Auscann : Successful Pilot Study of Final Dose Cannabinoid Capsules

ASX RELEASE

Successful Pilot Study of Final Dose Cannabinoid Capsules

Highlights

• • AusCann has completed a successful pilot study of an optimal final dose form for its proprietary cannabinoid medicines

• • New dose form solves the problem of stability of medical cannabis products currently on market

• • The study was carried out over the past ten months to be ready for the release of AusCann's first cannabinoid medicines in first half of 2019

• • This oral delivery dose form has been developed in the form of a unique solid capsule and a patent has been lodged by AusCann

• • AusCann has utilised its team of Australian pharmaceutical experts for the formulation and design process

• • AusCann is well-funded and is targeting the production of its first cannabinoid pharmaceuticals in 2019

16 August 2018 - Pharmaceutical company AusCann Group Holdings Limited (ASX:AC8) (AusCann or 'the Company') has completed a successful pilot study of its final dose form for its cannabinoid medicines.

Over the past ten months, AusCann has been running a comprehensive pharmaceutical development project to create an optimal dosage form cannabinoid medicine. This development work has involved studies on the foundational chemistry of cannabinoids drawing upon analytical expertise in Colorado, US, and Australia which in turn has informed modelling and laboratory scale proof of concept work of this optimal form.

Currently medicinal cannabis is typically administered via oral liquids, liquid sprays, hard or soft-shell gelatin capsules containing cannabinoids dissolved in oils, or inhalation of dried material or extracts. The main drawback to these formulations is the stability of the active cannabinoids which results in variability in the composition and the efficacy of the formulations.

Through its research, AusCann has developed a unique effective stable oral dose form which provides consistent and stable dosages of the active cannabinoids with reliable bioavailability. AusCann has lodged a patent in respect to the intellectual property it has developed and will be used in the production of its first stage cannabinoid pharmaceuticals being released in first half of 2019.

As is expected under the international quality standards that define Good Manufacturing Practice of pharmaceuticals, AusCann has ensured these standards have been incorporated in the design of the product and the manufacturing process.

Following a placement and subsequent share purchase plan last month, AusCann is well-funded to deliver on its path of developing safe, efficacious, clinically-validated and cost-effective cannabinoid medicines.

AusCann Group Holdings Ltd ACN 008 095 207www.auscann.com.au

Email:[e-mail]

Phone: [phone]

Suite 8, Level 2, Shenton House, 57 Shenton Avenue, Joondalup, WA 6027 AUSTRALIA

ASX RELEASE

AusCann Managing Director Elaine Darby: "AusCann has developed something truly unique in the world of cannabinoid medicines. Delivery of consistent and stable products has been an issue that plagues the cannabis medicine industry. This new hard capsule will be a game changer for doctors and patients as it is easy to use and will give consistent treatment outcomes every time. We are thrilled with the success of this study and look forward to releasing these new pharmaceuticals next year."

ENDS

For more information, please contact:

AusCann	For Investment Enquires	For Media Enquiries
Elaine Darby	Stewart Washer	Julia Maguire
Managing Director	[e-mail]	Director, The Capital Network
[e-mail]	[phone]	[e-mail]
[phone]	[phone]
ABOUT AUSCANN

AusCann Group Holdings Limited (ASX:AC8) is an Australian-based pharmaceutical company that aims to produce high quality, economical, and clinically validated cannabinoid medicines. AusCann is bringing together leading expertise and operations across all aspects of the medical cannabis value chain, beginning with cultivation and production, through to manufacture and distribution of products. Through partnerships with industry experts, existing leading market participants and doctors, AusCann is building operations and educating the medical community about the benefits of cannabinoid medicines. The company is initially targeting medications for neuropathic and chronic pain in Australia and internationally.

AusCann Group Holdings Ltd ACN 008 095 207www.auscann.com.au

Email:[e-mail]

Phone: [phone]

Suite 8, Level 2, Shenton House, 57 Shenton Avenue, Joondalup, WA 6027 AUSTRALIA