ECS Botanics Holdings Ltd (ASX: ECS) has launched into the direct-to-consumer (B2C) market with its medicinal cannabis products.
A contract with Elite Medical Solutions secures a minimum annual order of $380,000 for ECS’s soft gel capsules and oral liquids under the ‘RAP’ brand. This agreement has the potential for renewal for up to two additional terms based on demand trends.
This agreement also marks the launch of ECS soft gel capsules into Australia and complements its recent release of white label pastilles (gummies) products. ECS remains on track to launch the first of its AVANI Rapid range of VESIsorb higher bioavailability capsules as part of is B2C offer in Q1 FY25.
To support its B2C launch, ECS has recruited a seasoned B2C sales team. This team will focus on marketing directly to medical professionals, highlighting the therapeutic benefits of ECS products. Revenue generation is expected to commence in Q4 2024, with expanded margins anticipated in 2025.
ECS has also broadened its GMP license to include packaging, labelling, storage, and supply of pastilles and soft gel capsules. This expansion aims to improve supply efficiency from its Victorian facility.
On the B2B front, ECS has started commercial shipments of medicinal cannabis dried flower to Ilios Santé in Germany, following positive trial feedback and regulatory compliance.
ECS Managing Director, Nan-Maree Schoerie, emphasised the company's commitment to quality and market expansion: “We are excited to launch our own brand of medicinal cannabis products directly to patients. There is a growing trend where patients are seeking quality Australian produced product. Our offering of sun grown organic medicinal cannabis, produced in Northwest Victoria, is attractive to both doctors and patients.
“In June we will begin to introduce products under the Avani brand as well as launching the Avani Rapid higher bioavailability and faster acting products later in the first quarter of 2025.”
With a strengthened sales team and strong demand from international markets, ECS Botanics is poised for significant growth in both the B2C and B2B segments.