Health House International insurance provider agreements will now allow the Australian company to supply medicinal cannabis to over 35 million Germans or close to half of the country’s insured patients.
The framework agreements, granting the company preferred supplier status, present the distributor with another massive market opportunity following the recently-formed German coalition government’s move to legalise the sale and use of recreational cannabis.
The medical cannabis market size is set to have grown by 180 per cent by 2026, with the value forecasted to be worth US$46 billion or roughly three times its current value.
The company said a Good Manufacturing Product licence requirement gave it an advantage over most other players.
“We see this as cementing our position for the future where medicinal cannabis becomes mainstream and insurers give it more focus,” chief executive David Attwood said.
Health House is soon to be acquired by Perth-based Zelira and are upbeat about the prospect of in-house manufacturing combined with its extensive global reach.
HHI’s Australian Stock Exchange-listed price was trading at 3.1c today (11.43 am UTC+ 8 hours).