Creso Pharma Limited (ASX:CPH; FRA: 1X8) has signed a commercial agreement with DHS Business Portugal to introduce the group’s products into the Portuguese and Spanish markets, effectively expanding the company’s presence in Europe.
DHS has been active in the healthcare markets since 1991 through its involvement in strategic consulting and commercialization operations in the US, Brazil, Latin America, Africa (Angola, Mozambique) and Portugal.
Creso established itself as a premium global standard developer of cannabis and hemp derived therapeutic, nutraceutical, and life style products with wide patient and consumer reach for human and animal health.
In conjunction with DHS Business, Creso intends to initially focus its products on cannaDOL® 0.5% and 1% CBD topical gels to support the improvement of mobility.
These products target the sports population but also the demographic with diminished mobility due to Rheumatoid Arthritis and Arthrosis.
Further, Creso will also consider products sales of cannaQIX ®oral care addressing the needs of stress reduction and providing benefits for oral care management.
Creso and DHS Business are working on implementation plans, with a view to first products being sold in Spain and Portugal in the March quarter of 2021.
Commenting on this development, Creso Commercial Director Jorge Wernli said, “We are very much looking forward to entering the Portuguese and Spanish markets with our Creso topical and oral care products.
‘’These markets are very attractive, supporting us for further expansion into Latin America.’’
Creso and DHS Business aim to achieve a major coverage of sports shops and pharmacies offering over 2,000 points of sales in Portugal and over 4,000 points of sales in Spain.
The initial focus will be on the major cities of Lisbon, Sintra, Porto in Portugal whether population exceeds 4.5 million.
In Spain, the focus will be on Madrid, Barcelona, Valencia and Seville, which have a combined population of more than 6.2 million.
With the products, Creso and DHS Business aim to target the sports working and ageing population, representing approximately 50% of the total population or 3.8 million people.
Under the terms of the agreement, DHS Business will be paid an industry standard commission on sales of products.
No other fees were paid, or are payable, to any other party in relation to the agreement.
The agreement has an indefinite term, but may be terminated by 30 days’ notice by either party or forthwith for material breach.