To this end, the Company has entered into a binding Collaboration Agreement with Dolce, by which parties have agreed to an initial trial period for joint research and development, following which Dolce has the option (exercisable within 12 months) to initiate an incorporated joint venture (to be held 50:50 between the parties) on terms reasonably required by the Company.
There is no material consideration payable under the agreement. Dolce has developed specific proprietary strains of cannabis which have recently seen positive in vitro testing using human-derived cell lines to analyse the bio-efficacy on key Dolce cannabis strains.
Wellfully is a leading developer of enhanced drug delivery systems for use in health, wellness and beauty, using magnetic, micro-array drug and ingredient delivery techniques. It is partnering with Dolce to research the application and use of Welfully’s technology to deliver cannabinoids therapy transdermally.
The project will focus on development of cannabinoid applications containing the novel Dolce cannabinoid strains to treat inflammatory disorders, arthritis, rosacea, muscle recovery and damage, as well as cosmeceutical and skin care products.
Wellfully CEO Paul Peros said the collaboration had potential to open new opportunities for cannabinoid product delivery and application.
“The partnership will allow us to deliver the unique Dolce strains, using the newly discovered cannabinoids which research is showing to be much stronger in terms of anti-inflammatory properties than CBD, using our unique technological delivery system to create new products for the cannabis market.” he said.
“The early stage research into Dolce’s cannabis strains have presented us with exciting results and we are proud to be working with Dolce and its partners to develop cannabinoid products that can meet growing consumer interest and demand as the medicinal properties of cannabinoids continue to be highlighted,” he said.
“Last year it was estimated 1.2 billion people in the world suffer from medical conditions for which cannabis has shown to be of therapeutic value, so the signal to innovate and feed a mass market need is very clear. Our sights are very high and with the expertise of taking unique delivery systems to global markets particularly through our precision beauty brand, REDUIT, we would plan to launch products not only in Australia but internationally. We aim to become a player on the global stage and very much looking to tap into the global medicinal cannabis market,”Mr Peros said.
In the first stage of the collaboration, the companies will focus on development of formulations containing various concentrations of DOLCE CBDA, CBDP, CBG and CBDB cannabinoids for use in patches, gels, creams and oils for medicinal and / or nutraceutical purposes.
Stage 2 would see the creation of a JV to move into development of products for the skincare and cosmeceutical markets.
Project IP developed under the joint venture will be shared by both companies, and they have agreed to fund their role and responsibilities under the JV’s trial objectives before determining if they will proceed to a joint venture.
Under the agreement, Dolce and Wellfully have90 days to establish that Wellfully’s proprietary magnetic, micro-array drug and ingredient delivery technologies can utilise specific cannabinoid molecules followed by a 6-month Option to formalize the JV entity.
The proposed joint venture may need to negotiate with NeuroTech International Limited (NTI) if it wants to pursue neurological applications and the potential use of Wellfully’s proprietary technology, as the Company understands that NTI has obtained the rights to the use of certain technology of Dolce.
Wellfully Limited is a fully integrated, science-based wellness company.