MG Health

What MG Health does

MG Health is a vertically integrated producer of pharmaceutical-grade medical cannabis, operating both cultivation and manufacturing on a single site located at approximately 2,000 meters above sea level in the Maluti Mountains of Lesotho. The company's Marakabei facility encompasses greenhouses, a processing plant, and quality laboratories, and operates in accordance with EU Good Manufacturing Practices (Part II certification obtained in March 2021) and GACP principles for cultivation. Its proprietary "Plant to Patient" approach maintains chain of custody from clone through to finished product, supported by third-party analytical testing through LuCan Laboratories and German Monograph compliance for cannabis flower APIs. MG Health's product portfolio spans bulk flower and extracts, including the proprietary Bafokeng Choice strain (M-238, 18-22% THC) and additional cultivars such as Cheesotho, Batha Balanced, and Maluti CBD, marketed under the Drapalin brand for export and the Raphael Care brand for the Lesotho market.

The company generates revenue by selling bulk cannabis flower, crude and finished extracts, and bespoke formulations to licensed pharmaceutical distributors on a B2B basis with multi-year negotiated contracts. Production economics are favorable relative to industry norms, with cost cited at approximately 93 cents per gram versus $1+ per gram elsewhere, supported by hydropower from Lesotho's Muela plant and natural high-altitude growing conditions. Cannabis oil is referenced at $6,000-$21,000 per litre depending on market and specifications. Go-to-market is executed exclusively through a network of regional pharmaceutical distribution partners: ECS Pharma in the UK, A2W Pharma in Malta, Cannatrek in Australia, GES Labs in South Africa, Raphael Care in Lesotho, and Drapalin Pharmaceuticals in Germany, with the company historically having a 10% ownership stake held by Canada's Supreme Cannabis alongside a global distribution partnership.

MG Health traces its origins to Medigrow Lesotho, which received a government cultivation license in 2016; the entity was renamed MG Health Limited in November 2019 ahead of international expansion, and commercial production began in 2020 following an R&D phase initiated in 2018. The company maintains a regional headquarters in London (City Road) and operational offices in Maseru, with manufacturing concentrated in the Marakabei region. Current workforce is reported at 300-350, with a stated plan to scale to over 3,000 at full production, primarily drawn from surrounding Lesotho communities. Leadership is headed by CEO Andre Bothma, with CFO Mabasotho Leuta and a Head of Business Development driving international market entry.

Name

MG Health

Legal name

MG Health Ltd

Website

https://mghealth.com

Company type

Private

Founded year

2018

Operating status

Operating

Headcount range

11–50 employees

Short description

MG Health is a vertically integrated, EU GMP-certified producer of pharmaceutical-grade medical cannabis flower and extracts, operating a single-site cultivation and manufacturing facility at 2,000m altitude in Lesotho and supplying licensed pharmaceutical distributors across Europe, Africa, Oceania, and the Middle East.

Ownership category

akta.pro rank

Product category

Medical Cannabis Manufacturing

NAICS

Medicinal and Botanical Manufacturing (325411), Pharmaceutical Preparation Manufacturing (325412)

SIC

Medicinal Chemicals & Botanical Products (2833)

akta.pro primary industry

Medicinal Plant Farming (Botanical/Pharmaceutical Crops) (AFAGAGAE)

Keywords

• Medical cannabis cultivation
• Pharmaceutical-grade cannabis extracts
• EU GMP cannabis manufacturing
• Cannabis active pharmaceutical ingredients
• Bulk medical cannabis flower

Headquarters

HQ city

Maseru

HQ country

Lesotho

Offices3 records

Markets served

GTM type

B2B

Offering type

Hardware or Manufacturing

Cost components

Supply Chain, Personnel, Operations, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Medical Cannabis Flower Sales: Vertically integrated producer of medical cannabis flower sold in bulk to pharmaceutical distributors. Cannabis flower is dried, cured, trimmed and sized before packaging for final destination markets.
2. Cannabis Extracts and Formulations: Crude extract and finished cannabis oil products sold to pharmaceutical partners. Products include high THC extracts, high CBD extracts, and balanced THC/CBD formulations under brands like Drapalin and Raphael Care.
3. Biomass Sales: Sale of cannabis biomass for further processing by partners. Cannabis oil can be sold at between $6,000 and $21,000 per litre depending on market and specifications.

Pricing tiers

Go-to-market motion2 records

Distribution channels2 records

Marketing channels7 records

Core offering

MG Health is a vertically integrated licensed cultivator and manufacturer of pharmaceutical-grade medical cannabis flower and extracts, operating from an EU GMP Part II certified facility located 2,000 meters above sea level in the Lesotho mountains. The company produces bulk dried cannabis flower, biomass, and formulated cannabis extracts (high THC, high CBD, and balanced formulations) sold under brands including Drapalin and Raphael Care to licensed pharmaceutical distribution partners across Europe, Australia, Africa, and the Middle East. Single-site chain-of-custody tracking under a Plant-to-Patient philosophy ensures standardized bulk products and bespoke formulations meet Certificates of Analysis for cannabinoid profile, pesticides, heavy metals, mycotoxins, and microbial contaminants.

Product overview

MG Health is a vertically integrated producer of medical cannabis flower and extracts operating from facilities in Lesotho. The company offers a portfolio of branded cannabis products distributed through regional partners across global markets: Drapalin branded cannabis flowers and extracts (Drapalin 18/1 Cheesotho, Drapalin 24/1 Bafokeng Choice, Drapalin 10/11 Batha Balanced, Drapalin 1/17 Maluti CBD, and Drapalin 25/1 Bafokeng Choice Cannabis Extract) distributed in Australia via Cannatrek; and Raphael Care branded high-concentration THC and CBD formulations (Raphael 3000mg THC, Raphael 6000mg CBD, Raphael 1500mg CBD & THC) distributed in Lesotho. The company operates cultivation facilities in the Maluti Mountains of Lesotho and leverages EU GMP-compliant manufacturing processes to produce standardized cannabis Active Pharmaceutical Ingredients (APIs) and formulated extracts.

Differentiator

Problem solved

Functional benefit

Products and services

• Drapalin 18/1 Cheesotho A sativa-dominant medical cannabis flower strain derived from Exodus Cheese genetics (originally from Skunk #1 cultivar), selected for its distinctive aroma and full-bodied sensory impact. Distributed through Drapalin Pharmaceuticals GmbH in the German market.
• Drapalin 24/1 Bafokeng Choice An indica-dominant hybrid medical cannabis flower strain, a unique cross between the White Lemon cultivar and the Marakabei Local strain native to Lesotho. Derived from MG Health's proprietary Bafokeng Choice (M-238) genetics delivering 18-22% THC.
• Drapalin 10/11 Batha Balanced A balanced hybrid medical cannabis flower strain with a harmonious indica-sativa ratio, bred from internal genetics between Bafokeng Choice and an early phenotype of Grape Cluster, emulating Grandaddy Purple genetics. Distributed via Drapalin Pharmaceuticals GmbH.
• Drapalin 1/17 Maluti CBD A distinctly indica-dominant hybrid medical cannabis flower strain of Otto Kush and ACDC cultivars, with minimal psychoactive properties and high beta-myrcene content, targeting high-CBD applications. Distributed via Drapalin Pharmaceuticals GmbH.
• Drapalin 25/1 Bafokeng Choice Cannabis Extract A cannabis extract formulation derived from the Bafokeng Choice strain, distributed through Drapalin Pharmaceuticals GmbH for the German pharmaceutical market.
• Raphael 3000mg THC A high-THC formulated cannabis extract derived from the Bafokeng Choice strain (White Lemon x Marakabei Local cross), distributed via Raphael Care for the Lesotho market.
• Raphael 6000mg CBD A high-CBD formulated cannabis extract derived from the Maluti CBD strain (Otto Kush x ACDC cross), an indica-dominant hybrid with minimal psychoactive properties and high beta-myrcene content, distributed via Raphael Care for the Lesotho market.
• Raphael 1500mg CBD & THC A balanced formulated cannabis extract derived from the Batha Balanced strain (Bafokeng Choice x Grape Cluster cross), providing balanced CBD and THC levels, distributed via Raphael Care for the Lesotho market.

Quantifiable outcome

• Cannabis oil prices range from $6,000 to $21,000 per litre depending on market
• +2 more outcomes

Named customers6 records

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature4 records

Partnerships

Nine partnerships are on record, tiered core and minor.

• LuCan LaboratoriescoreTechnology or IntegrationLuCan Labs is an independent testing facility providing analytical results for MG Health's in-process quality assurance program and Certificates of Analysis (COAs) to verify quality control of products. Conducts testing including cannabinoid profiles, heavy metals, pesticides, terpene profiles, residual solvents, microbiological contaminants, and mycotoxins.
• ECS PharmacoreChannel Partner/ Reseller/ DistributorUK-based pharmaceutical distributor marketing MG Health medical cannabis flower products in the United Kingdom market.
• A2W PharmacoreChannel Partner/ Reseller/ DistributorMalta-based pharmaceutical distributor handling MG Health biomass products for the Malta market.
• CannatrekcoreChannel Partner/ Reseller/ DistributorAustralian pharmaceutical distributor distributing MG Health cannabis flower and formulations in the Australian market.
• GES LabscoreChannel Partner/ Reseller/ DistributorSouth African pharmaceutical distributor distributing MG Health cannabis extracts in the South African market.
• Raphael CarecoreChannel Partner/ Reseller/ DistributorLesotho-based healthcare provider distributing MG Health formulations including Raphael 3000mg THC, Raphael 6000mg CBD, and Raphael 1500mg CBD&THC products in the local Lesotho market.
• Drapalin Pharmaceuticals GmbHcoreChannel Partner/ Reseller/ DistributorGerman pharmaceutical distributor marketing MG Health cannabis products including Drapalin flower varieties (18/1 Cheesotho, 24/1 Bafokeng Choice, 10/11 Batha Balanced, 1/17 Maluti CBD) and extracts (25/1 Bafokeng Choice Cannabis Extract) in the German market.
• 7ACRES CanadaminorStrategic or Co-development Partner7ACRES, a subsidiary of Supreme Cannabis, is a leading Canadian cannabis producer. MG Health has sent staff (including Pad Manager Beoana Ngatane) to train with 7ACRES to learn cultivation methods and share best practices.
• Phekoane Industry Association (PIA)minorStrategic or Co-development PartnerMG Health was a founding member of the PIA, which helped establish Lesotho as a reputable source country for high quality, pharmaceutical grade medical cannabis.

Scale indicators11 records

Recent moves7 records

Expansion highlights5 records

Broad incumbents

• Canopy Growth: Major Canadian cannabis producer with established EU GMP medical cannabis operations and multi-country distribution. Comparable broad incumbent competing for the same German/UK/Australian pharmacy-channel demand.
• Aurora Cannabis: Canadian-listed cannabis producer with EU GMP-certified cultivation in Canada and significant European medical cannabis distribution. Comparable as a broad incumbent in the same GMP pharmaceutical cannabis category.
• OrganiGram Holdings: Canadian medical cannabis producer with EU GMP certification and supply into European markets. Comparable broad incumbent in standardized, GMP-certified flower and extract supply.
• Cronos Group: Canadian licensed producer with international medical cannabis distribution including Europe and Israel. Comparable broad incumbent with overlapping geographic reach and GMP-grade product positioning.
• Tilray Brands: Large Canadian-licensed cannabis producer with global medical cannabis operations across Europe, Australia and Latin America. Comparable as a broad incumbent supplying pharmaceutical-grade medical cannabis into many of the same regulated markets as MG Health.

Direct peers

• Demecan: Germany-based medicinal cannabis producer focused on EU GMP flower supply to German pharmacies. Comparable as a competing EU GMP cannabis producer targeting the same German distribution channel as MG Health's Drapalin line.
• Little Green Pharma: Australian-listed medicinal cannabis producer supplying GMP flower and oils domestically and into Europe. Comparable to MG Health as a multi-market, GMP-certified producer with branded finished cannabis medicines.
• Clever Leaves: Vertically integrated, EU GMP-certified medical cannabis producer based in Colombia supplying bulk flower and extracts to international distributors. Closely comparable to MG Health in low-cost jurisdiction B2B model, multi-country footprint and GMP positioning.
• Bedrocan: Dutch producer of standardized, pharmaceutical-grade medicinal cannabis flower under EU GMP-equivalent controls, serving multiple European markets. Comparable to MG Health as a regulated B2B supplier of standardized cannabis APIs to pharmacies and distributors.
• Khiron Life Sciences: Latin American (Colombia-based) medical cannabis producer with EU GMP supply into European pharmacy channels. Comparable to MG Health in low-cost cultivation jurisdiction and EU-focused B2B distribution strategy.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• YouTubeyoutube.com/channel/UCoCis67ueswJMz-kHwwZLZA
• LinkedInlinkedin.com/company/mghealth
• Instagraminstagram.com/mghealthlimited
• Xx.com/mghfullspectrum
• Facebookfacebook.com/MGHealth

Compliance3 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles5 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about MG Health