Psychedelics Archives - Green Market Report

Video StaffJuly 16, 2021

3min4250

U.S.-based psychedelic investment fund Palo Santo has launched with an initial $35 million in capital raised and an active portfolio of 20 companies. The diversified venture fund said in a statement that it is focused on tackling the growing global mental health crisis by investing in innovative psychedelic-based and adjacent therapies that are poised to shape the future of psychiatry and fields beyond.

 

Wesana Health Holdings Inc. (CSE: WESA) (OTC: DBDIF) is buying Psychedelitech Inc., also known as PsyTech Inc., for a price of approximately C$21 million an all-stock deal. PsyTech uses data-driven tools that allow physicians insight into patient well-being and clinical best practices. PsyTech is mainstreaming the adoption of psychedelic-assisted therapies through the promotion and delivery of safe and effective therapy, combating stigma, and accelerating innovation.

 

Empower Clinics reported total revenues of $2 million in the first quarter of 2021. The company also reported a net loss of $25 million, which it said was primarily driven by a non-cash loss on the fair value adjustment related to the Company’s warrants. 

 

PharmaDrug Inc. (CSE: BUZZ) (OTC Pink: LMLLF)reported interim positive results from its ongoing preclinical study evaluating the company’s patented Cepharanthine (“PD-001”) in a broad panel of human cancers. To follow up on these highly encouraging results, PharmaDrug said it will quickly initiate an additional in vitro efficacy study to assess the potential of cepharanthine to provide additive benefits in combination (combo-therapy) with the current standard of care agents. The drug is derived from a non-psychedelic plant called Stephania.


StaffJuly 15, 2021
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U.S.-based psychedelic investment fund Palo Santo, has launched with an initial $35 million in capital raised and an active portfolio of 20 companies. The diversified venture fund said in a statement that it is focused on tackling the growing global mental health crisis by investing in innovative psychedelic-based and adjacent therapies that are poised to shape the future of psychiatry and fields beyond.

“We could not be more excited about how our portfolio has shaped up, as well as its trajectory,” said Palo Santo Co-Founder Daniel Goldberg. “This is a moment of validation for our model, and we will continue to support our thesis by backing talented founders who are creating innovative approaches to mental health and addiction treatment. At my first psychedelics conference years ago, it felt as if only the leading researchers and those ‘in the know’ were aware that psychedelics were poised to change psychiatry forever. That’s all changing now, and with these compounds being destigmatized, medicalized, and legalized, I couldn’t think of a more impactful investment for our society.”

Daniel Goldberg and his partners Tim Schlidt and Tony Eisenberg partnered in 2020 to form Palo Santo and formally launched the venture capital fund in 2021. Having seen the enormous therapeutic potential of psychedelic medicines years ago, the partners have been active as early participants and investors in the emerging industry.

Palo Santo said in a statement that it is targeting early-stage, high-growth opportunities within biopharma, drug development, digital therapeutics, healthcare services, and tech-enabled solutions. These businesses are positioned to profoundly impact treating a wide range of conditions such as depression, PTSD, anxiety, OCD, addiction, chronic or neuropathic pain, neurodegenerative diseases, and a range of inflammatory-related illnesses.

To date, Palo Santo said it has partnered with and funded more than 20 portfolio companies with notable investments such as atai Life Sciences (NASDAQ: ATAI), Reset PharmaField Trip HealthTactogen, EleusisBexson BiomedicalKsana HealthneuroCareBright MindsDiamond Therapeutics and Gilgamesh, among others.

Palo Santo Co-Founder Tim Schlidt, added, “Psychedelics represent a paradigm shift in treating a range of illnesses, but a sense of scientific rigor and thoroughness is still required in investing across this ecosystem. Palo Santo applies a meticulous and selective approach to investing and heavily leverages its network of scientific advisors and academicians to evaluate opportunities. We must remember that much of the investment opportunity-set is within biotech, and therefore requires a deep focus on the science, mechanisms of action, and review of the appropriate assays or human data at each phase of drug development. With our healthcare and deep network background in the space, Palo Santo is well-positioned as a diligent, validating investor. In addition to this, Palo Santo is providing more than just capital. We actively work to support and synergize our portfolio by connecting founders, advisers, and key opinion leaders with a collaborative ethos in mind.”

The Palo Santo team is supported by scientific advisors Charles Nichols, one of the world’s leading psychedelic pharmacologists; Julie Holland, renowned psychiatrist, psychopharmacologist, and author; David Sherman, a medicinal chemist and head of the University of Michigan psychedelic collective; and John Greden, chair emeritus, University of Michigan Department of Psychiatry and the founder of the University of Michigan Depression Center. Collectively, the team applies a diligent, in-depth scientific approach to portfolio company selection, evaluation, and monitoring.


StaffJuly 13, 2021
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4min4740

Wesana Health Holdings Inc. (CSE: WESA) (OTC: DBDIF) is buying Psychedelitech Inc., also known as PsyTech Inc., for a price of approximately C$21 million an all-stock deal. PsyTech uses data-driven tools that allow physicians insight into patient well-being and clinical best practices. PsyTech is mainstreaming the adoption of psychedelic-assisted therapies through the promotion and delivery of safe and effective therapy, combating stigma, and accelerating innovation. 

 Wesana said that the acquisition of PsyTech as a wholly-owned subsidiary will add three major components that will expand and enhance its current business, including clinical software-as-a-service (SaaS) platform ‘Tovana Solutions’, the integrated mental health practice network ‘Tovana Clinics’ and PsyTech Connect, the industry’s largest professional psychedelics practitioner community, conferences, and educational courses.  

The PsyTech Connect community has over 8,000 actively engaged professionals and has become a respected resource for complete, current, and peer-accepted psychedelic therapy protocols and clinical best practices. PsyTech Connect also features the annual PsyTech Summit, a psychedelic conference that averages over 2,200+ attendees.

 “TBI is a “moonshot” – by developing diagnostics and effective treatments for a condition as complex as TBI, we are uncovering medicines, therapies and protocols that will enable us to treat a wide range of conditions with roots in the brain.” Said Daniel Carcillo, CEO of Wesana Health. “The acquisition of PsyTech will greatly accelerate our ability to understand, analyze and improve neurological health and performance by providing a data platform on which to build our technical strategy, clinics in which to apply and accelerate our neuroscience research and relationships with many thousands of the practitioners who will leverage our medicines, diagnostics and technology to heal people.”

Management Comments

 “PsyTech Inc.’s psychedelic health solutions are extremely well-positioned to help the mental health industry respond to the growing demand for psychedelic therapies,” said Chad Bronstein, Executive Chairman and co-Founder of Wesana Health. “There are over 50,000 psychiatrists and 15,000 psychiatric practices in North America alone who will require solutions to adopt the novel and effective psychedelic-assisted therapies that already exist and are currently in development.”

 “Our mission at PsyTech has been to empower healthcare providers with tools to deliver best-practice care to patients, including the mainstreaming of breakthrough psychedelic therapies,” said Hayim Raclaw, CEO of PsyTech. “Daniel and his team have shown a tremendous passion for bringing real change to patients suffering from TBI and related mental health conditions which perfectly complements our mission at PsyTech. Together with the Wesana team, we span the range from therapy development to therapy delivery and novel psychedelic modalities of care.”


Video StaffJuly 9, 2021

3min7590

This is Psychedellux – the week’s top business headlines in the psychedelics industry. 

Dublin-based GH Research is now listing its stock on the Nasdaq under the symbol “GHRS” after opening for trading on Friday, July 2 at $22. The company had an IPO of 10 million shares at an initial price of $16 per share for total proceeds of approximately $160 million. The company said that its initial focus is on developing the novel and proprietary version of DMT for the treatment of patients with Treatment-Resistant Depression, or TRD.

Numinus Wellness Inc.  (TSXV: NUMI) (OTC: LKYSF) is buying the Neurology Centre of Toronto as of an agreement dated July 2, 2021, in a deal valued at half a million dollars. The deal is expected to close by the end of August 2021. All of NCT’s staff – including medical doctors, nurses, physician assistants, occupational therapists, psychotherapists, physiotherapists, nutritionists, and administrative staff – are expected to remain with Numinus after the deal closes.

Compass Pathways signed a deal with an NHS Trust and King’s College London. The new partnership will speed up Compass Pathways’ work in treatment areas such as post-traumatic stress disorder, anorexia and bipolar disorder. It will result in a number of new research studies and give the company access to NHS patients for clinical trials.

Cybin Inc. (NEO:CYBN) entered into an exclusive research and development collaboration agreement with TMS NeuroHealth Centers Inc., a wholly-owned subsidiary of Greenbrook TMS Inc. which operates 129 outpatient mental health service centers in the United States. Cybin and Greenbrook will work together to establish Mental Health Centers of Excellence for the purpose of facilitating research and development of innovative psychedelic compound-based therapeutics for patients suffering from depression.

 


StaffJuly 6, 2021
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3min6260

GH Research, a Dublin-based company studying the potential of 5-MeO-DMT for the treatment of psychiatric and neurological disorders, is now listing its stock on the Nasdaq under the symbol “GHRS” after opening for trading on Friday, July 2 at $22.

The company had an IPO of 10 million shares at an initial price of $16 per share for total proceeds of approximately $160 million.

The company said that its initial focus is on developing the novel and proprietary 5-Methoxy-N, N-Dimethyltryptamine, or 5-MeO-DMT, therapies for the treatment of patients with Treatment-Resistant Depression, or TRD. The portfolio currently includes GH001, our proprietary inhalable 5-MeO-DMT product candidate, and GH002, our proprietary injectable 5-MeO-DMT product candidate. It has completed a Phase 1 healthy volunteer clinical trial, in which administration of GH001 via inhalation was observed to be well tolerated at the investigated single dose levels and in an individualized dosing regimen with intra-subject dose escalation.

GH001 is currently being investigated in the Phase 2 part of an ongoing Phase 1/2 clinical trial in patients with TRD. Based on observed clinical activity, The company said it believes that administration of a single dose of GH001 has the potential to induce ultra-rapid remissions as measured by the Montgomery-Åsberg Depression Rating Scale, or MADRS, in certain patients. The goal of the ongoing Phase 2 part of the trial is to assess whether an individualized dosing regimen with intra-subject dose escalation within a single day can further increase the MADRS remission rate as compared to a single GH001 dose.

GH Research closed a series B financing round for $125 million in April, which allowed it to move to a Phase 1/2 clinical trial testing the product in patients with treatment-resistant depression. The financing was co-led by RA Capital and RTW Investments, LP, U.S.-based biopharmaceutical investment firms, alongside existing investor BVF Partners. Other new investors in the Series B round included Acuta Capital Partners, Boxer Capital, Cormorant Asset Management, Deerfield Management Company, Logos Capital, Surveyor Capital (a Citadel company), Venrock Healthcare Capital Partners, and Verition Fund Management.

 


StaffJuly 6, 2021
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5min4570

Numinus Wellness Inc.  (TSXV: NUMI) (OTC: LKYSF) is buying the Neurology Centre of Toronto as of an agreement dated July 2, 2021, in a deal valued at half a million dollars. Numinus will pay $300,000 in cash and $200,000 in Numinus shares upon closing and future performance-based payments totaling up to $500,000 in Numinus shares to complete the transaction. The deal is expected to close by the end of August 2021. All of NCT’s staff – including medical doctors, nurses, physician assistants, occupational therapists, psychotherapists, physiotherapists, nutritionists, and administrative staff – are expected to remain with Numinus after the deal closes.

Numinus and NCT founder Dr. Evan Lewis said they plan to expand NCT into a comprehensive clinical neurology treatment center with a unique specialization in the application of psychedelics in the field of neurology. Currently, therapies for common neurological disorders such as concussion, migraine and cluster headache, neuropathic pain syndromes, and chronic epilepsy have limitations, especially when these disorders are associated with chronic psychological challenges. The need to develop novel therapies that address both medical and psychological components of neurological diseases may be substantial and the potential impact could be significant.

“Our collaboration with Numinus represents an important evolution in patient care for individuals suffering from common neurological illnesses and challenges that are often associated with chronic mental health conditions,” said Dr. Lewis, a neurologist and clinical neurophysiologist who founded NCT in 2017. “While today’s treatments help many patients, a significant number continue to suffer and, we believe, maybe helped by psychedelic-assisted psychotherapy.”

Numinus said in a statement that current research shows that psychedelic medications such as psilocybin and MDMA open new pathways in the brain that can treat a host of mental health disorders in conjunction with professional therapy.

“This acquisition represents an exciting opportunity for NCT and Numinus to combine medical, clinical, and academic expertise to help create a new discipline and ultimately a center for excellence in psychedelic neurology,” said Dr. Evan Wood, Chief Medical Officer, Numinus. “In doing so, this collaborative discipline could potentially make a transformative difference for many patients.”

The company listed the following deal highlights in a statement:

  • Numinus to acquire a fully operational neurology center with 13 doctors, 8 allied health staff, nurse practitioners, and physician assistants. Gross revenues for the centre grew more than 25% to approximately $1 million for the year ended December 31, 2020, while net revenue grew 25% to $454,000 for the same period.
  • NCT offers experience managing patients with common neurological conditions and associated chronic psychological disorders for whom there is potential to benefit from psychedelic-assisted psychotherapy.
  • NCT’s expertise in clinical neurology and associated mental health disorders will be integrated with Numinus’ leadership in psychedelic-assisted psychotherapy to establish the field of psychedelic neurology, to develop strategies and treatments for those with select neurological and concurrent disorders.
  • NCT and Numinus plan to establish the first center for excellence in psychedelic neurology, comprising highly specialized neurology experts with an understanding of how psychedelics can safely and positively impact patients with neurologic illnesses and associated mental health challenges.
  • Numinus to leverage and grow NCT’s information technology-based virtual rapid access care model to streamline and scale pathways for patients to access psychedelic-assisted psychotherapies.
  • Dr. Lewis, recognized for advancing the use of medical cannabis to treat complex neurologic disorders, will join Numinus as VP, Psychedelic Neurology Services upon completion of the acquisition.

Video StaffJuly 2, 2021

3min5410

This is Psychedellux – the weekly recap of the business news in the psychedelics industry.

 

Cybin Inc. (NEO:CYBN) (OTCQB:CLXPF) released financial and business highlights for its financial year ended March 31, 2021. The company noted that it had a net loss of  $32.2 million for the year ended March 31, 2021 of which non-cash expenses totaled $13.1 million and cash-based operating expenses totaled $19,120,000. Cybin also reported that it had cash and cash equivalents of $64 million as of March 31, 2021.

 

Empower Clinics Inc. (CSE: CBDT)(OTC PINK: EPWCF) released its audited consolidated financial statements in United States dollars. Empower Clinics reported total revenues grew 58% to $3,209,196 for the fiscal year 2020 versus revenues of $2,031,581 for the fiscal year 2021. The company had a net loss of $17,066,311 or $0.09 per share compared to $4,301,663 or $0.04 per share for the fiscal year 2019. the company said this was primarily driven by a non-cash loss on the fair value adjustment related to its warrants outstanding that were impacted by the significant appreciation of the company’s share price (a key input in determining the fair value).

 

Allied Corp. (OTCQB: ALID) signed a supply and manufacturing agreement with HAVN Life Sciences (CSE:HAVN) to produce and distribute Psilonex™ RX psilocybin medical products for Allied’s patient cohort. HAVN will produce bottles of PsilonexRX capsules which is a proprietary formulation of psilocybin, cordyceps, lions mane, vitamin B and other ingredients.


StaffJune 28, 2021
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5min5060

Cybin Inc. (NEO:CYBN) (OTCQB:CLXPF) released financial and business highlights for its financial year ended March 31, 2021. The company noted that it had a net loss of  $32.2 million for the year ended March 31, 2021 of which non-cash expenses totaled $13.1 million and cash-based operating expenses totaled $19,120,000.

Cybin also reported that it had cash and cash equivalents of $64 million as of March 31, 2021. The company had closed an upsized bought deal financing for gross proceeds of $30 million, with a total of approximately $90 million raised since 2019 through private and public financings.

“It has been an incredibly busy and successful year for the Cybin team, expanding both our product development capabilities and our drug development programs,” stated Doug Drysdale, CEO of Cybin. “The enormous progress that we have made serves to strengthen the foundation of our organization, upon which we plan to build further in the coming 12 months as we continue our clinical research activities.”

Adelia Therapeutics Positive Results

Cybin’s wholly-owned subsidiary Adelia Therapeutics Inc. has achieved certain earn-out milestones for the period beginning January 1, 2021. Adelia’s primary focus is on the development of treatment regimens consisting of proprietary psychedelic molecules and related clinical protocols. Positive pre-clinical results determined that proprietary deuteration modifications in multiple lead new chemical entity candidates did not alter pharmacodynamic properties and did not alter safety as assessed in in-vitro toxicity tests as compared to non-deuterated analogs. Cybin said it believes that these initial results add value to Cybin’s pipeline of proprietary novel psychedelic compounds by demonstrating these molecules perform similarly to the naturally occurring molecules in certain important metrics. The development of these compounds differentiates Cybin from companies focused on naturally occurring psychedelic compounds.

The completion of these milestones has contributed to the advancement of Cybin’s portfolio of differentiated psychedelic-based therapeutics for a variety of mental health opportunities. The company’s current indications currently include major depressive disorder (CYB001), alcohol use disorder (CYB003) and anxiety disorders (CYB004). In addition, two programs in the research phase (CYB005 and CYB006) involved synthesis and testing of more than 50 novel compounds coupled with extensive in-vitro and in-vivo pharmacokinetic, receptor binding, behavioral and safety evaluations.

Company Highlights

Other company highlights during the earnings announcement included the following items:

  • Received Institutional Review Board approval to initiate phase II clinical trials on CYB001 which is targeting Major Depressive Disorder.
  • Announced indication selection for 3 out of 4 active drug programs targeting Major Depressive Disorder (CYB001), Alcohol Use Disorder (CYB003), Anxiety Disorders (CYB004) and therapy-resistant psychiatric disorders (CYB005).
  • Expanded patent portfolio to 12 patent filings which cover, amongst other things, novel psychedelic compounds, integration of delivery platforms, methods of use in psychiatric indications, drug discovery pipeline of modified and novel ergolines, tryptamines and phenethylamines.

Video StaffJune 25, 2021

3min6370

Psychedelic biotech company Awakn Life Sciences Corp. (NEO: AWKN)  began trading on the NEO Exchange Inc. under the symbol “AWKN”. The company has raised C$13.5 million to date and has plans to open three UK psychedelic-assisted psychotherapy clinics where it will deliver ketamine-assisted therapies near term and MDMA when they secure authorization in 2021. The company’s target is 20 clinics by the end of 2024.

Red Light Holland Corp. (CSE: TRIP) (FSE: 4YX) (OTC: TRUFF) has entered into a non-binding letter of intent to acquire a 51% stake in Acadian Exotic Mushrooms Ltd. AEM is a dormant gourmet mushroom production facility. Upon completion of start-up activities, the 22,000 square foot facility is expected to produce up to 5,000 pounds of Shiitake mushrooms per week. AEM will also have the ability to produce, package and distribute a wide variety of fresh mushrooms while offering an assortment of dried options and the potential to produce functional mushroom consumer packaged goods.

Silo Wellness Inc.  (CSE: SILO) (OTC: SILFF) has launched Marley One, a psychedelic mushroom consumer brand, in collaboration with the family of legendary musician Bob Marley. Silo said that the initial product offering will include a range of functional mushroom tinctures with unique blends highlighting the brand’s connection to Jamaica, including species such as cordyceps, lion’s mane, chaga, reishi, and turkey tail. These initial mushroom supplements have no psychoactive properties, but Silo said it is planning a psychedelic mushroom product line under the Marley name later this year.

 


StaffJune 24, 2021
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4min6230

Silo Wellness Inc.  (CSE: SILO) (OTC: SILFF) has launched Marley One, a psychedelic mushroom consumer brand, in collaboration with the family of legendary musician Bob Marley. Silo said that the initial product offering will include a range of functional mushroom tinctures with unique blends highlighting the brand’s connection to Jamaica, including species such as cordyceps, lion’s mane, chaga, reishi, and turkey tail that offer a range of unique health and wellness benefits, from immunity and gut health to cognitive function and sleep enhancement. These initial mushroom supplements have no psychoactive properties, but Silo said it is planning a psychedelic mushroom product line under the Marley name later this year.

“Today is a significant milestone for our company as we introduce the world to Marley One, a portfolio of branded mushroom products with instant name recognition and global visibility honoring Bob Marley’s legacy and connection to nature and plant-based wellbeing,” said Silo Wellness CEO Douglas K. Gordon.  “We are building what will become the world’s first global functional and psychedelic mushroom brand, guided by our vision to help people achieve healthier, more fulfilling lives and become the best versions of themselves.”

In March, Silo Wellness announced a multi-year licensing agreement with the family of global reggae icon Bob Marley for the exclusive worldwide rights to brand, market, and sell a distinct product line of functional and psychedelic mushrooms.

“We know Bob would be proud of what we’re building with Silo Wellness and the Marley One brand,” said Rita Marley. “Our family has always revered the ancient history and transformative potential of nature’s gifts.”

At launch, the Marley One product line includes:

  • One Mind: A coffee-flavored blend of lion’s mane and gingko biloba designed to improve focus and cognitive function.
  • One Flow: A peppermint-flavored blend of cordyceps and ginseng designed to enhance physical endurance and mental function.
  • One Harmony: A mango-flavored blend of chaga and ginger designed to stimulate gut health and improve digestion.
  • One Body: A berry-flavored blend of turkey tail and astragalus designed to support immune health.
  • One Rest: A vanilla-flavored blend of reishi and GABA designed to help reduce tension and stress and improve quality of sleep.

Cedella Marley, CEO of Bob Marley Group of Companies added, “As a family, we seek to use our platform to inspire positive change, and the launch of the Marley One mushroom brand, in collaboration with a pioneering company like Silo Wellness, allows us to do just that by marrying ancient wisdom with modern science. It’s our wish that these products will empower people to experience oneness with nature and the universe at large – and ultimately, achieve greater self-actualization.”


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