This backing gave Syqe financial muscle and strategic reach—but also raises reputational and strategic risks, given tobacco’s fraught public perception in the health space. Imagine if McDonald’s bought into a regenerative kale farm. The cash infusion could scale production, but people would always wonder if the lettuce was being served with a side of fries.
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The medical cannabis boom felt in Israel may show signs of a giant cooldown. Syqe was one of the darlings of the medical cannabis pharma space, as a doseable drug. This is an industry I helped spark into life when I started the Canna Tech Conference in Jaffa about 10 years ago. Much has changed and a lot of the hype has died down, mainly due to loosened restrictions on access to cannabis, making it easy for people to self medicate in the United States and Canada.
One of the challenges in cannabis as medicine is dosing (read this article on half of all medical cannabis drugs being mislabled). What’s written as THC or CBD concentration may be far from what’s inside the plant or how it affects your body, and how it’s delivered. Syqe, an inhaler dosing system in Israel promises to make dosing a pharmaceutical science, but in waiting for the coveted US FDA approval, Syqe says it needs to lay off 50 of its staff of about 150 based in Tel Aviv. If their product works they may be actually a solution to the mislabeling.
The company grew into medical marijuana stardom when Philip Morris / PMI, the cigarette company invested $20 million in 2016 and later entered into an agreement to acquire the company for ~$650 million, contingent on regulatory success. In that acquisition plan, PMI committed $120 million to push Syqe’s inhaler device through U.S. FDA regulatory hurdles. Is the money running out without results?
This backing gave Syqe financial muscle and strategic reach—but also raises reputation and strategic risks, given tobacco’s fraught public perception in the health space. Imagine if McDonald’s bought into a regenerative kale farm. The cash infusion could scale production, but people would always wonder if the lettuce was being served with a side of fries.
According to recent news Syqe Medical recently cut 50 employees, about 32% of its workforce, with the majority coming from its development (R&D) department. If the company succeeds or not, is only an insider’s guess. The inhaler uses a unique cartridge containing dozens of “VaporChips,” each holding a measured dose of cannabis flower, allowing accurate administration according to a doctor’s prescription. The question is does it work in dosing, can it work? Sometimes funds run out before the right tests can be checked and confirmed by the FDA.
On the general issue of cannabis, if you are traveling to Dubai or Abu Dhabi, take note: medical cannabis, even if only in your blood, and self-medicated can land you in jail according to the law in the United Arab Emirates. Even CBD oil is a risk.
Read more on medical cannabis and medical marijuana on Green Prophet:
- Study: Medical cannabis eases chronic pain without hurting mental clarity
- Grassland: When growing cannabis lands you in jail—after legalization
- Portugal aims to be Europe’s medical-cannabis hub
- Israel trial: CBD drug tested for children with autism
- Greece legalizes medical cannabis, eyes EU grow-hub status
- Philip Morris to acquire Syqe, Israel’s dose-controlled cannabis inhaler
- Scientists boost THC in cannabis using a plant virus
- Medical cannabis & children: Hebrew University unit opens
- Cannabis for COVID-19: Israeli medical trial launches
- Throwback: Syqe’s 3D-printed, dose-controlled cannabis inhaler
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