Hwail Yakpum Partners with Oseong Advanced Materials... "Secures 49% Stake in Cannabis Medical"

[Asia Economy Reporter Hyunseok Yoo] Hwail Pharmaceuticals recently announced on the 29th that it secured a 49.15% stake in Canabis Medical, a subsidiary of Oseong Advanced Materials, through a recent capital increase.

The acquisition date was the 15th of last month, and Canabis Medical has been steadily investing in research and development utilizing medical cannabis in collaboration with the Korea Advanced Institute of Science and Technology (KAIST) since 2018.

Canabis Medical recently renewed its contract with Professor Inseong Choi’s research team at KAIST, who are conducting joint research. The company plans to continuously conduct research on "The Effects of Cannabidiol on Brain Cells for the Prevention and Treatment of Neurodegenerative Diseases" with Professor Choi’s team and aims to pursue related publications and patent registrations.

Professor Inseong Choi of KAIST, who collaborates on Canabis research, completed his bachelor's and master's degrees at Seoul National University, earned his doctorate at Harvard, and conducted postdoctoral research at the laboratory of Professor Robert Langer at the Massachusetts Institute of Technology (MIT). He is known for publishing the world’s first research paper on the effects of CBD on degenerative brain diseases in the global academic journal Cannabis and Cannabinoid Research and for obtaining related patents.

According to industry sources, the global medical cannabis market is expected to grow at an average annual rate of 22.1%, reaching 51 trillion KRW by 2024. The number of countries legalizing medical cannabis worldwide has reached 56, including North America, Europe, and Israel. In particular, medical cannabis use is permitted in 47 states in the United States, including some partial legalizations.

Canabis Medical stated that through continuous research, development, and manufacturing of cannabinoids centered on CBD, it plans to apply these to medical treatments, functional foods, and beauty products if marijuana-related products are legislated domestically.

A company official said, “Hwail Pharmaceuticals is a specialty company in active pharmaceutical ingredients and is also focusing on bio-sector businesses such as finished pharmaceuticals and food. Therefore, we expect enhanced expertise and synergy in the future progress of cannabis research.”