MGC Pharma share price lifts on botanical update

A botanical update from cannabis producer MGC Pharmaceuticals Ltd (ASX:MXC) has seen its share price respond favourably today as the company posted solid results from its 2018 harvest.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

a woman

Cannabis producer MGC Pharmaceuticals Ltd (ASX: MXC) has released a 'Botanical Update' to the market this morning in which it provided information about its 2018 crop and new strain development. The MGC share price is up 5% at the time of writing.

A summary of the announcement is provided below:

  • The 2018 crop, cultivated in Czech Republic, yielded 700kg of biomass and 30% more flowers than the 2017 crop.
  • The crop is awaiting transportation to MGC's extraction facility in Slovenia. The company recently received a full extraction permit issued by the Slovenian Ministry of Health, allowing it to develop phytocannabinoids for its medicinal products.
  • Cultivation operations are on track to be moved during 2019 from Czech Republic to MGC's larger scale Malta facility currently in development.
  • MGC's research team has developed a new strain called MXC-10, offering the highest levels of THC (>35%) of all MGC strains.
  • The company has started the Europe registration process for four new strains.

Despite today's performance, the MGC Pharma has been on a losing streak over the past year, down 65% from its 52-week high of 12¢. MGC isn't alone in this regard, with many ASX cannabis stocks like Auscann Group Holdings Ltd (ASX: AC8), Althea Group Holdings Ltd (ASX: AGH), Botanix Pharmaceuticals Ltd (ASX: BOT) and Cann Group Ltd (ASX: CAN) having seen their valuations trimmed down over the last year.

Motley Fool contributor Cale Kalinowski has no position in any of the 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 Scott Phillips.

More on Share Gainers

Ten happy friends leaping in the air outdoors.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a sour end to the trading week this Friday.

Read more »

A man sees some good news on his phone and gives a little cheer.
Share Gainers

Why 4DMedical, Clinuvel, Life360, and Silex shares are pushing higher today

These shares are having a good finish to the week. But why?

Read more »

Stock market chart in green with a rising arrow symbolising a rising share price.
Healthcare Shares

Up 2,075% in a year, why is the 4DMedical share price rocketing again on Friday?

Investors just sent 4DMedical shares surging another 20% on Friday. But why?

Read more »

A girl sits on her bed in her room while using laptop and listening to headphones.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a disappointing session for the markets this Thursday.

Read more »

Smiling couple looking at a phone at a bargain opportunity.
Share Gainers

Why Catapult, DroneShield, Infratil, and Qoria shares are charging higher today

These shares are having a good session on Thursday. But why?

Read more »

A group of happy young people watching sport on a laptop celebrate.
Share Gainers

Here are the top 10 ASX 200 shares today

It was an exceptional session for investors today.

Read more »

Excited couple celebrating success while looking at smartphone.
Share Gainers

Why 4DMedical, Brazilian Rare Earths, Clarity, and Tuas shares are racing higher today

These shares are having a better day than most on hump day.

Read more »

Woman with an amazed expression has her hands and arms out with a laptop in front of her.
Share Gainers

Why BHP, EchoIQ, Life360, and Qantas shares are racing higher today

These shares are having a solid session on Tuesday. But why?

Read more »