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Pharma’s $7.2 Billion CBD Acquisition Could Trigger New Biotech Boom

22 Feb 2021 | by: Jason Eckerman

CARDIOL THERAPEUTICS INC. (TSX:CRDL | OTCQX:CRTPF | FRA:CT9)

Giant $7.2 Billion Acquisition Validates CBD

With Jazz Pharmaceuticals announcing they plan to acquire GW Pharmaceuticals for USD$7.2 billion, the pharma industry just validated a revolutionary treatment.

Banking expert Jason Wilson of ETF Managers Group reported, “The deal is a clear sign that the pharmaceutical industry is recognizing the value and future potential of cannabinoid-based medicines.”

David Johnson, CEO of another biotech company stated the deal “serves as further validation that thoroughly researched and developed medical cannabinoids have significant potential to address patients’ unmet medical needs.”

This is groundbreaking news for companies working with cannabidiol (CBD) as an innovative treatment…

Just as GW Pharmaceuticals did before Jazz Pharmaceuticals announced plans to acquire them for USD$7.2 billion.

But it could be even bigger for one company who hopes to tap the power of this treatment to address the biggest health issue in the world.

After COVID-19 claimed roughly 2.4 million lives over the last year, we’re still scrambling to get a handle on the virus that has wreaked havoc worldwide.

And while the mortality rate is estimated at somewhere between 1-2% in the general population, the disease can be much more dangerous for one group in particular.

For those with a history of cardiovascular issues, the survival rate plummets to nearly 50%.

That’s because when the immune system revs up to tackle the virus head-on, it can often trigger a “cytokine storm,” which can mean more inflammation and damage to the heart and lungs…

And for those who already have a history of cardiovascular issues, COVID-19 can cause deadly complications with organs not working at full strength.

But Cardiol Therapeutics may have a solution that could help save lives around the world.

And it’s their own trademarked version of the same CBD molecule that led to the multi-billion acquisition.

In extensive pre-clinical investigations by Cardiol and others, they discovered that CBD has impressive anti-inflammatory effects for the heart…

Which suggests it may be exactly the type of breakthrough treatment needed to protect the most vulnerable to COVID-19’s deadly effects.

They’ve been given the green light from the FDA to begin a Phase II/Phase III trial for their oral CBD formulation, CardiolRx™.

This is incredibly promising news for Cardiol, which has seen their shares soar 150% in the last 6 months.

Any news of positive results as the trial progresses could become a major catalyst and catch the attention of large pharmaceutical companies on the hunt for their next big acquisition.

Take GW Pharmaceuticals, for example. After developing their CBD treatment, Epidiolex, a few years ago, they started receiving attention from major players in the sector.

And today, they’re looking at an incredible USD$7.2 billion payday, all in just a few short years.

But there’s a reason why Cardiol’s treatment could be even bigger than GW Pharmaceuticals’ treatment if all goes according to plan.


Read Our Exclusive Report To Learn How Cardiol Could Benefit From The CBD Industry’s Latest USD$7.2 Billion Acquisition


Millions Affected Every Year

CARDIOL THERAPEUTICS INC. (TSX:CRDL | OTCQX:CRTPF | FRA:CT9)

While Cardiol is making news for their upcoming trial using CardiolRx™ to treat COVID-19, they’ve been working to help those with other major cardiovascular issues for years.

And their pipeline shows two more ways that CardiolRx™ could soon change lives.

First, they’re planning to file with the FDA to begin a Phase II international trial for acute myocarditis, the most common cause of sudden cardiac death in people under age 35.

If results of this trial are positive, it could not only deliver hope to up to 73,000 young Americans, it could also provide a major opportunity for Cardiol through the FDA’s Orphan Drug Designation program.

The FDA grants an orphan drug status to pharmaceuticals being developed to treat medical conditions affecting fewer than 200,000 people.

And going down this path has helped a number of small biotech companies turn into billion-dollar giants in a very short window of time.

This was a key piece of what helped GW Pharmaceuticals start their way toward their multi-billion dollar acquisition, as they treated two rare forms of childhood epilepsy.

But with acute myocarditis, Cardiol is aiming to treat a patient group that’s twice the size of these rare epilepsy markets.

And they’re hopeful in their prospects in upcoming trials as past research has already shown the dramatic effects of this molecule.

But as they’ve been preparing the massive COVID-19 and acute myocarditis trials, they’ve also been making waves in another major market: chronic heart failure.

As the single biggest cause of hospitalizations in the U.S., it affects over 6 million adults in North America. And sadly, 30% of patients with heart failure die within 1 year.

Over the last 20 years, there’s been little to no meaningful development in treatments for diastolic heart failure.

But Cardiol has been developing a proprietary subcutaneous formulation of CardiolRx™, administered in a similar fashion to insulin for diabetes. 

This would be a completely new way of treating chronic heart failure…

And just as it could help those with cardiovascular issues with COVID-19, it’s based on CBD’s ability to treat inflamed heart tissue and treat fibrosis (scarring) in heart muscle.

It may be the breakthrough that millions of people have been waiting for, and it could have tremendous implications for this enormous market.

But beyond the upcoming trials for these 3 diseases, Cardiol has discovered another way to drive revenue thanks to a new partnership in Canada.

Many providers are demanding a cannabidiol solution that does not contain THC, the active psychoactive ingredient in cannabis.

Cardiol responded to this hole in the market by producing the purest form of an oral cannabidiol formulation to date, Cortalex™.

They have partnered with Shoppers Drug Mart, the largest pharmacy chain in Canada, with over 1,300 stores, to supply it through their online portal. 

This gives Cardiol the chance to add revenue while at the same time doing groundbreaking work with their upcoming clinical trials.

If all goes according to plan, Cardiol’s revolutionary treatment, CardiolRx™ could be a game-changer, both for patients and investors.

Just 4 years ago, another small company, MyoKardia, began developing a treatment for a rare cardiac disease.

At that time, they were valued at around USD$200 million. But in September, Bristol-Myers acquired them in a deal worth USD$13 billion.

That’s the power of delivering an effective treatment for rare cardiac diseases.

Any positive news could be a major catalyst for Cardiol and their early investors.


Read Our Exclusive Report On How Investors Could Profit From Cardiol’s Important Clinical Trials In 2021


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