Canadian psychedelic tech company Cybin has raised $45 million (CAD) to pursue its treatment and delivery systems.
Canadian pharmaceutical therapies company Cybin announced $45 million (CAD) in gross proceeds on a private placement of 60,000,000 subscription receipts as part of a new funding round. The company will use the funds to further expand its development of psychedelic treatments and nutraceutical products. CYBIN is currently developing technologies and delivery systems that could improve upon the bioavailability of psychedelics by requiring lower dosage levels.
Stifel GMP and Eight Capital led the funding on behalf of a syndicate of agents including Canaccord Genuity Corp., Haywood Securities Inc., and Echelon Wealth Partners.
“The strong interest we received from distinguished healthcare investors enabled us to exceed our original capital-raising goals,” Doug Drysdale, CYBIN’s Chief Executive Officer, said in a statement. “The potential of psychedelic therapies to treat mental illness and addiction disorders has never been more significant. With this investment, we will continue to advance our robust pipeline of psychedelic-based products through clinical development.”
Cybin is pulling from Big Pharma for its leadership team. Drysdale’s career spans three decades in the pharmaceutical industry including stints at DuPont, Actavis and Pernix Therapeutics. Chief Medical Officer Jukka Karjalanien hails from Eli Lilly.
Cybin joins other leading psychedelic platforms in bringing investment and IPOs. Last month, Compass Pathways earned a $1billion valuation after its IPO.
According to Tania Gonsalves, analyst for Canaccord Genuity Capital Markets, the market potential for psychedelics could be as high as $100 billion in the coming years. The companies that will emerge as the winners “will have deep pockets, patentable products and a well-thought-out reimbursement strategy.”