- Many cannabis companies have struggled with declining investor interest amid product delivery shortfalls and adverse revenue reports
- The distribution obstacles have exacerbated company concerns by creating choking points for inventory, which can quickly lose potency in storage
- Lexaria Bioscience’s trademarked DehydraTECH powder-creating technology helps preserve cannabinoid effectiveness and extend storage potential 2 to 3 years
- The DehydraTECH platform also provides a key benefit in making cannabinoids, nicotine, NSAIDs and other drug products bioavailable as rapidly as inhaled products
- An alternative to inhaled smokes and vapes could provide health and wellness benefits to consumers by eliminating harm to users’ lungs
- Lexaria’s licensing strategy also enables other companies to utilize DehydraTECH’s IP in their products
As the cannabis industry works to weather 2019’s adverse profit and productivity reports (http://ibn.fm/niYkO), consumption drug platform innovator Lexaria Bioscience Corp. (CSE: LXX) (OTCQX: LXRP) is helping to ensure that product inventories can remain potent and perform at their potential despite a natural tendency for cannabinoids to deteriorate with time.
Public market investors have been short-term allies in a fledgling industry seeking long-term commitment, in large part because of initial sky-high expectations for profits from cannabis-related industries and regulatory hurdles from government oversight of a once-illegal product that have kept the brakes on runaway commerce. As a result, many companies have built up outsized debt-revenue ratios (http://ibn.fm/G29Ig).
Added to those concerns, a European study determined that the potency of tetrahydrocannabinol (THC) and cannabidiol (CBD) tends to degrade over time – THC by 20 percent per year while in storage and CBD by 10 percent (http://ibn.fm/3Dj6d), ensuring a need for producers to get their products to market in a timely fashion. Additionally, a study of storage mediums used for THC found that certain types of packaging can contribute to the degradation of the extract’s potency (http://ibn.fm/w0INv).
The adverse factors have combined to create a potential source of caution among consumers as some companies have had to report multi-million-dollar losses due to “congested inventory channels” resulting from production that has exceeded sales (http://ibn.fm/gbogP).
Lexaria’s product-stabilizing DehydraTECH(TM) oral drug delivery IP turns cannabis and hemp oils into powders that preserve the cannabinoid extracts in the products while mitigating microbiological growth to help the products last longer on retail shelves – the company reports (http://ibn.fm/KEyQ4) that products can be stored for two to three years and experience “reduced loss of cannabinoids compared to current industry practices.”
DehydraTECH’s primary benefit is that it enables swallowed drug substances to deliver their intended effects as rapidly and effectively as inhaled products such as smokes or vapes. Many consumers continue to prefer inhaling products containing nicotine-rich tobacco or cannabis-based marijuana and CBD, acknowledging that they get a quicker, better response than if they try to use other medicinal/wellness delivery methods.
The dangers of inhaling drug substances into the lungs have been established over decades, with recent concerns about vape ingredients adding new fuel to the fire (http://ibn.fm/ncC40). Lexaria is committed to combatting the deleterious effects of drug inhalation by making swallowed drug products more rapidly bioavailable in the bloodstream, and thereby as attractive as inhaled products if not more so.
In addition to the DehydraTECH products Lexaria markets, the company also licenses its technology to other companies for them to use in all of their edible and topical cannabis and/or hemp extract processing needs. Lexaria is able to process 250,000 servings of CBD at 10 mg each per day currently for distribution across the country.
Although CBD-based wellness products continue to remain under scrutiny by the federal government, many states have legalized topical and edible uses. A recent licensing agreement between Lexaria and the smokeless Cannadips CBD brand is drawing on DehydraTECH’s IP for a product chain available nationally through Circle K convenience outlets, in about 5,000 stores throughout the United States.
For more information, visit the company’s website at www.LexariaBioscience.com
NOTE TO INVESTORS: The latest news and updates relating to LXRP are available in the company’s newsroom at http://ibn.fm/LXRP
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