What Are Biotechnology Companies Finding Out About Cannabis?

Smaller biotechnology companies to big pharmaceutical companies like AbbVie (NYSE:ABBV) research marijuana. Many biotech companies use lab-produced cannabinoids because they don’t have access to the plants. However, because of the known variations between a lab-made organic compound and a natural plant-produced compound, these studies get some scrutiny from various scientists encouraging the use of the natural plant. Still, these biotech companies push forward with less traditional methods because of the legal issues surrounding the cannabis plant and the potential commercial benefits.

Genetically Engineered Biotechnology Microbes

There are a few companies that genetically engineer microbes to make cannabis ingredients. Amyris (NASDAQ:AMRS), Ginkgo Bioworks (NYSE:DNA), Hyasynth Bio, Farmako (CSE:AGRA), and Precigen (NASDAQ:PGEN) transfer marijuana’s genes to bacteria, algae, or through a yeast fermentation process.

Biotech aims to make Cannabinoids Cheaper, Better, and Faster

An agreement between Ginkgo Bioworks, a synthetic-biology company from Boston, Massachusetts, and Cronos Group (NASDAQ:CRON), a Toronto-based cannabis producer, laid out plans to produce CBD and other cannabinoids in yeast for under $1,000 a kilo. They have a partnership with Ginkgo Bioworks since 2018. CRON asked Ginko to grow cannabinoids directly from fermentation vats. As a result, Ginko bioengineered yeasts and, in turn, applied the end products for medical applications. Epilepsy treatment is one of the driving factors. For those who skipped biology class to smoke some reefer instead, bioengineering is the process of creating artificial organic compounds.

Biotechnology Pharmaceutical Extracts

One biotech company extracts pharmaceutical-grade cannabinoids from the plants. Trichomes are droplets of oil that contain cannabinoids. That’s the crystal-like sticky stuff on the plant’s outside. However, this is often referred to as resin in the consumer market. Researchers without access to cannabis plants use organic compounds to mimic the trichomes’ process. Yarrowia lipolytica, the brain yeast, has shown some promise in labs.

Farmako Acquisition & Largest Import Contract for Pharmaceutical Cannabis

Farmako, a company from Frankfurt, Germany, acquired by AgraFlora in 2019, engineered tequila bacteria, Zymomonas mobiliz, to make cannabinoids. Their technology creates cannabinoids faster and cheaper than yeast. In addition, this bacteria produces cannabinoids continuously, while yeast is inconsistent. As a result, a Vancouver, Canada-based cannabis producer, Zenabis (TSX:ZENA), agreed to buy 36 tonnes of bacteria-derived CBD from Farmako. This was the first ever agreement on a biosynthetic cannabinoid.

Amyris Uses the Yeast Technique

Amyris genetically engineers yeast to produce many cannabinoids. This method costs much less than growing plants at scale. Using the engineered yeast, Amyris can synthesize various major and minor cannabinoids.

Biotech Cannabinoid Production Studied

We still don’t know precisely how plants produce THC and CBD. Although, we do know cannabigerol (CBG) makes other cannabinoids as the cannabis plant matures. This is why CBG is often called “the mother cannabinoid.” Despite that, several biotech companies are creating the various cannabinoids themselves.

Microorganism Cannabinoid Production

Some biotech companies make microorganisms that release THC, CBD, and many other cannabinoids. Some companies use biotechnology alone to synthesize cannabinoids. It’s common for biotechnology companies to do their compound research internally, often in partnership with cannabis cultivation companies for supply, where available.

Medical Cannabis and Biotechnology

Medical marijuana is a hot topic for biopharma companies and scientists. not many marijuana-derived medicines are available on the US market yet, but a few companies are racing to get FDA approval. Some focus on profits while others focus on the greater good mission.

GW Pharmaceuticals Was The King of Cannabis Biotechnology

GW Pharmaceuticals, acquired by Jazz Pharmaceuticals (NASDAQ:JAZZ) in 2021, spent millions on developing cannabis-derived medicines. The result of their efforts became the approved drugs Sativex and Epidiolex. They have patents for epilepsy treatments and MS treatments. Traditional cannabis companies release as much THC and CBD as possible to appease confused consumers amid this research and product development.

GW Pharmaceuticals (GWPH) was the largest biotech company devoted exclusively to marijuana medicines. GWHP received FDA approval for another cannabis medicine, Sativex, to treat spasticity associated with MS. Also, reports indicate biotech companies are exploring medical uses of minor cannabinoids. A wide range of conditions are treated with cannabis-based medicines, and research is progressing despite legal challenges.

Biotech Studies Both Natural and Synthetic Cannabinoids

A few North American companies have produced cannabis-derived pharmaceuticals in recent years. At least two synthetic cannabinoids are now commercially available in the United States. In contrast, others collect additional compounds from the plant. Rather than developing synthetic compounds, some companies focus on sifting through cannabinoids in the actual plant.

NCCIH Funding for Cannabinoid Biotechnology

The National Center for Complementary and Integrative Health, or NCCIH for short, announced it would fund research for minor and rare cannabinoids. A biotech company is attempting to use biosynthesis with funding from NCCIH to make rare cannabinoids at less cost than typical cultivation costs.

Various Biotech Strategies for The Same Goal

Biotechnology companies use various strategies, such as microbes, yeast, or synthetic compounds. They all share a common goal to better understand the cannabis plant, its medical properties, and how to commercialize it. In addition, they want to learn about the endocannabinoid system and cannabinoids better. Industrial fermentation is widely understood, and as a result, most significant research operations use it. If something goes wrong, it’s easier to find a solution.

Synthetic Cannabinoids Have Been Around Since the 1980’s

Synthetic cannabinoids are not entirely new. The drug Marinol, for example, is a synthetic THC-based medicine approved in 1986. However, it received a patent and is rescheduled as Class II instead of Class I. Even though it’s a known synthetic equivalent of THC, this allowed some patients access to THC and acknowledged the medical benefit of THC, but only in the synthetic form.

Cannabis Legalization and Biotechnology

Cannabis legalization and mainstream acceptance will likely be sparked by biotech research and documentation. Because of this, we’re rooting for the studies to continue. Anyone involved in the cannabis industry and advocates of cannabis should be watching biotechnology closely. Their jobs may depend on it. Arguably, the better plan would be to grow and use the cannabis plants for study instead and shift the headquarters of these operations to cannabis-friendly states or countries. Buying the plant bulk from local cultivators sounds like a good plan and supports the industry better, but I digress.

Cited Sources

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• https://www.prnewswire.com/news-releases/how-the-cannabinoid-industry-is-evolving-with-growing-biotech-influence-301072476.html
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