Researchers Seek to Better Understand Psychedelics' Role in New Therapies
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sychedelics are slowly becoming more acceptable as a legitimate treatment option for various anxiety and depression related mental illnesses.
Depression is one of the most common chronic neurological disorders in modern society. It is estimated that over 250 million people suffer from some form of depression around the world.
And, according to a report by Research and Markets, the U.S. reported a sharp increase (~20%) in the number of prescriptions for antidepressants and anti-anxiety drugs during the global lockdown enforced to curb the spread of the pandemic.
Furthermore, the World Health Organization indicated that the major barriers to effective treatment for depression and other mental illnesses include the lack of understanding of the aforementioned conditions resulting in an irrational social stigma, inaccurate diagnosis, and paucity of effective medication. Over time, it has been demonstrated in various studies that psychedelic substances interact with a variety of neurotransmitter pathways, and indicate promising potential therapeutic implications. Mind Medicine (MindMed) Inc. (OTC MMEDF) (NEO MMED), Johnson & Johnson (NYSE JNJ), AbbVie Inc. (NYSE ABBV), Pfizer Inc. (NYSE PFE), AstraZeneca PLC (NASDAQ AZN)
An example of a recent study includes data based on an examination of 27 people, which found that a treatment featuring the hallucinogen psilocybin worked better than the usual antidepressant medications, a team reported back in November in the journal JAMA Psychiatry. According to NPR, the study comes after earlier research offered hints that psilocybin might work against depression and after a study by researchers at Johns Hopkins found that it could ease depression and anxiety in patients who had life-threatening cancer.
Mind Medicine (MindMed) Inc. (OTCQB MMEDF) (NEO MMED) reported last week that, it has closed its previously announced bought deal short form prospectus offering, including the exercise in full of the Underwriters' over-allotment option (the Offering). In connection with the Offering, the Company issued 20,930,000 units of the Company (the Units) at a price per Unit of CAD $4.40 (the Issue Price) for gross proceeds of approximately CAD $92.1m. The Offering was conducted by Canaccord Genuity Corp. (the Lead Underwriter), along with Eight Capital and CIBC Capital Markets (collectively, the Underwriters).
As announced on December 14, 2020, MindMed originally entered into an agreement with the Lead Underwriter to raise gross proceeds of CAD $50.0m and agreed to increase the size of the Offering to CAD $80.0m on December 15, 2020 due to outsized investor demand. In connection with the filing of MindMed's final prospectus on December 31, 2020, CIBC Capital Markets was also added to the offering.
MindMed is a leading psychedelic medicine biotech company that discovers, develops and deploys psychedelic inspired medicines and experiential therapies to address addiction and mental illness. Since the founding of Mind Medicine, Inc. in May 2019, MindMed has now raised a total of approximately CAD $237.2m (USD $183.8m) in investment capital before fundraising and deal expenses, making it one of the leaders in the psychedelic medicine industry in its ability to finance its innovative R&D, a new digital therapeutics division and a growing clinical trial pipeline.
MindMed Co-Founder & Co-CEO, J.R. Rahn said We are extremely pleased to have the continued support of our Lead Underwriter, Canaccord Genuity, as well as Eight Capital and CIBC Capital Markets as syndicate members. Financing is critical to the fast-growing psychedelic medicine industry as we seek to pioneer a new paradigm and therapeutic asset class for the millions suffering from mental illness and addiction globally.
The Company intends to use the net proceeds of the Offering for investment in its digital medicine division, for further investments in its LSD experiential therapy program for anxiety disorders (Project Lucy), its development of a non-hallucinogenic version of the psychedelic substance ibogaine to address the opioid crisis (Project Layla), and its LSD micro-dosing trials for adult ADHD, as well as for general working capital and corporate purposes.
✔️ Researchers Seek to Better Understand Psychedelics' Role in New Therapies
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