- Starting January 1st, 2022, every
insurance provider in Colombia, is
now mandated to cover the costs of high and low THC medical
cannabis prescriptions
- Significantly improves the current insurance coverage process,
simplifying the procedure and reducing approval times for patients
to obtain insurance coverage across the country
- Colombia has upwards of 6
million potential patients for medical cannabis products
(Source: IMS Quintiles), and more than 97% of the population
is covered with health insurance
- In 2021, the Company filled almost 52,000 medical
cannabis prescriptions in Colombia, 9 times more than in 2020. Over
60% of the product sales were covered by insurance under the
previous coverage rules
TORONTO, Jan. 4, 2022 /CNW/ - Khiron Life Sciences Corp.
("Khiron" or the "Company") (TSXV: KHRN) (OTCQX:
KHRNF)(Frankfurt:A2JMZC), a vertically integrated medical cannabis
leader with core operations in Latin
America and Europe,
announces that the Government of Colombia has added high and low THC medical
cannabis to its list of mandated covered medications for every
insurance provider in the country. This change will continue to
cement Khiron's leadership position in the Colombian domestic
medical cannabis market, leveraged by the Company's premium brand
and its "seed to sale" medical cannabis clinic model.
"In March 2020, Khiron became the
1st licensed producer in Colombia
to sell medical cannabis to patients through our wholly-owned
clinics. Since then, the Company has continued to experience
double-digit monthly growth and has exceeded more than
57,000 prescriptions sold to date, servicing more than
16,000 individual patients in the country and becoming a
category leader in the Colombian medical cannabis industry. In
December 2020, the Colombian
government included medical cannabis as an approved medication for
insurance coverage", commented Alvaro
Torres, Khiron CEO, and Director.
"Since then, we have worked with insurance companies across the
country to include this medication in their administrative systems.
In 2021, 60% of our products were sold through agreements
with two major insurance providers. Today, all insurance
companies are mandated to cover medical cannabis in Colombia, with less paperwork and hassle for
patients. Even though the previous rules were more complicated, the
insurance coverage made a dramatic difference in our results:
KPI
|
|
2020
|
2021
|
Conversion
Rate
|
# of prescribed
patients /
# of total
consults
|
8%
|
32%
|
Retention
Rate
|
# of returning
patients /
# of new +
returning patients
|
33%
|
60%
|
Average monthly
transaction value
|
CAD spent per
month per patient
on medical cannabis
|
CAD 55
|
CAD 75
|
Total
prescriptions
sold in Colombia
|
# medical cannabis
prescriptions
sold
|
~ 5,600
|
~ 52,000
|
With the inclusion of medical cannabis in the mandatory health
coverage plan ("POS"), we expect these trends to continue to grow
further. Starting January
1st 2022, any patient in Colombia will be able to get their medical
cannabis medication almost free of charge, regardless of the
insurance company they are subscribed to. This unprecedented
regulatory framework update will create one of the largest insured
markets for medical cannabis in the world and help position Khiron
as a leading company in this industry worldwide", added Mr.
Torres.
About Khiron Life Sciences Corp.
Khiron is a leading
vertically integrated international medical cannabis company with
core operations in Latin America
and Europe. Leveraging
wholly-owned medical health clinics and proprietary telemedicine
platforms, Khiron combines a patient-oriented approach, physician
education programs, scientific expertise, product innovation, and
agricultural infrastructure to drive prescriptions and brand
loyalty with patients worldwide. The Company has a sales presence
in Colombia, Peru, Germany, UK, and Brazil and is positioned to commence sales in
Mexico. The Company is led by
Co-founder and Chief Executive Officer, Alvaro Torres, together with an experienced and
diverse executive team and Board of Directors.
Visit Khiron online at
investors.khiron.ca
Linkedin:
https://www.linkedin.com/company/khiron-life-sciences-corp
Forward-Looking Statements
This press release may contain certain "forward-looking
information" and "forward-looking statements" within the meaning of
applicable securities legislation. All information contained herein
that is not historical in nature may constitute forward-looking
information. Khiron undertakes no obligation to comment on
analyses, expectations or statements made by third-parties in
respect of Khiron, its securities, or financial or operating
results (as applicable). Although Khiron believes that the
expectations reflected in forward-looking statements in this press
release are reasonable, such forward-looking statement has been
based on expectations, factors and assumptions concerning future
events which may prove to be inaccurate and are subject to numerous
risks and uncertainties, certain of which are beyond Khiron's
control, including the risk factors discussed in Khiron's Annual
Information Form which is available on Khiron's SEDAR profile at
www.sedar.com. The forward-looking information contained in this
press release is expressly qualified by this cautionary statement
and is made as of the date hereof. Khiron disclaims any intention
and has no obligation or responsibility, except as required by law,
to update or revise any forward-looking information, whether as a
result of new information, future events or otherwise.
Neither the TSXV nor its Regulation Services Provider (as that
term is defined in the policies of the TSXV) accepts responsibility
for the adequacy or accuracy of this press release.
Investor Contact:
Paola Ricardo
E: investors@khiron.ca
T: +1 (647) 556-5750
Media Contact:
Peter
Leis
Europe Communications
E: pleis@khiron.ca
Carolina Gomez
Latam
Communications
E: mgomez@khiron.ca
Khiron Europe:
Franziska Katterbach, President
E: fkatterbach@khiron.ca
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SOURCE Khiron Life Sciences Corp.