Full Press Release Details
Cronos Group Inc. Announces Exclusive Distribution Agreement
with Delfarma in Poland
TORONTO, June 25, 2018 /CNW/ - Cronos Group Inc.
(NASDAQ: CRON) (TSX: CRON) ("Cronos Group" or the "Company"), is pleased to announce
that it has entered into a strategic distribution partnership with Delfarma Sp. Zo.o ("Delfarma"). Founded in 2004, Delfarma
is a privately owned pharmaceutical wholesaler and was the first company in Poland to introduce international parallel import of
medicinal products from European Economic Area countries. Delfarma distributes directly to over 5,000 pharmacies and more than
200 hospitals, a distribution network that reaches approximately 40% of the Polish domestic market.
Under the initial five-year exclusive distribution agreement,
Cronos Group's global subsidiaries will supply Peace Naturals branded cannabis products to Delfarma for distribution within Poland.
Leveraging Delfarma's extensive distribution network, this partnership provides Cronos with unrivaled access to the Poland market.
The parties are simultaneously working to obtain the necessary regulatory approvals within Poland for the full line of medical
cannabis products with the aim to offer patients in Poland a variety of premium treatment options.
"We are thrilled to partner with Delfarma, an innovative,
established and reputable pharmaceutical leader," said Mike Gorenstein, CEO of Cronos Group. "Delfarma's expertise and
widespread distribution channels are aligned with Cronos' strategic focus on building an international distribution platform by
partnering with existing industry leaders."
The strategic partnership with Cronos confirms Delfarma's
creative and resourceful approach to the ever changing pharmaceutical market in Poland. "We want to actively shape the market
by offering new and differentiated products to patients," said Tomasz Dzitko, Founder and CEO of Delfarma. "We are excited
that with Cronos, we will launch medical cannabis in Poland just months after its legalization and by doing so extend the optionality
for treatment of various medical conditions to improve the lives of patients."
Delfarma is a pharmaceutical wholesaler and manufacturer in Poland. As a pioneer and parallel distribution leader, Delfarma markets
approximately 500 medicinal products, both prescription and OTC, supplied to pharmacies, pharmaceutical wholesalers and hospitals.
Delfarma's storage and repacking facilities are fully owned and operated, guaranteeing complete control of processes, continuity
of sales and creating flexibility for Delfarma's partners. Delfarma is constantly expanding its product portfolio and extending
its customer base in line with its long standing objective to be "Always one step ahead!" Parallel distribution
is the only form of competition for any specific medicine during the life of its patent. It stems from price differentials among
national markets within the European Economic Area. All transactions are done through authorized pharmaceutical wholesalers. Since
2005, parallel distribution in Poland had generated over PLN 1 billion (CAD 400 million) of savings to the government, national
health insurer and patients by making original, innovative medicines available at a lower cost.
Cronos Group is a globally diversified and vertically integrated cannabis company with a presence across four continents. The Company
operates two wholly-owned Canadian licensed producers regulated under Health Canada's Access to Cannabis for Medical Purposes
Regulations: Peace Naturals Project Inc., which was the first non-incumbent medical cannabis license granted by Health
Canada, and Original BC Ltd., which is based in the Okanagan Valley, British Columbia. The Company has multiple international
production and distribution platforms including in Germany, Israel and Australia. The Company intends to continue to rapidly
expand its global footprint as it focuses on building an international iconic brand portfolio and develop disruptive intellectual
property. Cronos Group is committed to building industry leading companies that transform the perception of cannabis and
responsibly elevate the consumer experience.
Forward-looking statements
This news release contains "forward-looking information" and "forward-looking statements" within the meaning
of applicable Canadian and U.S. securities laws. All information contained herein that is not clearly historical in nature
may constitute forward-looking information. In some cases, forward-looking statements can be identified by words or phrases
such as "may", "will", "expect", "plan", "anticipate", "intend", "potential",
"estimate", "believe" or the negative of these terms, or other similar expressions intended to identify forward-looking
statements. Some of the forward-looking statements contained in this press release, include the Company's access to the Polish
and European markets, the Company's ability to supply international markets, the Company's intention to continue to rapidly expand
its global footprint, build an international iconic brand portfolio and develop disruptive intellectual property. Forward-looking
statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are
inherently subject to significant business, economic and competitive risks, uncertainties and contingencies that may cause actual
financial results, performance or achievements to be materially different from the estimated future results, performance or achievements
expressed or implied by those forward-looking statements and the forward-looking statements are not guarantees of future performance.
A discussion of some of the material risks applicable to the Company can be found in the Company's current MD&A and Annual
Information Form, both of which have been filed on SEDAR and can be accessed at www.sedar.com. The forward-looking information
included in this news release is made as of the date of this news release and, except as required by law, Cronos Group disclaims
any obligation to update or revise any forward-looking statements. Readers are cautioned not to put undue reliance on these forward-looking
SOURCE Cronos Group Inc.
View original content with multimedia: http://www.newswire.ca/en/releases/archive/June2018/25/c8905.html
For further information: Anna Shlimak, Investor Relations,
Tel: (416) 504-0004, investor.relations@thecronosgroup.com
CO: Cronos Group Inc.
CNW 08:00e 25-JUN-18