- On December 30, 2022, the
Ministry of Health of Colombia
reaffirmed the inclusion of plant-based medical cannabis products,
i.e., Khiron products, in the mandatory insurance coverage
system
- Starting January 1st, 2023, every
insurance provider in Colombia, is
mandated to cover the costs of medical cannabis prescriptions for
patients
- Khiron will immediately start filling backlogged orders of
insurance-covered prescriptions in Colombia
- New Contract Awarded: Additionally, in December 2022, Zerenia™ Colombia entered
into a contract with the largest Government-owned insurance company
in the city of Bogota with over
one million people under coverage, to provide healthcare services
with medical cannabis for its patient population
TORONTO, Jan. 5, 2023
/CNW/ - Khiron Life Sciences Corp. ("Khiron" or the "Company")
(TSXV: KHRN) (OTCQX: KHRNF) (Frankfurt: A2JMZC), announces that the new
Colombian Government has included plant-based medical cannabis
products (i.e., Khiron products) in the list of mandatory
insurance-covered medications starting January 1st, 2023, as well as the
signing of a first-of-its-kind medical cannabis contract with one
of Colombia´s largest insurance companies based in the city of
Bogota.
Resolution 2808 of 2022 was signed by the Ministry of Health on
December 30, 2022. This revision was
necessary to remove unintended ambiguities that had arisen whether
plant-based magistral preparations from medical cannabis (i.e.,
Khiron products) were also included in the insurance coverage. This
is now once and for all clearly confirmed. The new government is
fully committed with the use of medical cannabis as a covered
treatment under the Colombian health system.
The Government used this iteration to also validate medical
conditions where they find moderate to strong evidence that
cannabis is an effective treatment. These medical conditions
evaluated by the IETS (Technical Institute of the health Sector)
include chronic and neuropathic pain, oncology pain, sleep
disorders, epilepsy, and fibromyalgia, which represent the primary
conditions treated with Khiron products.
During the first half of 2022, insurance-covered prescriptions
represented more than 90% of the Company´s cannabis sales in
Colombia. With a patient base of
more than 25,000 patients, Khiron will immediately resume
filling insurance-covered prescriptions through its Zerenia clinic
network.
In addition, Zerenia™ Colombia (Khiron´s wholly owned
medical cannabis clinic network), has entered into a contract to
provide "Integrative Health Services and Pharmacotherapeutic
Treatment with Medical Cannabis" with the largest Government-owned
insurance company in the city of Bogota, with more than 1.2 million insured
individuals. This is the first time an insurance company in
Latin America is contracting
medical cannabis specific services and products. This represents an
opportunity for Khiron and Zerenia to expand its client and patient
base within Colombia, while
continuing to differentiate itself with its unparalleled expertise
in medical cannabis and proprietary scientific evidence.
Alvaro Torres, CEO of Khiron,
comments: "Today is a great day for patients in Colombia and Khiron. We welcome the decision
from the new Colombian government to categorically mandate
insurance coverage for our medical cannabis products. With this
decision, Khiron will immediately tackle the backlog of covered
medical cannabis products to our patients. In parallel, we have
also secured a first-of-its-kind contractual relationship with one
of Colombia´s largest government-owned insurance companies for
medical cannabis specific healthcare services and dispensation.
These two achievements, will allow us to revert to predictable
recurring revenues, shorter collection periods and improved
cashflow."
About Khiron Life Sciences Corp.
Khiron is a leading
global 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 focus on creating access to
drive prescriptions and brand loyalty with patients worldwide. The
Company has a sales presence in Colombia, Germany, the United
Kingdom, Switzerland,
Peru, and Brazil. The Company is led by its co-founder
and Chief Executive Officer, Alvaro
Torres, together with an experienced and diverse executive
team and board of directors.
Visit Khiron online at https://investors.khiron.ca.
Linkedin
https://www.linkedin.com/company/khiron-life-sciences-corp/
Cautionary Statement Regarding Forward-Looking
Information
This press release may contain "forward-looking
information" within the meaning of applicable securities
legislation. All information contained herein that is not
historical in nature constitutes forward-looking information.
Forward-looking information contained in this news release may
include statements pertaining to the expected synergies and
benefits to the Company from the acquisition of the Target as well
as statements as to business strategy. Forward-looking information
and statements contained in this news release reflect management's
current beliefs and is based on information currently available and
on assumptions that management believes to be reasonable. These
assumptions include, but are not limited to, the expected benefits
to be realized by Khiron's business as a result of the acquisition
of the Target, and assumptions regarding market opportunities in
the jurisdictions in which the Company operates and where it seeks
to operate.
Although management believes that its expectations and
assumptions to be reasonable, forward-looking information is always
subject to known and unknown risks, uncertainties, and other
factors, many of which are beyond the control of management, that
may cause actual results to differ materially from those expressed
or implied in such forward-looking information. Such risks and
uncertainties include but are not limited to the following: general
economic conditions, adverse conditions in capital markets,
political uncertainties, counterparty risk, failing to obtain
required regulatory requirements and approvals, failure to maintain
required permits and licences, business integration risks, as well
as those other risk factors discussed in Khiron's most recent
annual information form which is available on Khiron's SEDAR
profile at www.sedar.com.
As a result of the foregoing and other risks and uncertainties,
readers are cautioned not to place undue reliance on
forward-looking information contained in this press release.
Readers are further cautioned that the foregoing risks and
uncertainties is not exhaustive, and there may be other risks and
uncertainties, presently unknown to management of the Company, that
may cause actual results to differ materially from those expressed
or implied in forward-looking statements contained in this press
release. The forward-looking information contained in this press
release is expressly qualified by this cautionary statement. Khiron
disclaims any intention to update or revise any forward-looking
information disclosed herein, whether as a result of new
information, future events or otherwise, except as required by
law.
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PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX
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SOURCE Khiron Life Sciences Corp.