Flora Growth Receives CGMP Certification of Compound Formulation Lab; Launches Prescription Cannabis Medicines in Colombia

Rhea-AI Summary

Flora Growth Corp. (NASDAQ: FLGC) has received INVIMA's CGMP certification for its Bogotá-based Flora Lab 4, marking a significant milestone in the company's pharmaceutical division. The lab will now produce eight cannabis-based prescription formulations for various ailments, including skin conditions, anxiety, and dementia. These products will be fully covered by Colombian insurers, expanding access to medical cannabis for an estimated 30 million eligible patients. The certification enables Flora to collaborate with doctor networks across Colombia, enhancing its position in the growing medical cannabis sector.

Positive

• Received INVIMA CGMP certification for Flora Lab 4.
• Will release eight cannabis-based formulations for specific ailments.
• All formulations will be fully covered by Colombian health insurers.
• Access to medical cannabis for approximately 30 million eligible patients.

Negative

• None.

• Flora Growth (NASDAQ: FLGC) receives INVIMA Current Good Manufacturing Practices (CGMP) certification for Flora Lab 4, a compound prescription formulation lab, based in Bogotá, Colombia
• The company will release eight prescription cannabis formulations to address specific ailments
• Flora’s formulations will begin being prescribed by doctors in Colombia and will be fully covered by all Colombian insurers

FORT LAUDERDALE, Fla.--(BUSINESS WIRE)-- Flora Growth Corp. (NASDAQ: FLGC) (“Flora'' or the “Company”), a leading cultivator, manufacturer and distributor of global cannabis products and brands, announced today the certification of its Bogotá-based compound formulation laboratory, Flora Lab 4, following the required regulatory inspection by INVIMA (Colombia’s FDA). The inspection certifies the lab as meeting Current Good Manufacturing Practices standards as determined by INVIMA. Flora Lab 4 specializes in manufacturing compound formulations utilizing cannabis derivatives and traditional master formulas.

Flora Lab 4 will now begin offering its cannabis formulations as well as design, development and manufacturing services for third parties. The lab will also make available to clients its experienced team members, knowledge of cannabis and modern facilities to promote the growth of the medical cannabis sector.

To begin, the team has developed eight cannabis-based formulations, in both topical and ingestible formats, specially designed to aid in the treatment of specific ailments, including various skin conditions, multiple sclerosis, anxiety and dementia. The team hopes to gather patient-reported pilot-study data to better understand patient responses and outcomes.

“We are very pleased to have received CGMP certification and to bring effective medicinal cannabis treatments to patients in Colombia. We applaud the Colombian government’s acknowledgment of the power of this plant by requiring all health insurance providers to cover the cost of medical cannabis. This policy is fundamental to fair access to these medicines for Colombia's roughly 30 million eligible patients,” said Luis Merchan, Chairman and CEO of Flora. “At Flora, we know the future of cannabis relies heavily on the transformation of this unique plant into mainstream medicines, accessible to the populations who need it most. We are proud to be playing a leading role in the progress toward that goal.”

With the approval from INVIMA, cannabis medicines can now be accessed by doctor networks throughout Colombia and can immediately be prescribed to patients over the age of 18. This offering comes as a law that went into effect on January 1, 2023, requires all insurance providers in the country to cover the cost of medical cannabis treatments for patients.

Flora is committed to creating sustainable growth in its Pharmaceutical division by utilizing high-quality raw materials sourced from its cannabis cultivation and processing operations in Colombia. These materials are then used for applied research initiatives in medical cannabis, contributing to the development of innovative and effective pharmaceutical products that can be used around the world. By ensuring the quality of its raw materials, Flora Lab 4 can confidently pursue its goal of advancing the medical cannabis industry and improving the lives of patients in need.

About Flora Growth Corp.

Flora Growth Corp. is a global cannabis company dedicated to bringing the benefits of cannabis to people worldwide. Our commitment is to create, master and connect the international cannabis supply chain by setting the standard for world-class cultivation and manufacturing, thoughtful brand development, and rigorous research and development of medical-grade cannabis products that meet the highest standards of quality, safety, and efficacy. Our mission is to create a world where the benefits of cannabis are accessible to everyone, and we are working toward that goal by becoming a leading importer and exporter of cannabis to meet demand in every corner of the market. Visit www.floragrowth.com or follow @floragrowthcorp on social media for more information.

Cautionary Statement Concerning Forward-Looking Statements

This press release contains ‘‘forward-looking statements,’’ as defined by federal securities laws. Forward-looking statements reflect Flora’s current expectations and projections about future events at the time, and thus involve uncertainty and risk. The words “believe,” “expect,” “anticipate,” “will,” “could,” “would,” “should,” “may,” “plan,” “estimate,” “intend,” “predict,” “potential,” “continue,” and the negatives of these words and other similar expressions generally identify forward looking statements. Such forward-looking statements are subject to various risks and uncertainties, including those described under the section entitled “Risk Factors” in Flora’s Annual Report on Form 20-F filed with the SEC on May 9, 2022, as such factors may be updated from time to time in Flora’s periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in Flora’s filings with the SEC. While forward-looking statements reflect Flora’s good faith beliefs, they are not guarantees of future performance. Flora disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes after the date of this press release, except as required by applicable law. You should not place undue reliance on any forward-looking statements, which are based only on information currently available to Flora (or to third parties making the forward-looking statements).

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Source: Flora Growth Corp.