AUSTRALIAN medicinal cannabis cultivator and manufacturer, ECS Botanics, has received a Victoria Government manufacturing grant of $118k.
ECS has also secured an extension of its asset finance facility with National Australia Bank (NAB), increasing its funding arrangements by an additional $3.4 million.
The company will use the funding as part of its expansion into production of live rosin cartridges for both its own-brand and white label products.
The asset finance facility provides ECS with greater flexibility to expand its growing and production facilities without equity dilution, and to boost cannabis production and drive increased sales.
The facility is in addition to the existing $2 million working capital loan from NAB which the company said remains undrawn.
ECS Managing Director Nan-Maree Schoerie, said, "the Victoria Government, grant together with the NAB financing, will help ECS expand our product range into manufacturing and supplying rosin cartridges as well as funding other growth initiatives".
Schoerie explained that in more mature markets, vaping medicinal cannabis cartridges have become increasingly popular.
"Cartridges can reduce the exposure to harmful toxins, have less odour, are less irritating to the throat and are more discreet when compared to inhaling dried flower," Schoerie commented.
"As a result, vape cartridge, as opposed to dried flower, are more convenient, healthier and socially acceptable for patients seeking immediate therapeutic benefits."
The production of live rosin cartridges continues the company's expansion into selected opportunities within the downstream medicinal cannabis sector, Schoerie concluded. JG
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