Israeli Cannabis Outfit Cannbit Launches Cancer Study

Tel-Aviv listed cannabis producer Cannbit Ltd. is launching a study to test a cannabis-based treatment for three aggressive types of cancer, Cannbit announced in a filing to the exchange Thursday. The study will be led by cannabis research pioneer Raphael Mechoulam of the Hebrew University of Jerusalem, who chairs Cannbit’s scientific advisory committee. Hadassah University Hospital-Ein Kerem and Sheba Medical Center will collaborate on the study.

Mechoulam, a professor of medicinal chemistry at the Hebrew University, was the first person to identify the main psychoactive constituent in cannabis, THC. Cannbit has a first look agreement for all his research following his appointment to the company. Cannbit will invest $400,000 in the study, plus another $2 million towards a commercial drug license.

In return, Cannbit will receive exclusive commercial license for the drug for the duration of the patent (25 years), and for any other intellectual property generated during the study. The rest of the partners will receive 13% of the future revenues generated from the drug or from any of the research stages, according to one person familiar with the matter who spoke to Calcalist on condition of anonymity.

The study will involve molecules found effective in fighting melanoma, neuroblastoma, and Glioblastoma. The Hebrew University’s technology transfer company Yissum owns the intellectual property for the results of the preliminary study, which will later be transferred to Cannbit for the duration of the patent.