January 09, 2020

Sundial and Vir Pharmaceuticals Sign Medical Cannabis Supply Agreement for Australian Chronic Pain Clinical Studies

Calgary, AB and Sydney, AU (January 9, 2020) – Sundial Growers Inc. (Nasdaq: SNDL) (“Sundial”), a Canadian licensed cannabis producer and Vir Pharma Holdings Pty Ltd., an Australian importer and manufacturer of medical cannabis, today announced a three-year agreement (the “Agreement”) where Sundial will supply medical cannabis oil for Vir Pharma’s unique oral formulation for chronic pain that will be used for sales and clinical studies in Australia.

Vir Pharma’s clinical studies contribute to the development of a proprietary cannabis-based prescription drug for Therapeutic Goods Administration (TGA) approval called Virabis. The drug is intended to treat chronic pain, providing patients with an alternative to current opioid-based treatments.

“This is a significant announcement for Sundial and our Heal (medical) business as it will lead to our first global exports and entry into Australian markets,” said Brian Harriman, Chief Operating Officer of Sundial. “We’re excited to be working with a leading company such as Vir Pharma to provide Australian patients with high-quality, cannabis-based therapies.”

Pursuant to the Agreement, Sundial will work with Vir Pharma to develop a cannabis oil blend focused on chronic pain, which will be marketed under Vir Pharma’s brand name, Virabis.

“At Vir Pharma, we believe that full spectrum cannabis medicines could be a useful second line therapy to reduce opiate consumption and enhance the lives of people living in chronic pain,” said Joel Hardy, CEO. “This agreement provides us a high-quality and consistent supply of GMP cannabis oil that allows us to guarantee a quality supply chain of materials to create products for sale in Australia and to conduct a clinical development program.”

The relationship between Sundial and Vir Pharma will enable shared learnings and capabilities, allowing both parties to leverage each other’s expertise and opening the door to developing innovative medical cannabis therapies moving forward.

Sundial expects to export the first shipment of cannabis oil to Vir Pharma before the end of April 2020.

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