DanCann Pharma A/S: Market update for penetration of the Danish market, cf. the Danish Pilot Programme with medical cannabis

COPENHAGEN, Denmark, 26 April 2021 - DanCann Pharma A/S (SS: DANCAN) (“DanCann Pharma” or the “Company”) hereby provides an update on its market penetration of the Danish market, cf. the Danish Pilot Programme with medical cannabis.

DanCann Pharma has had an intensive spring so far with a focus on, among other things, the completion of the new high-tech production facilities, building a powerful and professional organization to prepare all the Company's processes, as well as negotiations on distribution agreements and dialogues around various application processes with authorities (the Danish Medicines Agency).

DanCann Pharma applied for its intermediate manufacturing permit for the import of medical cannabis products back in December 2020. The Company still expects to have its intermediate manufacturing permit for the import of medical cannabis products in place in the ongoing Q2 or at the latest early Q3, after which the individual product applications follow. With the new extended processing and handling times at the authorities, which was adopted at the beginning of the year (Q1), the Company therefore does not expect to have its products on the market in Q2 2021. Consequently, to this, DanCann Pharma has chosen to adjust its expectations for the sales start-up of the medical cannabis products from Cannassure Therapeutics Ltd. and MediPharm Labs Ltd., which were originally set for the second quarter of 2021 cf. latest communicated from the Company. The new sales start-up is now estimated to commence during the second half of 2021.DanCann Pharma CEO, Jeppe Krog Rasmussen, says:

“I would like to emphasize that we operate in a tightly controlled market environment, and this has simply been a reminder that the market penetration of the Danish market is complicated and very demanding. The Danish Pilot Programme is difficult to navigate within, cf. our regulatory framework work and the fact that we operate in a totally new industry that still needs to mature, as also previously communicated, both for manufacturers, doctors and patients - and for the same reason we have initiated the acceleration of our market penetration in other markets instead of only initially focusing on the Danish market, and we are currently in the process of establishing our subsidiaries in Germany and Sweden, respectively - as well as a broader scope of our business, on which we have so far only focused on “medical cannabis”, where we now also intend to have approved drugs within our business scope.

Regardless, the Danish market is currently still very limited, and what is the driving force for this market – besides our eternal focus on the patient – is the upcoming evaluation of the current regulatory rules for the prescription of medical cannabis in Denmark. This is to my best belief happening at the earliest with effect from 2022 on top of the evaluation during 2021. With that said, there is still a latent and attractive market for us as a Company, and we still intend to conquer and continue the battle for market shares and not least to make a difference for the many patients who need us.

The updated market forecast will not have any major impact on our business, we still expect to have our license for the handling of import approved during late Q2 / beginning Q3 2021, but we simply assume that our penetration of the Danish market is slightly exposed due to the product registration and launch cf. DMA handling times,” Jeppe Krog Rasmussen ends.

About DanCann Pharma

DanCann Pharma A/S (SS: DANCAN) was founded in 2018 and is a Danish biopharmaceutical Company powered by cannabinoids. DanCann Pharma is a vertically integrated, licensed production and distribution Company based in Denmark. The Company focuses on discovering, developing, manufacturing, and commercializing new therapeutic cannabinoids in a wide range of disease areas.

DanCann Pharma A/S (SS: DANCAN) is listed on the Spotlight Stock Market in Copenhagen.

For further information, please contact:

Jeppe Krog Rasmussen, CEO
E-mail: jkr@dancann.com
Website: www.dancann.com