Medical cannabis adoption trend continuing in UK after Althea Group secures key licence

Australian-based Medical Cannabis producer and supplier, Althea Group (ASX: AGH), have announced this morning that their Bristol-based medical clinic site has secured a licence from a UK independent health and social care regulator. The news suggests that medical cannabis is becoming increasingly accepted in the UK as a treatment option for chronic health conditions. 

Wholly owned Althea subsidiary MyAccess have two clinics in Bristol and London, which focuses on providing patients with anxiety, chronic pain, PTSD, sleep disorders, and multiple sclerosis, specialised care through the use of ‘specials’ medication, including medical cannabis. The clinic is one of two medical cannabis clinics in the UK to have received a licence from the Care Quality Commision (CQC), with the MyAccess Bristol site the only such clinic outside of London. The company report the newfound registration can be expanded to future clinics, and will allow the provision of home care services to patients. 

The Clinical Director for MyAccess Clinics, Graham Woodward, commented on the license stating “We’re delighted to have received our CQC registration and licence, which I am confident will be a turning point for patients who have so far been unable to access medical cannabis in the UK. The CQC licence will allow our physicians to prescribe with absolute confidence, along with now being able to assess patients in their own homes.” Althea’s CEO, Josh Fegan, expressed confidence that UK patients would receive a “gold standard of care from MyAccess Clinics prescribers.”

Since debuting on the ASX in 2018, Althea’s UK subsidiary have been busy in the UK, announcing earlier in the year that they would be supplying products for the UK’s first national pilot in medical cannabis. Drug Sciences’s pilot (Project TWENTY21), is expected to enrol 20,000 patients in the program by the end of 2021. Yesterday, Althea announced they will also be one of the product suppliers for a NSW study into cannabis treatment for advanced cancer symptoms. 

The Victorian-based company is focused on education, accessibility, and management of medical cannabis products, evident by their complementary service ‘Althea Concierge’ aimed at helping patients and healthcare professionals accessing such support. Althea’s THC and CBD products are manufactured in Canada by part Althea owner, Aphria Inc, and subject to a 509-step process, Althea’s seed-to-sale certification. Last month, the company announced that 2329 patients have been prescribed Althea’s medical cannabis in Australia, a record increase NSW simplified their prescribing regulations.

The company traded as high as $1.23 in July this year, with shares currently at $0.50. After the announcement this morning, Althea shares are up approximately 5.2% from yesterday’s close, suggesting a positive market response to the licensing news.