SA marijuana producer Cilo Cybin eyes JSE listing

South African marijuana producer Cilo Cybin is making waves in the cannabis industry as the first cannabis producer in the country to receive official approval and accreditation from the South African Health Product Regulatory Authority. The company has been on a journey since 2018, working hard to obtain both cultivation and manufacturing licenses for medical cannabis. In 2020, they secured their cultivation license, allowing them to start producing cannabis for the export market. Recently, they achieved a major milestone by obtaining their manufacturing license, enabling them to manufacture, package, label, and export final products to consumers globally. This development marks a significant breakthrough for Cilo Cybin, as they can now expand their brand internationally and potentially tap into the South African market as well. CEO Gabriel Theron shared the company's future plans to go public, aiming for a listing on the Johannesburg Stock Exchange (JSE) in the next year, with a potential dual listing on a Stock Exchange in Europe, possibly Luxembourg. Theron explained that the goal of going public is to raise the necessary funds to deploy their business model on a global scale, focusing on biohacking, biotech, and pharmaceutical industries to offer personalized solutions for health, performance, and longevity. While the exact amount to be raised remains confidential, Cilo Cybin intends to stagger their offering to build market and investor confidence progressively. Theron emphasized the importance of retaining control and ensuring the company can deliver on its ambitious plans without diluting its shareholding excessively. By adopting a staggered approach, Cilo Cybin aims to achieve key milestones and transformation in the industry while keeping investors engaged and supportive. Theron discussed the company's customer base, highlighting partnerships with organizations in Brazil, Australia, and the UK for distribution of their products. In particular, in Australia, Cilo Cybin is working with a distributor with a network of dispensaries, while in Brazil, they have signed a global distribution agreement with a reputable brand. Theron underscored the company's commitment to delivering quality products through strategic collaborations with established partners. In addition to cannabis, Cilo Cybin is eyeing the psychedelics market, with plans to expand into psychedelics beyond magic mushrooms. Theron sees a significant growth opportunity in psychedelics, with potential for even greater market size than cannabis. He emphasized the importance of addressing mental health issues like post-traumatic stress disorder and depression, particularly in the context of the global pandemic's impact on mental well-being. Theron pointed out that countries like Canada are already exploring psychedelics, signaling a shift in the industry towards broader acceptance and adoption of these products. As Cilo Cybin charts its course towards a JSE listing and global expansion, the company is poised to make a substantial impact on the cannabis and psychedelics markets, offering innovative solutions and driving growth in the evolving landscape of medicinal and wellness products.