Enveric Archives - Green Market Report

Dave HodesApril 8, 2022
shutterstock_579231529-1-scaled.jpg?fit=1200%2C800&ssl=1

7min140

While the numbers on the spreadsheets of psychedelics companies are still to be taken with a grain of salt, given that this is an emerging biotechnology industry still in the drug development stage, there are encouraging signs that perhaps 2022 could be the beginning of a rebound.

Some of the financial downbeat news from 2021 is more than offset by acquisitions and partnerships news that have or will soon give the psychedelics industry the sort of financial firepower that has been predicted for years. For example, the January acquisition of Eleusis, a clinical-stage life science company, by Silver Spike Acquisition Corporation, created a combined company enterprise value of approximately $446 million.

Here are the results of financial reports from the fiscal year 2021 for three selected psychedelics companies, each with a note about what the company has done or is doing to advance its standing and give it some real financial muscle going forward.

Enveric Biosciences Inc. (NASDAQ: ENVB), is a neuroscience company developing next-generation psychedelic-inspired mental health medicines, based in Naples, Florida.

Enveric made a couple of strategic moves in 2021 to build on its foundational aspirations, including being added to the new AdvisorShare Psychedelics ETF trading on the NYSE Arca exchange; and filing and publishing four patent applications for psychedelic-inspired drug candidates with the World Intellectual Property Organization (WIPO). The four patent applications are focused on the tryptamine family of novel molecules. The company’s net loss for the year was $48.8 million, $40 million more than in 2020, but it reported it still had $17.4 million in cash with working capital of $15.3 million and had raised $10 million during the year that it expects to use to advance its new drug delivery platform and assist with managing its growing IP portfolio. 

Good news for 2022: The company also announced a collaboration with the University of Calgary on a clinical trial for cancer-related distress, expected to launch in 2023. And in September, Enveric completed the acquisition of MagicMed Industries Inc., a privately-held biotechnology company focused on creating a library of novel derivative psychedelic molecules such as psilocybin, N, N-dimethyltryptamine (DMT), and other molecular derivatives with applications across multiple indications, in an all-stock transaction. With this acquisition, Enveric intends to expand into a next-generation neuroscience drug discovery platform of novel psychedelics that addresses the large unmet mental health challenges related to the central nervous system.

Filament Health Corp. (OTCQB: FLHLF) (NEO: FH) (FSE: 7QS), is a clinical-stage natural psychedelic drug development company based in Vancouver, BC, Canada.

Filament Health is riding high with cash and cash equivalents of $4.6 million and working capital of $5 million as of the end of 2021. The Canadian company spent just $5.4 million on operating expenses last year.

Good news for 2022: Filament’s superpower was in leveraging its stock in 2021: issued 99,844 common shares to a service provider in exchange for the reduction of $39,938 in debts owing; issued 1,650,000 options to purchase common shares to six parties; and issued 226,000 restricted share unit awards, under which the holders have the right to receive an aggregate of 226,000 common shares.

Mydecine Innovations Group (NEO: MYCO) (OTC: MYCOF) (FSE: 0NFA), is a biotechnology company developing innovative first- and second-generation novel therapeutics for the treatment of mental health and addiction based in Vancouver, BC, Canada.

Mydecine appears to be regrouping after a discontinued operation cost them $5.3 million in 2021, which contributed to a net loss of $28.9 million for the year. For the two years ending December 2021, the company has experienced a combined net loss of just over $55.8 million. The Canadian company reports that it had $1.5 million in cash and cash equivalents as of the end of 2021, has secured additional funding and is moving forward with clinical trials and projects to expand its IP portfolio.

Good news for 2022: Mydecine progressed to a Phase 2b smoking cessation study following a positive meeting with the Food and Drug Administration (FDA) to review the company’s Investigational New Drug (IND) application. In Q2 2022, the company plans to file an IND and breakthrough status application and will begin patient recruitment upon receipt of FDA approval. The multi-site study’s lead investigator will be Johns Hopkins University. The company also signed a five-year Master Collaboration Research Agreement with Johns Hopkins University School of Medicine, demonstrating the company’s commitment to advancing psychedelic medicine by exploring multiple molecules and drugs for various indications.


StaffMay 24, 2021
shutterstock_1789366847-scaled.jpg?fit=1200%2C789&ssl=1

5min120

Patient-first biotech company Enveric Biosciences (NASDAQ: ENVB) is buying MagicMed Industries Inc., a privately-held biotechnology company focused on creating a library of novel derivative psychedelic molecules such as psilocybin, N,N-dimethyltryptamine (DMT) and other molecular derivatives with applications across multiple indications, in an all-stock transaction. The deal has an approximate value of $30 million. 

Shareholders of MagicMed will receive 9,946,969 shares of common stock of Enveric, which recently closed at $2.72. Plus, warrants, options, and restricted stock units to acquire an additional 9,039,882 shares of common stock of Enveric. The current Enveric shareholders will own approximately 63.4% of the combined company’s common stock. Additionally, Enveric will receive approximately C$4 million in cash from the MagicMed Treasury. Dr. Joseph Tucker will be appointed Chief Executive Officer and David Johnson, the current Chief Executive Officer, and Chairman will be appointed Executive Chairman.

“Our proposed acquisition of MagicMed underscores the core fundamental mission of Enveric to form a drug discovery and clinical-stage biotechnology company with a focus on bringing forward nature-originated therapies to improve the standard of care and serve unmet needs in oncology and CNS indications,” said David Johnson, Chairman and CEO of Enveric Biosciences. “Psychedelics and cannabinoids, in our opinion, have extensive patient benefits for the mind and body. We welcome MagicMed’s world class research and development team led by Dr. Joseph Tucker, who not only have experience in psychedelic drug discovery, but also research experience in cannabinoids, as well.”

MagicMed has focused on the discovery and early development of novel drug candidates, structurally related to psychedelics with vastly improved pharmaceutical characteristics and commercial potential for the treatment of neurological and psychological indications. The Psybrary is MagicMed’s library of novel psychedelic derivatives developed through the combination of synthetic biology and traditional chemistry techniques. MagicMed has 13 patent applications filed for derivatives of psilocybin and DMT, 2 patent applications filed for derivatives of mescaline and MDMA with further intellectual property protection for mescaline, MDMA, ibogaine, and LSD in process. 

“Our mission at MagicMed has always been focused on unlocking the full potential of psychedelic-derived medicines for the treatment of neurological and psychological indications,” added Dr. Joseph Tucker, Chief Executive Officer of MagicMed. “Complementing our R&D capabilities, working together with Enveric will allow us to leverage the company’s clinical team, all of whom are focused on advancing our extensive pipeline of molecules through the clinic to help serve the millions of patients who are suffering from mental health issues around the globe. Through this acquisition – in the best interest of each of our respective teams – we have bolstered our pipeline, bringing together a seasoned team of experts with the leadership skills and knowledge that is crucial to creating a platform that aims to address large unmet total addressable markets.”

The acquisition of MagicMed will expand and complement Enveric’s current pipeline of naturally occurring compounds, which is primarily focused on cannabinoids, to now include a robust portfolio of psychedelic-derived molecules. Enveric intends to continue to develop patient-centric support care therapies in oncology and central nervous system (CNS) indications. Upon closing, Enveric intends to commence drug discovery and development for treatment of cancer-related Post Traumatic Stress Disorder (PTSD) patients who are currently in treatment for cancer and those who are in remission. It is anticipated that the PTSD drug development program holds the potential to be expanded in the future beyond cancer-related applications to include other patient populations, such as military veterans.


Choose Your News

Subscribe to the Green Market Report newsletter that gives you original content delivered straight to your inbox.

 Subscribe

We respect your privacy. See our privacy policy.


About Us

The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


READ MORE



Recent Tweets

@GreenMarketRpt – 14 hours

The Daily Hit: September 29, 2022

@GreenMarketRpt – 19 hours

Vermont Recreational Cannabis Sales Will Launch Oct. 1 in Burlington

Back to Top

Choose Your News

Subscribe to the Green Market Report newsletter that gives you original content delivered straight to your inbox.

 Subscribe

We respect your privacy. See our privacy policy.