Media Release: Lifespot (ASX: LSH) Strengthens Go-To-Market Cannabis Strategy with 100% Acquisition of Seng Vital
- Value of $275,000 ($50,000 cash and 2,628,505 shares) for remaining 50% of Seng Vital
- In discussions with interested parties in cannabis industry in Canada, USA, Israel, Australia and NZ
- Completion of investment in development phase of both Seng Vital Vaporiser & BodyTel system
- Now entering commercialisation phase with a cessation of development spend
- First to market with unique integrated cannabis vaping system
- Strong balance sheet with cash of $3.284M as at 30 June 2018
Lifespot Health Ltd (ASX: LSH) (“Lifespot” or “Company”) is pleased to announce that the Company has strengthened its go-to-market cannabis strategy with the acquisition of the remaining 50% of Seng Vital in order for Lifespot to now fully own 100% of the Seng Vital Company and smart cannabis vaporiser assets.
Lifespot has purchased the remaining 50% of Seng Vital with $50,000 cash and $225,000 in Lifespot shares (2,628,505 shares at $0.0856 per share) for a total value of $275,000. All assets and management of Seng Vital will be managed by Lifespot Health Australia Limited. Consideration shares will be issued to Seng Vital vendors by 21 September 2018 utilising the Company’s 15% placement capacity pursuant to ASX Listing Rule 7.1
Lifespot’s 100% owned subsidiary, BodyTel GmbH (BodyTel) has developed a system with which the Seng Vital “smart” vaporiser is now fully integrated and demonstrations are underway to seek commercial arrangements in licensing supply. There has been strong interest from parties in cannabis industry in Canada, USA, Israel, Australia and New Zealand with ongoing demonstrations and commencement of licensing discussions. These markets are well advanced in approvals for both medical and recreational cannabis, however the Company is also well positioned for the next wave of approvals pending in European countries.
The features of the Seng Vital “smart” vaporiser integrated system have been recognised by major cannabis players as unique and compelling:
- Digital sign on and APP download via smartphone or iPad
- Fingerprint activated for enhanced safety and security
- Vape session tracking for adherence and responsible usage
- Adverse event tracking via doctor monitoring
- Recording of pain scores by users (other functions available on demand)
- Integrated diary
- Doctor invitation (QR code enabled) and doctor control option
- Capsule identification via PZN & QR code to meet US FDA standards
- Integration within Lifespot’s existing ISO 13485 Quality Management System
Lifespot’s acquisition of Seng Vital marks the shift from platform development to commercialisation, focused on Cannabis Vaporising. As such, the BodyTel team has been downsized significantly and preparations are underway to integrate the Seng Vital and BodyTel office and technical infrastructure into a single cost-efficient entity to support maintenance of existing customers and management of ongoing maintenance of robust ISO13485 Quality Management System.
Rod Hannington, Chairman of Lifespot, said:
“This optimised company structure and re-focus of our platform to cannabis vaporising marks an important point in time, where we are focussing our unique integrated system on a category which is growing rapidly and the major players looking for companies like us to support them.
“We understand from our meetings that we are first to market a delivery device with these unique features and the major cannabis players see great value in our unique assets that are real enablers for them to register and commercialise their cannabis vaporising products. Our integrated hardware and quality management platform provides a safe, measurable and controllable method for vaporising cannabis oil.
“In addition the Company is in discussions with a number of Telehealth companies to license or provide access to the BodyTel platform and the integrated ISO13485 Quality Management System to further monetise this asset via third parties. This a great way to continue to monetise the original BodyTel platform whilst we further delve into the cannabis sector directly.”
BodyTel will continue to service B.Braun maintenance contracts and developments, however the new business development focus for Lifespot will be on securing licensing deals in the burgeoning cannabis sector.
The cannabis sector is seeing above average, rapid growth from the concentrate vaporising sector reinforcing the greater efficacy and safety of this form of cannabis usage both in medical and recreational users. Lifespot is well positioned to take advantage of this.
Further updates will be provided in due course.
For further information please contact:
Rod North, Managing Director
Bourse Communications Pty Ltd
T: +613 9510 8309, M: +61 408 670 706
E: [email protected]
About Lifespot Health Ltd
Lifespot Health an ISO 13485 certified company, operates within the digital health sector and is focused on developing and commercializing medical diagnostic and monitoring technology. Our systems and applications aim to bring efficiencies in the medical system to clients and end users, saving time and money.
Lifespot Health integrates software to combine enhanced sensor technology with self-learning algorithms, allowing patients and healthcare professionals to efficiently monitor chronic diseases and critical conditions on their personal and professional digital devices including Smartphone, iPad / Tablets and desktop.
For more information please visit: http://lifespot-health.com/