So with the overall stock market in a bit of a slump lately I thought I would perk things up and write an article on psychedelic stocks – this new emerging sector is about wellness and alleviating pain and suffering which was exacerbated by the pandemic. As there are many psychedelic companies I will provide links that can connect readers to all the companies in this emerging field. For now I focused on six companies that are public but this does not say that the plethora of others are to be ignored. I debated whether to include the stock prices but as stock prices tend to fluctuate daily I thought a more prudent move would be to include this link to look up any stock price: https://www.marketwatch.com/tools/quotes/lookup.asp
Happy Reading –
MindMed (NEO: MMED) https://mindmed.co/
MindMed is a major player that just hit the Nasdaq a few weeks ago and literally rang the Nasdaq opening bell. MindMed is all about “promoting wellness and alleviating suffering”. https://darkmattersmag.com/news/nasdaq-day-the-day-mindmed-rang-the-opening-bell/
“MindMed is a clinical-stage psychedelic medicine biotech company that discovers, develops and deploys psychedelic inspired medicines and therapies to address addiction and mental illness. The company is assembling a compelling drug development pipeline of innovative treatments based on psychedelic substances including Psilocybin, LSD, MDMA, DMT and an ibogaine derivative, 18-MC. The MindMed executive team brings extensive biopharmaceutical experience to MindMed’s approach to developing the next generation of psychedelic inspired medicines and therapies.”
“The Company has a number of trials underway, on which it generally collaborates with University Hospital Basel’s Liechti Lab. These include a ‘candyflipping’ trial that seeks to understand whether combined dosing of MDMA and LSD could mitigate bad trips, as well as studies into Psilocybin.”
MindMed announced its quarterly financial results for the Q1 ending March 31, 2021.
The financial highlights include:
- Total assets as of March 31, 2021 were $201 million, including $160 million in cash
- Net Cash Used in Operating Activities (Total Cash Burn) of $10 million for the quarter ended March 31, 2021
- Net and comprehensive loss of $14 million for the three months ended March 31, 2021
The business highlights include:
MindMed closed its acquisition of HealthMode, a leading machine learning digital medicine company, adding Bradford Cross as Chief Technology Officer to lead Albert and Dr. Daniel R Karlin as Chief Medical Officer
MindMed began the first-ever clinical trial combining MDMA and LSD in collaboration with UHB Liechti Lab
MindMed closed an upsized financing of $92 million CAD ($73 million USD)
MindMed closed a subsequent private placement of $19.5 million CAD ($15.4 million USD)
MindMed expanded its Microdosing Division adding a groundbreaking study evaluating LSD Microdosing through next-gen digital clinical markers
MindMed added Chief Development Officer, Robert Barrow, with FDA Phase 2 Psilocybin clinical trial experience
MindMed signed partnership with Swiss psychedelic drug discovery startup MindShift Compounds AG, expanding its development pipeline and IP portfolio with next-gen psychedelic and empathogenic compounds
MindMed’s LSD neutralizer study began in collaboration with UHB Liechti Lab
MindMed added Stanford University Pritzker Professor of Psychiatry and Behavioral Sciences, Dr. Robert Malenka as Chair of its Scientific Advisory Board
MindMed announced Its Inclusion in FTSE Russell Indexes https://psychedelicstockwatch.com/psychedelic-stock-news/mindmed-announces-2021-q1-financial-results-cash-balance-of-160m-usd-194m-cad-to-execute-on-diverse-clinical-pipeline
Numinus Wellness Inc. (OTCMKTS:LKYSF) https://numinus.ca/
“Numinus is a Vancouver-based health care company helping to support the universal desire to heal and be well. Through its wholly-owned subsidiary Salvation Botanicals, Numinus has a Health Canada cannabis testing licence that allows the Company to test and analyze cannabis products from licensed producers. In addition, it is a late-stage applicant to receive a Health Canada standard processing licence to produce cannabis products. Numinus, through the same subsidiary, also has a dealer’s licence which allows the Company to test, possess, buy and sell MDMA, psilocybin, psilocin, DMT and mescaline. The Health Canada license also allows import/export, testing and R&D of these substances. The expanded licence will allow Numinus to support the growing number of studies on the potential benefits of psychedelic therapies through research projects, product development, and the supply and distribution of these substances. Numinus Wellness is dedicated to therapies that enhance and supplement existing options for people wanting lasting physical, mental and emotional health — with psychedelic treatments at its core when approved for therapeutic and research use.”
“Numinus Wellness Inc (NUMI) is a publicly-traded company that is licensed by Health Canada to test, sell and distribute psychedelic substances. It listed on the TSXV exchange on Wednesday 20th May, 2020.”
“The Company’s operations include Numinus Bioscience, a testing and research facility; Numinus Health, a treatment and healing centre model; and Numinus R&D.”
On May 13, 2021 Numinus announced new hires in key leadership roles.
“The new hires fill key roles in innovation, communications, business development, mergers and acquisitions, market research and clinic operations. They will support the Company’s goals to expand its clinic network internationally, develop and deliver safe and effective psychedelic-assisted psychotherapies, and enhance laboratory capabilities.”
“The Numinus team additions include:
- Wajahat Ali, Director of Mergers and Acquisitions, is an expert in data-driven corporate finance with extensive experience in private equity, valuations, financial modeling, planning, analysis and restructuring. As director of corporate development, he spearheaded Lifemark Health Group’s acquisition strategies and managed the transaction process from offer to integration.
- Jason Lapensee, Vice President of National Clinic Operations, is an accomplished leader in the healthcare industry. Most recently serving as Director of Operations at Dawson Dental Centres, he played a key role in developing the operational framework to scale the business from 12 to 35 practices over seven years.
- Ian Noble, Chief Communications Officer, is a communications and media executive with deep experience in capital markets, issues management, brand, and integrated awareness and advocacy campaigns. He recently served as VP, Media and Financial Communications, Edelman Vancouver.
- Raseel Sehmi, Vice President of Business Development & Strategic Partnerships, offers more than 15 years of international and cross-sector leadership experience, most recently as Director, Global Partnerships & Business Development with ATB Ventures. She has a track record of enabling digital innovation across Canada, and helping pioneering companies accelerate business growth, innovation and social impact.”
- Pam Sethi, Vice President of Experience Design & Innovation, is an award-winning leader in mental health innovation. She has extensive healthcare and innovation design experience in the public and private sectors, nationally and globally, and most recently served as Chief Innovation Officer at the Institute for Advancement in Mental Health.
Over the past few months, Numinus has also added employees in sales, marketing, people and culture, market research and clinic operations, and promoted clinical leadership from within. The Company continues to grow and add staff, and currently has more than 25 open positions.
Compass Pathways (CMPS) https://compasspathways.com/
Compass Pathways’ “vision is for a world of mental wellbeing.”
“UK-based Compass Pathways are one of the most prolific players in the emergent psilocybin space, actively conducting clinical trials to demonstrate the safety of psilocybin, and its potential to tackle treatment-resistant depression.”
“Compass IPO’d on Friday 18th September, 2020, on the Nasdaq.”
“The US Food and Drug Administration (FDA) awarded a “Breakthrough Therapy” designation to Compass for their research into the use of psilocybin for severe depression. This allows the Company to accelerate the (usually very slow) development and review of their drugs. Typically, such a designation is only approved where early evidence suggests the drug in question could pose a significant improvement versus currently-available therapy.”
“Compass has conducted, and is conducting, a range of registered clinical trials across the world. In the United Kingdom, the Company has worked with the Institute of Psychiatry, Psychology & Neuroscience (IoPPN) at King’s College London to successfully conduct a double-blind, placebo-controlled study with nearly ninety participants between 18-65 years of age. The study found that psilocybin was well-tolerated by the healthy adult volunteers.”
“Compass Pathways has some well-known investors, including Peter Thiel (PayPal co-founder).”
On April 26, 2021 Compass stock jumped more than 5% bringing it up more than 15% over those past few trading days. Why did this happen?
- The so-called “Shroom Boom” — wherein the world develops a new class of psychedelic-inspired medicines to more effectively treat a wide array of mental health disorders, like substance abuse, anxiety, and depression — is gaining awareness, traction, and momentum. This “rising tide” is benefitting CMPS stock.
- One of the smaller players in this space — Mind Medicine (OTCMKTS:MMEDF) — won approval to up-list to the Nasdaq. Trading for MindMed on the Nasdaq under the ticker “MNMD” will start on April 27.
- One of the larger private players in this space — ATAI Life Sciences, backed by billionaire VC Peter Thiel who was famously Facebook‘s (NASDAQ:FB) first investor — is planning to raise $100 million in an IPO very soon.
- An April 2021 study from the Imperial College London found that psilocybin — the active ingredient in “magic mushrooms” — is more effective and faster at treating depression than Lexapro.https://investorplace.com/hypergrowthinvesting/2021/04/the-shroom-boom-is-here-buy-cmps-stock-to-ride-this-explosive-megatrend/
I wouldn’t exactly call MindMed a smaller player but be that as it may. Let’s call our attention to another player in the field:
Cybin Inc. (OTCMKTS:CLXPF) https://www.cybin.com/
Cybin views “psychedelic medicines derived from mushrooms as boosters for the brain that can potentially retrain thought processes and break negative patterns all while looking at non-psychedelic medical mushroom extracts as the next wave of super nutraceuticals that can optimize overall health”.
“Cybin’s pipeline includes four psychedelic drug programs. The company is currently evaluating its lead candidate, sublingual psilocybin drug CYB001, in a phase 2 clinical trial as a potential treatment for major depressive disorder (MDD). It also has two preclinical candidates, CYB003 and CYB004, both of which are deuterated versions of tryptamine. In addition, Cybin is researching the use of phenethylamines as a potential treatment for neurological disorders.”
“Cybin announced a deal earlier this year to use Catalent’s Zydis orally disintegrating tablet technology to deliver CYB003. It plans to file an Investigational New Drug (IND) application with the U.S. Food and Drug Administration (FDA) later this year to advance the experimental therapy into early-stage clinical testing in treating alcohol use disorder.”
“There are two main reasons to be optimistic about Cybin’s prospects. Most importantly, studies have shown that psychedelic molecules hold the potential to be effective in treating a wide range of conditions, including addiction, depression, and post-traumatic stress disorder.”
“If Cybin’s psychedelic drug candidates eventually win regulatory approvals, the market opportunities are tremendous. The National Institute for Mental Health estimates that the direct and indirect costs of mental disorders in the U.S. total $467 billion.” https://www.fool.com/investing/2021/04/29/forget-sundial-growers-put-this-psychedelic-stock/
Field Trip Health (OTC:FTRPF) https://www.fieldtriphealth.com/
Lastly, let’s look at Field Trip. Field Trip does just that – they create an environment that is the epitome of setting when one thinks of set and setting for a psychedelic experience.
“Field Trip takes a personalized approach to mental wellness. We blend legal psychedelic-enhanced therapy, mindfulness, and self-care with a series of sessions with trained psychotherapists. All in a comfortable, spa-like environment that promotes healing.”
“Field Trip is also attempting to treat people with psilocybin and is working on its lead drug candidate FT-104, a synthetic psychedelic molecule. If preliminary studies for FT-104 are confirmed, it could address the limitation of psilocybin and MDMA.”
“Better, it could make it a top choice for clinicians and provide a better option than psilocybin, as noted by Dieter Weinand, Field Trip board member and former chairman and CEO of Bayer Pharmaceuticals AG.”
Life Clips, Inc. (OTC Pink: LCLP) https://lifeclips.com/
We forget that there are companies behind the scenes developing the technology for and with the biotechnology medicine companies that are performing the clinical trial research with these extraordinary substances and administering these medicines to patients. One such company is Life Clips.
In February 2021 Life Clips, Inc. announced “that it has entered into a letter of intent to acquire Cognitive Apps Software Solutions Inc., a developer of artificial intelligence (AI) applications for the healthcare industry and psychedelic research”.
“Cognitive Apps provides an AI powered mental health analytics platform empowering businesses to measure, understand, and improve mental well-being of their employees, patients or customers with easy to use tools. The Cognitive Apps assessment is fast and easy to administer. The patient only needs to record their voice on a handset, iPad, or tablet. Traditional mental health assessments like the Asberg, PHQ-9 and Hamilton are stressful for the patient and can be undermined by learning effects. The Cognitive Apps assessment is designed to be administered as often as monthly, in order to provide a more granular picture of changes in mental health over time. As a result, the Cognitive apps assessment can be routinely completed to monitor mental health and track variables that might be impacted by treatment.”
“With the acquisition, Life Clips gains access to Cognitive Apps’ intellectual property, including AI enabled speech-based technology, and its research and development team. Life Clips will further develop Cognitive Apps’ technology for use in the development and testing of psychedelics for the treatment of various mental health disorders.”
Scientists are already using artificial intelligence to develop new psychedelic drugs. The classic psychedelics as we fondly know them may become as archaic as the Model T Ford in the future. This psychonaut hopes not. I believe there is room for both. But scientific advancement does move on and as DoubleBlind reports: https://doubleblindmag.com/artificial-intelligence/reports:
“While research is still in the early stages, scientists are making massive advancements by deploying artificial intelligence and machine learning to sift through hundreds of millions of different drugs, analogs and derivatives of psychedelics. Usually drug companies focus on developing one drug for one condition at a time. But using advanced computer science, some researchers are instead developing dozens of potential psychedelics—or drugs that resemble them—all at once.”
Stay tuned for more articles on this developing field.
For a complete overview of the psychedelic sector might I turn your attention to the following links:
https://psychedelicstockwatch.com/featured-companies
https://psilocybinalpha.com/psilocybin-stocks-shroom-stocks
*Remember the stock ticker symbol look-up*: https://www.marketwatch.com/tools/quotes/lookup.asp
Disclaimer: Absolutely nothing you read in here should be taken as investment advice. The discussion of securities and ideas is never to be considered a recommendation to buy or sell any. Always do your own due diligence.
Author: Sherri Margolin (Dark Matters)