SEED Seed Innovations Limited

31 January 2025

SEED Innovations Limited

("SEED" or the "Company")

Investee Company Update: Little Green Pharma Ltd

Quarterly Activities Report and Appendix 4C

SEED Innovations Ltd, the AIM-listed investment firm providing access to high-growth, disruptive life sciences and technology ventures typically out of reach for everyday investors, is pleased to note that its portfolio company, Little Green Pharma Ltd ('LGP'), has published its quarterly activities report and Appendix 4C for the period ending 31 December 2024 on the ASX.

The Company owns 7,324,796 ordinary shares in LGP representing ca. 2.4% of LGP's issued share capital.

Commenting on the announcement, Ed McDermott, CEO of Seed said: "LGP continues to demonstrate impressive year-over-year growth, with quarterly revenue rising 75% to A$9.5 million and record December revenue of A$3.6 million. The company's strong cash position and minimal long-term debt reinforce its solid financial position, while its net tangible assets remain significantly above enterprise value. Notably, expansion in Germany and the UK is gaining momentum, with A$1.0 million in German flower sales in December and A$6.0 million in binding purchase orders for these markets over the coming quarters. These results further validate LGP's strategy, and we remain confident in its ability to sustain this momentum."

The following excerpt from the announcement, which was released on the ASX is set out without any material changes.

Quarterly Activities Report and Appendix 4C

Highlights

·    Revenue of $9.5 million (unaudited), up 75% on prior corresponding period with record $3.6 million in December

·    Cash receipts of $10.0 million, up 90% on prior corresponding period

·    FY25Q3 year to date revenue of $27.0 million (unaudited) already surpassing prior full year revenue of $25.6 million

·    Strong German and UK market growth with $1.0 million in German flower sales in December and $6.0 million in binding purchase orders for Germany and UK over coming two quarters

·    Additional 2tpa grow room opened in Denmark to meet increased demand

·    Launch of new Lush Labs craft flower brand, three new oil products and one vaporiser product

·    Reset trial treatment phase completed to positive patient feedback

·    Health House due diligence acquisition completed and Company negotiating SPA

·    Cash in bank of $3.7 million

The announcement in full can be accessed from the following link: Quarterly-Activities-Report-and-Appendix-4C.pdf

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For further information on the Company please visit: www.seedinnovations.co  or contact:

Notes

Seed Innovations Ltd 

SEED Innovations is an AIM quoted investment company focused primarily on disruptive high growth life sciences and technology businesses particularly within the medical cannabis arena. The Company's strategy is to identify early-stage opportunities that have an upcoming investment catalyst and grow its portfolio in terms of value whilst limiting the number of investee companies to a level where relevant time can be devoted to each. 

Little Green Pharma

Little Green Pharma is a global, vertically integrated, and geographically diverse medicinal cannabis business with operations from cultivation and production through to manufacturing and distribution.

The company has two global production sites for the manufacture of its own-branded and white-label ranges of GMP-grade medicinal cannabis products, being a 21,500m2 cultivation and 4,000m2 GMP manufacturing facility capable of producing over 30 tonnes of medicinal cannabis biomass per annum located in Denmark (EU) and an indoor cultivation and manufacturing facility located in Western Australia capable of producing ~3 tonnes of medicinal cannabis biomass per annum.

Little Green Pharma products comply with all required Danish Medicines Agency and Therapeutic Goods Administration regulations and testing requirements. With a growing range of products containing differing ratios of active ingredients, Little Green Pharma supplies medical-grade cannabis products to Australian, European, and overseas markets.

The company has a strong focus on patient access in the emerging global medicinal cannabis market and is actively engaged in promoting education and outreach programs, as well as participating in clinical investigations and research projects to develop innovative new delivery systems.