Pivot Monetizes Product Portfolio With Strategic Mexican Pharmaceutical Joint Venture Partner
Market Access To 70,000 Points of Sale in Mexico
VANCOUVER, BC – (October 30, 2018) – Pivot Pharmaceuticals Inc. (CSE: PVOT / OTCQB: PVOTF / FRA: NPAT) (“Pivot”) is pleased to announce that it has signed a Letter of Intent to create a Joint Venture (“JV”) with Mexico-based Intercontinental Marketing Co., S.A. de C.V. (“IMACO”) for the purposes of importing, registering and distributing Pivot’s patented line of bio-cannabis products into the Mexican market. IMACO’s subsidiary, Grupo Farmaceutico de Tijuana (“GFT”), was established in 1955 and is one of Mexico’s largest manufacturers and distributors of generics, has two distribution centers located in Tijuana and Mexico City, and reaches over 70,000 commercial customers including Costco, Walmart, Sam’s Club, and Circle-K, among others.
- Pivot – IMACO Joint Venture will register, distribute and sell Pivot’s portfolio of products into Mexico;
- JV will have access to distribute products in over 70,000 established Points-of-Sale including Walmart, Costco, Circle-K, pharmacies and supermarkets;
- Pivot’s products to be manufactured in Canada (upon receipt of appropriate licenses) and exported to Mexico. Initial products include oral solutions, topical gels, topical creams, tablets and capsules; and
- Pivot’s global reach now extends to Canada, EU, Latin America, California and Nevada.
The Joint Venture, owned 51% by IMACO and 49% by Pivot, will facilitate the importation and registration of Pivot’s industry-leading product portfolio in Mexico. With over 50 years of experience in pharmaceutical and nutraceutical manufacturing, distribution and warehousing, and regulatory and product registration know-how, the JV will be well positioned to serve Mexico’s medical cannabis needs.
“The focus of the distribution strategy and market penetration is to serve the pharmaceutical consumer sector as preferred suppliers and consultants, providing on time and trustworthy data for the decision making needed for each customer of medicinal cannabis products, and establishing close relations with the ANADIM (National Associations of Medicinal Distributors) through actual members such as Grupo Farmaceutico de Tijuana S.A, among others,” stated Mr. Juan Salvador Sánchez, CEO of IMACO.
Mr. Sánchez continued, “We have been eagerly watching Canada legalize cannabis and look forward to Mexico following the same framework. I am impressed by Pivot’s suite of differentiated products, their experienced management, and proven ability to commercialize products. My company has a track record of bringing high quality consumer, OTC and prescription products to healthcare providers and customers. I am confident that Pivot’s products will be well received within our existing categories.”
Dr. Patrick Frankham, Pivot’s CEO, stated, “With this Joint Venture, Pivot continues to establish itself as an international player in the emerging cannabis industry. Sustainable, long-term growth will only be achieved if a company can consistently produce quality differentiated products and have global distribution with best-in-class partners. I want to thank Mr. Sanchez for the trust that he has placed in Pivot to help bring our products to Mexican consumers.”
About Grupo Farmaceutico de Tijuana
Grupo Farmaceutico de Tijuana (“GFT”), was established in 1955 and is one of Mexico’s largest manufacturers and distributors of generics, has two distribution centers located in Tijuana and Mexico City, and reaches over 70,000 commercial customers including Costco, Walmart, Sam’s Club, and Circle-K, among others.
About Pivot Pharmaceuticals Inc.
Pivot Pharmaceuticals Inc. is a biopharmaceutical company engaged in the development and commercialization of therapeutic pharmaceuticals and nutraceuticals using innovative drug delivery platform technologies. Pivot’s wholly-owned medical cannabis products division, Pivot Green Stream Health Solutions Inc. (“PGS” or “Pivot Green Stream”), conducts research, development and commercialization of cannabinoid-based nutraceuticals and pharmaceuticals. Pivot’s wholly-owned U.S. subsidiary, Pivot Naturals, LLC, based in Costa Mesa, California, will manufacture and supply finished powderized cannabis products such as food additives, capsules, bulk powder and stick packs to the California market. PGS has acquired “RTIC” Ready-To-Infuse Cannabis oil-to-powder technology and Thrudermic Transdermal Nanotechnology (transdermal); acquired worldwide rights to BiPhasix™ Dermal Drug Delivery platform technology (topical), Solmic Solubilisation technology (oral), and Solumer™ Oral Drug Delivery technology; and an option to acquire worldwide rights to TriVair™ Nasal and Pulmonary Breath-Propelled Drug Delivery Systems™ for the delivery and commercialization of cannabinoid, cannabidiol (CBD), and tetrahydrocannabinol (THC)-based products. For more information please visit www.PivotPharma.com
Cautionary Note Regarding Forward-Looking Statements
Except for historical information contained herein, the matters set forth above may be forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ from those in the forward-looking statements. Words such as anticipate, believe, estimate, expect, intend, and similar expressions, as they relate to Pivot Pharmaceuticals Inc., Pivot Green Stream Health Solutions Inc., Pivot Naturals, LLC, or its management, identify forward-looking statements. Such forward-looking statements are based on the current beliefs of management, as well as assumptions made by and information currently available to management. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors, such as the failure to meet the conditions imposed by the CSE or other securities regulators, the level of business and consumer spending, the amount of sales of Pivot’s products, statements with respect to internal expectations, the competitive environment within the industry, the ability of Pivot to continue to expand its operations, the level of costs incurred in connection with Pivot’s expansion efforts, economic conditions in the industry, and the financial strength of Pivot’s customers and suppliers. Pivot does not undertake any obligation to update such forward-looking statements. Investors are also directed to consider all other risks and uncertainties.
Pivot Contact Information:
Pivot Pharmaceuticals Inc.
Patrick Frankham, PhD, MBA
Chief Executive Officer
Virtus Advisory Group