NEW YORK: There is a plethora of innovations that scientists and researchers have accomplished in biotechnology in recent years.

Among the popular fields of study for biotech companies are gene editing, tissue engineering and regeneration, nanobiotechnology and others. In addition, new segments under the biotech umbrella are constantly being developed.

For example, the medical cannabis segment has rapidly emerged in recent years, and the continuously growing acceptance of psychedelic drugs is further evidence. According to recent studies by a number of universities and research institutions, data indicates the usefulness of potential applications of psilocybin. It is a naturally occurring substance that is being examined for the potential use in the treatment of psychiatric conditions. Currently, psychedelics have been used as potential treatments for various health conditions including depression, panic disorders, post-traumatic stress disorder (PTSD), and opiate addiction. Mind Medicine (MindMed) Inc. (OTC MMEDF) (NEO MMED), COMPASS Pathways plc (NASDAQ CMPS), Tonix Pharmaceuticals Holding Corp. (NASDAQ TNXP), Numinus Wellness Inc. (TSX-V NUMI) (OTC LKYSF), Revive Therapeutics Ltd. (CSE RVV) (OTC RVVTF) are all working on psychedelic treatments.

The perceptions about psychedelics and their possible uses have started to shift from a potentially dangerous party drug to an approachable medicinal product. For example, earlier in 2019, the U.S. Food and Drug Administration (FDA) approved Spravato (esketamine) a nasal spray, in conjunction with an oral antidepressant, for the treatment of depression in adults who have tried other antidepressant medicines but have not benefited from them (treatment-resistant depression). According to The Verge, Steve Levine, the founder of Actify Neurotherapies, which runs 10 ketamine clinics around the country explained that we deliver an off-label treatment that has the baggage of being known as a club drug... Now we've moved from 'we deliver horse tranquilizer off-label' to 'we deliver FDA-approved Spravato' and it's just easier to talk to people about that.

Mind Medicine (MindMed) Inc. (OTCQB MMEDF) (NEO MMED) announced last week that it has closed its previously announced bought deal short form prospectus offering, including the exercise in full of the underwriter's over-allotment option (the Offering). In connection with the Offering, the Company issued 18,170,000 units of the Company (the Units) at a price per Unit of CAD $1.90 (the Issue Price) for gross proceeds of CAD $34,523,000. The Offering was conducted by Canaccord Genuity Corp., as lead underwriter, and Eight Capital.

Each Unit comprises one subordinate voting share of the Company (a Subordinate Voting Share) and one-half of one Subordinate Voting Share purchase warrant (each whole warrant, a Warrant). Each Warrant entitles the holder thereof to purchase one Subordinate Voting Share at an exercise price of CAD $2.45 until December 11, 2023. If, at any time following the closing of the Offering, the daily volume weighted average trading price of the Subordinate Voting Shares on the NEO Exchange Inc. is greater than CAD $4.00 per Subordinate Voting Share for the preceding 10 consecutive trading days, the Company may, upon providing written notice to the holders of Warrants, accelerate the expiry date of the Warrants to the date that is at least 30 days following the date of such written notice. The Warrants will be listed for trading on the facilities of the NEO Exchange Inc. (the NEO) under the symbol MMED.WA, subject to the final approval of the NEO.

Since the founding of Mind Medicine Inc. in May 2019, MindMed has now raised a total of CA$121.4M (US$94.8M) in investment capital before fundraising and deal expenses.

MindMed Co-Founder & Co-CEO, J.R. Rahn said, 'The COVID-19 pandemic has made it clearer than ever that the current global mental healthcare system demands more comprehensive solutions to address multiple mental health and addiction crises around the world. This successful upsized financing from investors offers further validation that psychedelic medicines are being viewed as a promising new frontier in mental health treatments. As we advance and design this new treatment paradigm in mental health and addiction, we believe that interlacing digital therapeutics alongside regulated psychedelic drug development through rigorous science at the FDA and other regulatory bodies will be integral to advancing the potential healing of millions of patients globally.'

The Company intends to use the net proceeds of the Offering for investment in its digital medicine division, additional microdosing research and development, as well as general working capital and corporate purposes, including to further fund its ongoing programs.

Post-financing, the Company now has cash reserves of CA$85M (US$66.4M) to enable development of its digital medical division Albert and continued progress of its clinical trial pipeline of psychedelic inspired medicines and experiential therapies.

With Albert, the Company aims to build an integrated digital platform to improve patient safety, outcomes, and clinical trial design. By pairing digital tools, such as wearables and the latest in machine learning, with psychedelic assisted therapies, MindMed can optimize and better understand the patient journey and therapeutic outcomes from pre-care through to after-care.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the United States Securities Act of 1933, as amended, and applicable state securities laws.

Growing Medical Support Helps Buoy Psychedelic Research

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