Shares in Bod Australia jumped by as much as a half after announcing plans to use cannabis as an ingredient in new skin care products.
The shares jumped 50% on the news. A short time ago, they were up 35% to $0.305.
The skin care and natural medicines business announced a letter of intent with Linnea Natural Pharma Solutions to develop products using the Swiss company’s cannabis extracts.
Under the agreement, the companies will work on the development of an over-the-counter skincare range plus therapeutic products aimed at treating nausea and vomiting, inflammation and anxiety disorders.
Bod will, subject to regulatory approvals, import raw materials from Switzerland and manufacture in Australia.
CEO Jo Patterson says clinical trials around the world are showing the benefits of cannabis in treating certain illnesses and diseases.
“As the opportunity becomes available to start providing relevant products to consumers we are aiming to be at the forefront of the industry in Australia as well as through Asia and beyond,” she says.