Ann: Leading Epilepsy Expert Joins MXC Strategic Advisory Board-MXC.AX, page-3

MGC Pharmaceuticals Ltd | ABN 30 116 800 269 Level 7, 1008 Hay Street Perth WA 6000 | PO Box 7209 Cloisters Square WA 6850 Ph +61 8 9389 2000 | Fax +61 8 9389 2099 [email protected] | www.mgcpharma.com.au 13 July 2016 ASX Code: MXC Leading World Epilepsy Expert Joins MXC Strategic Advisory Board MGC Pharmaceuticals commits to a key plank of its Australian Medical Cannabis Strategy - focusing on the benefits of medical cannabis for the treatment of severe epilepsy in children • Leading Israeli Paediatric Neurology and Paediatric Epilepsy expert Professor Uri Kramer appointed to the Company’s Strategic Advisory Board, to direct the development of clinical trial programs in Australia and Europe • Appointment substantially enhances the Company’s expertise in severe epilepsy and nausea treatments • In addition, MGC Pharmaceuticals and the University of Sydney have commenced the process of stakeholder engagement, focusing on the benefits of medical cannabis for the treatment of severe epilepsy in children • This follows the Victorian Government’s recent approval of the use of medical cannabis for children with severe epilepsy, and the New South Wales Government pushing towards its own clinical trials • The two stage engagement process with key stakeholders, including Federal and State governments, will lay the foundations for potential formal collaboration agreements and the commencement of Australian clinical trials • The focus on severe epilepsy with children and severe nausea aligns strongly with MGC Pharmaceuticals’ existing management expertise in the field, strongly complemented by Professor Kramer joining the team MGC Pharmaceuticals Ltd (ASX: MXC or “the Company”), is pleased to announce that Professor Uri Kramer, a highly regarded expert in the field of Paediatric Neurology and Paediatric Epilepsy, is joining the Company. Professor Kramer will be a key technical medical consultant to the Company and will join the Strategic Advisory Board where he will advise and help direct the key strategy for the commencement of clinical trials using medicinal cannabis for severe epilepsy and nausea in Australia and in Europe. Professor Kramer joins Strategic Advisory Board Leading Israeli Medical Professor Uri Kramer has been appointed to the Company’s Strategic Advisory Board and along with leading Australian cardiologist, Dr Ross Walker, will consult the development of the strategy for MXC’s clinical trials globally, and medical product development. The appointment of a renowned world leading expert substantially enhances the Company’s expertise in severe epilepsy. Professor Kramer will consult for the development of clinical trials in Australia and Europe for medical cannabis focussing on severe epilepsy in children and severe nausea from radiation and chemotherapy treatments. Professor Kramer is the Director of Paediatric Epilepsy Service at Tel Aviv Sourasky Medical Centre in Tel Aviv, Israel, and led research regarding medical cannabis treatments for severe cases of epilepsy, where he is an acknowledged global expert. 1 1 Source: Research Report, click here www.mgcpharma.com.au Page 2 of 3 MGC Pharmaceuticals and University of Sydney commence stakeholder engagement In addition, together with the University of Sydney and as a key part of its Australian Strategy, MXC has commenced the process of stakeholder engagement which includes a focus on the benefits and administration of medical cannabis for the treatment of severe epilepsy in children. This follows the recent successful publication of the Company’s White Paper2 , which was jointly produced with the University of Sydney. The White Paper, which was widely read and commented on by industry and academics alike, was the first ever analysis of the Australian medical cannabis industry and the potential commercial opportunities likely to emerge in the domestic market. It also follows the recent Victorian State Government legislative changes allowing the use of medical cannabis for the treatment of children with severe epilepsy on compassionate grounds. Recently, the New South Wales Government has also indicated its intentions for future medicinal cannabis trials for chemotherapy related nausea. Together with the University of Sydney, the Company has commenced an engagement process with key stakeholders. This includes the Australian Federal government and a number of Australian State governments, medical professionals, academics and other industry participants. Stakeholders will complete a comprehensive survey regarding the use of medical cannabis for the treatment of epilepsy, looking at patient numbers, potential and existing drugs, drug development and regulatory pathways. This will be followed by further discussions and interviews with key stakeholders and is expected to lay the foundations for formal collaboration agreements and clinical trials in Australia. Commencement of Clinical Trials in Australia with Medicinal Cannabis In addition to the above, there is potential for the Company to facilitate international partnerships for intellectual property sharing, to be formed with leading Israeli medical institutes that have existing medical programs and treatments for severe epilepsy using medicinal cannabis. This is a key focus of the Company’s strategy to undertake clinical trials in Australia and Europe, with the appropriate governmental support and key stakeholders involvement. The MGC Pharmaceuticals management team has extensive expertise in the field ofsevere epilepsy and nausea, which is now strongly enhanced by Professor Kramer’s appointment. Nativ Segev, MGC Pharmaceuticals’ MD and CoFounder, was previously the CEO of Israel’s second largest licensed medical cannabis company. Nativ worked on a substantial research and clinical trial program with approximately 150 human volunteers which was conducted under the supervision of Professor Kramer at Tel Aviv Sourasky Medical Centre. The program tested the use of medical cannabis in children suffering from severe epilepsy in Israel. The research has shown promising results in children whose epilepsy has not responded to multiple drugs, with a success rate of approximately 20% in reducing seizures by 75% in epileptic children3 . Nativ Segev, Co-founder and Managing Director, MGC Pharmaceuticals commented: “We are very pleased to welcome Professor Kramer to the Company, who will further our expertise in this area and assist MGC Pharmaceuticals build strong momentum in the emerging Australian medical cannabis industry as we continue to work with the University of Sydney and stakeholders in this area. 2 To view the White Paper, click here 3 Source: Research Report, click here www.mgcpharma.com.au Page 3 of 3 “The benefits of medicinal cannabis for the treatment of severe epilepsy in children is well-known and given our expertise in this field, it is natural that we take a leadership role in the conversation. Additionally, expanding our clinical trial program to include Australian clinical trial sites, forms a key pillar of the Company’s recently announced Australian strategy.” University of Sydney Business School’s Michael Katz commented: “Our White Paper on the Australian medical cannabis industry was extremely well received, widely read and commented on by industry and academics alike. The positive response from all key stakeholders, including government, has helped us to design this next step in the process which is to take a detailed look at the use of medical cannabis for the treatment of children suffering from severe epilepsy, an area that is highly deserving of immediate attention by all stakeholders.” -EndsFor further information, please contact: Media Enquiries Andrew Ramadge Senior Account Manager Media and Capital Partners +61 475 797 471 [email protected] MGC Pharmaceuticals Ltd Brett Mitchell Executive Chairman +61 8 9389 2000 [email protected] About Professor Kramer As one of the few medical professionals in the world to have run full scale epilepsy trials with Cannabis, Dr. Kramer is a significant boon to our team, and brings a wealth of experience in various fields (Neurology, Paediatric Neurology, Adolescent Psychology and Child Development). Additionally, Professor Kramer is a Former president of the Israeli League Against Epilepsy, giving him unique insight into the daily struggles of the patients his research benefits. About MXC MGC Pharmaceuticals Ltd (ASX: MXC) is EU based specialist medical cannabis company with many years of technical and commercial experience in the medical cannabis industry. The Company’s founders were key figures in the Israeli medical cannabis industry and the core business strategy is to develop and supply high quality non-psychoactive Cannabidiol (CBD) resin extract to the growing demand in cosmetics and medical markets in Europe, North America and Australasia. The Company is also developing strategic joint ventures in these key value add industries, as demonstrated with MGC Derma CBD cosmetics.