A medical cannabis firm on Thursday signed an agreement with the government to set up a base in Malta.

MGC Pharma founder Nativ Segev told a press conference announcing the deal that his company aims to provide “life-changing medicines” to patients globally.

Mr Segev said the company’s base in Malta will serve as a gateway to the European market.

Last year, Malta's parliament passed a law allowing the production of medical cannabis.

The law allows for the cultivation, importation, processing and production of cannabis intended for medical and research purposes, under a controlled and supervised environment.

Economy Minister Chris Cardona said MGC Pharma had been allocated a 6,000 square meter facility in Hal Far.

The firm he said, will be investing €6 million in Malta, although Mr Segev interjected during the minister’s speech, saying the actual investment would be €11 million.

Dr Cardona said MGC Pharma is one of the first companies to receive a letter of intent for the production of medical cannabis in Malta. 

He said MGC Pharma’s decision to set up a base in Malta solidified the country’s position in the highly competitive medical cannabis industry.

Malta, he observed, was one of the first member states to provide a stable regulatory framework for medical cannabis.

Investors were offered a level playing field due to the country’s strict and transparent regulations, he said.