at its 40-hectare site in La Jagua de Ibirico, Cesar. In parallel, the company has been forging key partnerships with distributors and value-added partners for the 20 tonnes of cannabis oils the facility is projected to produce per annum. The company recently announced that it will be supplying medicinal cannabis oil to a major beverage brand in LATAM, and a producer of vape products focused on delivering specific medicinal doses to patients.
With the help of Colombia’s equatorial climate and horticultural history, and the knowledge of a world-class team made up of some of the world’s most respected experts in agronomy, and pharmaceuticals, Avida Global has optimised its production processes to ensure the highest quality and consistency of its oils.
With a sharp focus on the well-being of their patients and customers, Avida controls all the variables involved in production – from cloning seeds to ensure the best quality genetics, to advanced irrigation techniques and optimal sunlight exposure.
In a burgeoning market with more than 5,000 participants, the race to differentiate and acquire market share is on, and it’s this commitment to quality and consistency which gives Avida Global a distinct advantage. According to David Kirby, CEO, “as the global market matures, producers and manufacturers that have focused on ensuring the total quality of their products will determine the companies that succeed in this marketplace.”
While its focus has primarily been on cannabis oils in the way of product development, Avida is currently working with a Californian laboratory to pioneer new, cutting-edge techniques of blending their cannabis oils with water-based ingredients. This technology has the potential to open up new doors in the food and beverage market.
Avida Global’s medium-term strategy is to become a vertically integrated global business (‘from seed to sale’). As the first step of this strategy, they are currently in final discussions for purchase of a major brand and manufacturing facility in the UK with market access across UK and Europe.
Avida Global has raised £6.1m to date and surpassed its £1mn crowdfunding target in just a few days of going live. Based on a pre-money valuation of £15.5mn, Avida Global has currently secured £1,376,728 from 487 investors with 13 days left to go before the round closes. The proceeds from this round will be dedicated to increasing its regulatory footprint, accelerating progression to EU-GMP (the continent’s benchmark for production quality) and business development.
Avida Global is already overfunded but there’s still an opportunity to join them and share in their mission of setting the industry benchmark for quality and becoming the pre-eminent Global supplier of medicinal cannabis oils in this lucrative sector.