SOUTH West-based Little Green Pharma (LGP) has signed a five-year distribution agreement with Danish company Balancial for the supply of medicinal cannabis oil and flower products at a fixed price.
The agreement restricts Balancial from manufacturing or supplying similar medicinal cannabis oil or flower products until it has purchased at least 20,000 units from LGP.
LGP managing director Fleta Solomon said the agreement was another milestone in the company's strategy of growing its market share in key European medicinal cannabis markets.
"The company's entry into the Danish market follows Germany, the UK, and France as key European jurisdictions into which LGP has materially progressed the establishment of distribution pathways," Ms Solomon said.
"LGP is pleased to announce another agreement for the distribution of LGP products into a prospective EU medicinal cannabis marketplace and we look forward to collaborating with Balancial to help service our future Danish customers."
Until Balancial has purchased 20,000 units of products, it may not manufacture or supply any medicinal cannabis oil or flower products in Denmark that are the same or substantially similar, including any such medicines which have the same active ingredient ratios.
There is no minimum purchase quantity, however each purchase order placed must be for at least 2000 units each and Balancial must prepay 100 per cent of the first shipment prior to delivery and pre-pay 50 per cent of each subsequent confirmed purchase order.