Cann Group Ltd. · ASX:CAN
Cann — Investor Presentation (November 2022)
25 slides from Cann's investor presentation, Nov 25, 2022
Slide 1: ASX Announcement: Shareholder update
ASX ANNOUNCEMENT 25 November 2022 Shareholder update For personal use only 25 November 2022 – Melbourne-based Cann Group (Company) is pleased to invite shareholders, investors and interested parties to today’s investor update webinar and Q&A with CEO, Peter Crock and COO, Shane Duncan. The webinar w
Slide 2: Cann Group Limited, November 2022
For personal use only November 2022 Cann Group Limited ABN 25 603 949 739
Slide 3: Important notice and disclaimer
This presentation (Presentation) has been prepared by Cann Group Limited (ABN 25 603 949 739) (Cann). For personal use only Summary information This Presentation contains summary information about Cann and its activities which is current as at the date of this Presentation. The information provided
Slide 4: Agenda
For personal use only Market overview 1 Strategy & capabilities 2 Facilities and capacity expansion plans 3 Satipharm CBD registration program 4 Focus on growing immediate revenues 5 Share Purchase Plan 6
Slide 5: Market overview: Australia and global
For personal use only Australia • >600,000 existing medicinal cannabis users¹ • In 2019 ~4% of users were legally prescribed¹ • Rapid growth in prescribed patient approvals • >5,000 prescribing doctors currently² • ~$80 weekly spend per-patient³ Global • >30 countries have legalised medicinal cannab
Slide 6: Market trends: flower demand and OTC CBD
For personal use only Australia • Demand has shifted towards flower products¹ • Over-the-counter access to cannabidiol (CBD) legalised 2021 • Requires efficacy evidence, drug registration • Currently no S3 CBD products are registered • Other cannabis medicines are unregistered, available via prescri
Slide 7: Strategy and capabilities
Strategy and capabilities CANN GROUP LIMITED
Slide 8: In-house capabilities across cultivation, manufacturing and testing
For personal use only Large-scale, high-tech ODC and GMP Capsule manufacturing cultivation licensed High quality capability In-house analytical dried flower, APIs Proprietary high-yield Drug registration testing and extracts genetics program Cann is able to cultivate, extract, manufacture and test i
Slide 9: Cann strategy
Cann is executing a strategy to: For personal use only Achieve world-class capability and capacity across genetics, cultivation, manufacturing, and pharmaceuticals development Secure a globally competitive cost position while growing revenues and improving margins Supply a range of high quality and
Slide 10: Facilities and capacity expansion plans
Facilities and capacity expansion plans CANN GROUP LIMITED
Slide 11: Facility features
For personal use only • A micro-climate controlled glasshouse with manufacturing and warehouse space • Automated plant movement conveyors and plant propagation systems • In-house analytical chemistry and microbiology laboratories • CO2 extraction capability • Small-scale Satipharm manufacturing and
Slide 12: Capacity expansion plans
For personal use only • Optimising cultivation processes • Expanding output of high-quality dried flower • Achieving cultivation capacity in a step-wise fashion • Scaling up extraction and Satipharm capsule manufacturing capacity • Consolidating operations to Mildura
Slide 13: Satipharm CBD registration
Satipharm CBD registration CANN GROUP LIMITED
Slide 14: CBD access in Australia and globally
Australia For personal use only • Currently available via prescription only • Low-dose (≤150mg daily) CBD can be sold over-the-counter at pharmacies to adults… • If proven to be effective and registered as a medicine Global • Regulated as a food in EU, UK, and USA – widespread retail availability •
Slide 15: Satipharm S3 CBD trial and registration progress
• Investigating the impact of Satipharm low-dose CBD capsules on sleep disturbance For personal use only • Final participant has completed the study • Trial results expected early in CY 2023 • Registration dossier on track to be submitted in CY Q1 2023 • Stability program has commenced to support th
Slide 16: Non-binding term sheet with Haleon
Non-binding term sheet signed with Haleon Australia Pty Ltd (formerly known as GlaxoSmithKline For personal use only Consumer Healthcare Australia Pty Ltd) for marketing & over-the-counter (OTC) distribution of Satipharm low-dose CBD capsules in Australia/New Zealand • Covers proposed milestone paym
Slide 17: THC capsules and genetics program
For personal use only • Engineering batches scheduled • Would extend Satipharm into S3, S4, and S8 • S8 products lead the Australian market, significant global interest in THC-containing capsules • World-class accelerated plant breeding program • Supporting new products and yield improvements • 7 no
Slide 18: Focus on growing immediate revenues
Focus on growing immediate revenues GROUP LIMITED
Slide 19: Demand for oil and dried flower; GMP import requirements
• Growing demand for oil and high-quality dried flower For personal use only • GMP production and supply capabilities • GMP analytical chemistry and microbiology • New customers and markets being accessed • GMP requirements for imports from July 2023 is increasing demand for local supply • Regulatio
Slide 20: Sales momentum
• Generating sales momentum For personal use only • Repeat orders – in larger quantities – from existing and new B2B customers • Sales engagements focused on Australian and German dried flower clients • Mildura’s capacity and the breadth of high-yield strains enables much larger scale supply agreeme
Slide 21: Summary of growth drivers
For personal use only • Efficiently scalable to • Expanded domestic and • S3 registration program. • THC and other API meet growing demand. international customers. • Non-Binding Term Sheet containing Satipharm • Industry-leading • Targeting new marketing with Haleon for products. cultivation and an
Slide 22: Share Purchase Plan
Share Purchase Plan CANN GROUP LIMITED
Slide 23: Share Purchase Plan purpose and timetable
For personal use only • Current Satipharm manufacturing and packaging lines at Mildura are sufficient for unregistered, prescription-only market SPP Offer opens Monday, 31 October 2022 • S3 registration requires step-change in manufacturing capacity – from thousands to millions of capsules per month
Slide 24: Key takeaways
For personal use only • Mildura is a world-class cultivation and production facility that will enable Cann Group to be globally cost competitive • Operations are now being streamlined and consolidated to capture important additional efficiencies • The execution of a non-binding term sheet with Haleo
Slide 25: Contact details
For personal use only Peter Crock Chief Executive Officer peter.crock@canngrouplimited.com Shane Duncan Chief Operating Officer shane.duncan@canngrouplimited.com Rhys Cohen Senior Corporate Communications Manager rhys.cohen@canngrouplimited.com canngrouplimited.com | +61 3 9095 7188