- With its team in place and a recent financing under its belt, Mind Cure Health is preparing to launch its psychedelics R&D
- Initial research to focus on psilocybin, ketamine and ibogaine compounds
- Mind Cure has already tripled off from its original trading price of CAD$0.20
Psychedelic stocks are on a tear – again.
Compass Pathways (US:CMPS), MindMed Inc (CAN:MMED / US:MMEDF / GER:MMQ) and Cybin Corp (CAN:CYBN / US:CLXPF) have all exploded to new highs.
These are some of the emerging leaders among public companies as the psychedelic drug industry continues to build momentum.
While investors start locking in profits with some of these larger players, it begs a question. Where should investors be looking for the next winner among psychedelic stocks?
How about a company like this?
- Went public less than 3 months ago
- Has assembled a high-profile team of psychedelic drug experts
- Recently completed a financing
- Just laid out its plans for its psychedelic drug R&D
- Has a market cap of only CAD$35 million
Mind Cure Health (CAN:MCUR / US:MCURF).
Since going public, Mind Cure has added notable figures to its Advisory Board, including Hamilton Morris (“Hamilton’s Pharmacopiea”), Dr. Dan Engle (expert in psychiatry and neurology), and Dr. Jason Wallach (psychedelic drug pharmacology).
Leading the Company is new CEO, Kelsey Ramsden. The first female CEO of a public psychedelic drug company, Ramsden has twice been recognized as Canada’s Top Female Entrepreneur.
After its recent oversubscribed financing of CAD$3.6 million, Mind Cure currently sits with over $5 million in cash.
With the right personnel and fresh financing in place, investors have been waiting for one further piece of the puzzle. Where is Mind Cure planning on going with its psychedelic drug R&D?
The initial response to that question came on December 8, 2020.
Look past the headline for this news release and investors get their answer.
The company is focused on investigating Psilocybin, Ketamine and Ibogaine compounds to be used in the treatment of physical and psychological pain and related mental health illnesses
Psychedelics investors know that psilocybin is currently the hottest substance for psychedelics-based research.
It’s the psychedelic drug that Compass Pathways is researching in its Phase II clinical trial for treatment-resistant depression. Canada’s government has started to open up the medicinal use of psilocybin. The state of Oregon just legalized psilocybin for medicinal use.
Ketamine is already legal. It’s being used (off-label) to treat depression and also offers very interesting potential in pain management.
What about ibogaine? Hamilton Morris sheds some light.
“Ibogaine has tremendous potential. It has an incredibly complex pharmacology and that’s just what is currently known, there is still a great deal of research to be done with ibogaine and as well as related alkaloids and synthetic derivatives.”
Specifically, ibogaine is already gaining prominence for use in addiction therapy. With over 1 billion people grappling with substance abuse issues, addiction therapy may ultimately prove to be the largest treatment market for psychedelic drugs.
In addition to mental health applications for psychedelics, Mind Cure plans to aggressively explore opportunities for psychedelic drugs in pain management.
Dr. Ryan Hartwell, Mind Cure’s Chief Science Officer, Dr. Ryan Hartwell connects the dots for investors.
“Pain transcends all health conditions and, in many ways, contributes significantly to secondary complications, some of which continue throughout a person’s lifetime. Despite social stigmas, many classical psychedelics have safely demonstrated profound therapeutic effectiveness with alleviating all forms of pain associated with neurological trauma and chronic diseases.”
While research is actively underway for using psychedelics to treat opioid addiction, Mind Cure (and others) will be pioneering applications for psychedelic drugs to replace opioids in pain management.
Following its financing, Mind Cure traded as low as CAD$0.50. Since then, the stock has bounced back strongly, closing on December 7th at CAD$0.65 – up 30%.
But even with that bounce, the company still has a compact market cap of CAD $35 million.
Industry leaders are taking off in the psychedelic drug space. That’s today’s headlines.
For investors looking past the headlines (as they seek the next psychedelics winner), Mind Cure Health is looking like a prime contender.
DISCLOSURE: The writer holds shares in MindMed Inc, Cybin Corp and Mind Cure Health. Mind Cure Health is a client of Psychedelic Stock Watch.