PharmAla Biotech Holdings Inc. (CSE: MDMA) (OTC: MDXXF) announced that it has contracted with a third-party logistics company specializing in pharmaceutical products to act as its US clinical trial distribution partner. PharmAla manufactures novel MDXX molecules such as LaNeo MDMA.
The company has requested that the identity of PharmAla’s logistic partner remain secret. In a statement from the company, it is stated that this partner would only be acting on behalf of PharmAla in storage and distribution.
PharmAla noted that the uncertainty of cross-border US-Canada shipping has grown over the last few months. Nicholas Kadysh said, “This uncertainty negatively impacts our clinical trial customers located in the United States.” As our business grows in the US, we always look for ways to improve our performance. With the possibility of tariffs, this becomes even more critical. It is a pleasure to contract with such a capable partner for the storage and distribution of our LaNeo trial materials, both on our behalf and that of our US clients.
Investors were told that the company’s agreement with its partner would ensure a GMP compliant, streamlined supply of LaNeo MDMA to all clients who have already signed contracts. The agreement is expected to offer future clients who wish to buy LaNeo MDMA to conduct clinical trials in America with certainty regarding import/export risk.
PharmAla announced last week that they had successfully shipped LaNeoMDMA from the USA to University of Washington. PharmAla has fulfilled orders from human research studies conducted in the U.S. using its pharmaceutical grade LaNeoMDMA capsules.
Tariff concerns
Pharmala informed investors that they were “Regrettable” that US funded health research at US institutions is negatively impacted by tariffs. They called for the exemption of tariffs for all investigational drugs destined for these studies. According to global conventions, investigational drug products destined for clinical trials are generally shipped without tariffs.
According to COO Shane Morris, it has been determined that the uncertainty of cross-border US-Canada trade is a risk clients face on a regular basis. PharmAla is making every effort to minimize such uncertainty.