The Zelda Therapeutics Ltd (ASX: ZLD) share price has been one of the biggest movers on the market today.
At the time of writing the medicinal cannabis company’s shares are up 20% to 8.9 cents.
This morning Zelda announced that it has entered into a strategic manufacturing and distribution agreement with Chile-based Knop Laboratorios.
According to the release management believes the agreement will form an important part of Zelda’s Chilean activities.
As well as locking in a high quality supply of Zelda’s formulated medicinal-cannabis medicines for its planned clinical trials, the agreement secures a scalable and GMP-grade source of commercial quantities following product registration.
Furthermore, as Knop operates a chain of pharmacies throughout Chile, it could potentially become a key distribution channel for Zelda’s products following the completion of its clinical trials.
Zelda’s trials are focused on insomnia, eczema and autism. Results for its insomnia and eczema trials are expected to be released by the end of the year. If all goes to plan the company could be generating sales in the not so distant future.
Should you invest?
However, there is still a long road ahead and many challenges to overcome. For this reason I will continue to watch on from the sidelines with a keen interest.
Our experts here at The Motley Fool Australia have just released a fantastic report, detailing 5 dirt cheap shares that you can buy in 2020.
One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…
Another is a diversified conglomerate trading over 40% off it's high, all while offering a fully franked dividend yield over 3%...
Plus 3 more cheap bets that could position you to profit over the next 12 months!
See for yourself now. Simply click here or the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.
Motley Fool contributor James Mickleboro has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.