Ann: Strong Initial Results from CBD Product Development Testing, page-2

MGC Pharmaceuticals provides an initial product testing update from its newly announced research and development Joint Venture with Natura Laboratories
• Results during the first phase of testing have been significant
• Positive results received from the application of a Cannabidoil (CBD) based formula for treatment of a number of skin ailments including Acne and Psoriasis
• Final testing phase to commence in H2 CY2015
• Initial CBD skin products launch targeted for early 2016
• CBD based products have major advantages over competing cosmetic and over-the-counter skin care products, including greater skin layer penetration
• Launch of proprietary range of cosmetic and over-the-counter skin care products provides MGC the opportunity to compete in the significant and high growth European cosmetics market (worth over US$70 billion in 2014)
• Revenues to be generated from these products will be in addition to the previously announced offtake revenues of A$15m per annum from CY2016