Highlands Natural Resources PLC (LON:HNR) saw its shares rise on Tuesday following news it has appointed a chemist, Stephen Goldman as a consultant to develop and file patents on behalf of the company’s cannabis subsidiary, Zoetic.
Goldman will examine the potential medical and health benefits of combining cannabinoids with other products.
READ: HNR highlights quick move to revenue for its new CBD business
Highlands said it has already filed the first patent through its collaboration with Goldman. The patent relates to the methodology for combining cannabinoids with pharmaceutical and wellness products.
Highlands will fund the costs of the collaboration, including patent filing fees and some clinical work carried out by Goldman.
Goldman has agreed that all intellectual property that is developed will be owned by Highlands. He has been awarded options over 4mln ordinary shares in Highlands.
“Our progress at Zoetic continues at pace and we remain on track to achieve our first revenues in June from deliveries to Schrader Oil convenience stores and the launch of our own direct sales website,” said Highlands chief executive and executive chairman, Robert Price.
"Our collaboration with Stephen Goldman significantly advances our expertise in seed development and agricultural genetics and underpins our strategy to develop high quality feminised seeds for sale to hemp producers, a strategy which has significant revenue potential.”
In early afternoon trading, shares in Highlands' were 4% higher at 11.05p.
-- Adds share price --