- FN Media Group Presents Microsmallcap.com Market Commentary
NEW YORK, June 2, 2020 /PRNewswire/ -- Trials are already underway testing the use of psychedelics such as psilocybin, LSD, ketamine, ecstasy and other currently scheduled drugs to treat a mental health epidemic predicted to hit after the lockdown is over. New research in the USA is also pointing to antidepressants such as Prozac made by Eli Lilly and Company (NYSE:LLY) as a potential redirected treatment against the cause of the health crisis itself. Prescriptions for anxiety medication are already on the rise, while the potential for a major breakthrough in the form of medical psychedelics is coming from companies such as Mind Medicine Inc. (NEO:MMED) (OTCQB:MMEDF) (FRA:BGHM), Johnson & Johnson (NYSE:JNJ), Champignon Brands Inc. (CSE:SHRM) (OTCQB:SHRMF) and Numinus Wellness Inc. (TSX-V:NUMI) (OTC:LKYSD).
Restrictions over the medical use of psychedelics appear to have loosened, as the US FDA has helped speed up the process of approving them to treat major depressive disorders (MDD). Twice within a year, the FDA has designated psilocybin therapy as "breakthrough therapy", in an attempt to accelerate the process. Now psychedelic pharmaceutical companies such as Mind Medicine Inc. ('MindMed') (NEO:MMED) (OTCQB:MMEDF) (FRA:BGHM) are aiming to expand this type of breakthrough beyond just MDD, and potentially also help treat other serious issues, such as opioid withdrawal and adult ADHD through the controlled use of psychedelics.
For many struggling with the additional stress of the current lockdowns and other health concerns, it appears that the ongoing opioid crisis is being worsened, as the two health emergencies collide.
MindMed is entering Phase 2 clinical trials later this year, having already initiated dosing in an additional Phase 1 human safety study for its 18-MC platform developed to treat opioid use disorder patients with a synthetic derivative of ibogaine.
"We feel one of the outcomes of the current health crisis will be increased rates of opioid addiction and mental health issues," said MindMed Co-Founder and Co-CEO, JR Rahn. "The Mindmed team is focused on advancing 18-MC as a potential solution for the opioid crisis and other forms of addiction."
Treating Two Health Crises At Once
Experts are concurring with Rahn's projections, warning that the lockdown could lead to a surge of alcohol and drug addiction relapses. To make matters worse, centers that treat Americans with opioid addiction are being denied some extra emergency funds at this time, further worsening the epidemic.
The hallucinogenic drug ibogaine (extracted from the West Africa iboga shrub) has been studied in the past in the treatment of substance dependence. But concerns over its safety were addressed, in particular dealing with its cardiac toxicity risk, and long hallucinogenic experience.
Where 18-MC succeeds is where ibogaine fails. Mind Medicine Inc. ('MindMed') (MMED) (MMEDF) (BGHM) has developed a synthetic derivative that has been designed and is intended to be a highly effective addiction treatment, cardiac safe, non-hallucinogenic, and not a Schedule 1 substance.
In many ways, the lockdown is bringing out the worst in society's ability to cope, as prescriptions of anxiety medications rise, as does the risk of addiction relapses. However, authorities are currently sounding the alarm about increased "deaths of despair" while drug overdose deaths have seen a drop.
Thinking Outside the Box on Mental Health
Ahead of the outbreak, there was already some movement on treating serious mental health conditions through the use of medical psychedelics.
Last year, Johnson & Johnson (NYSE:JNJ) received approval from the FDA on its medically tweaked ketamine spray (or "Spravato"), which now sells under the brand name Ketanest, and is used for treatment-resistant depression.
Taking a similar route, Champignon Brands Inc. (CSE:SHRM) (OTCQB:SHRMF) is also working with ketamine to treat patients, via ketamine topicals. In April, the company announced its ketamine treatment would be dispensed by a major Canadian pharmacy chain, unnamed in the accompanying press release. Champignon's ketamine-based formulations will be used by the Clinics for the purposes of conducting chart reviews and associated patient studies under human ethics approval from Health Canada.
Timing is important, as JNJ's Ketanest just happened to enter the market amid a ketamine shortage last summer.
A similar shortage was witnessed at the same time for the drug fluoxetine, which Eli Lilly and Company (NYSE:LLY) is most notable for marketing under the name Prozac. Manufacturing problems led to physicians being warned of low stockpiles of the drug in 2019, but the situation was solved just in time for 2020. According to March data from research firm IQVIA, prescriptions for antidepressants, including Prozac rose 9.2% year over year for the same period.
But new psychedelic-based treatments could be on the way. In Canada, newly listed Numinus Wellness Inc. (TSXV:NUMI) (OTC:LKYSD) has a license through Health Canada to test, possess, buy and sell MDMA, psilocybin, psilocin, and DMT. The company hopes to scale its model of operating stand-alone centers for patients with its health solutions in future acquisitions.
While Mind Medicine Inc. (MMED) (MMEDF) (BGHM) isn't directly dealing with depression, its two flagship platforms are utilizing psychedelics to tackle two mental health issues that are exacerbated by social isolation, and are at higher risk during the lockdowns.
Both its 18-MC and Microdosing LSD platforms are moving into Phase 2 trials this year. The 18-MC platform deals with opioid withdrawals, while the Microdosing LSD platform addresses adult ADHD.
However, social isolation may be especially harmful for individuals with ADHD, as ADHD usually occurs with other mental health conditions, such as anxiety and depression. Opioid addiction is already referred to as a 'disease of isolation', made only worse by the current situation.
With the crisis continuing into its 4th month in North America, and several health issues being made worse by current conditions, many eyes will be looking to the FDA and whether more "breakthrough therapies" will be approved over the coming months.
To get more information on Mind Medicine Inc. ('MindMed') (NEO:MMED) (OTCQB:MMEDF) (FRA:BGHM), please visit click here
Disclaimer: Microsmallcap.com (MSC) is the source of the Article and content set forth above. MSC owns and operates Stockstreetnews.com. References to any issuer other than the profiled issuer are intended solely to identify industry participants and do not constitute an endorsement of any issuer and do not constitute a comparison to the profiled issuer. FN Media Group (FNM) is a third-party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated with MSC or any company mentioned herein. The commentary, views and opinions expressed in this release by MSC are solely those of MSC and are not shared by and do not reflect in any manner the views or opinions of FNM. Readers of this Article and content agree that they cannot and will not seek to hold liable MSC and FNM for any investment decisions by their readers or subscribers. MSC and FNM and their respective affiliated companies are a news dissemination and financial marketing solutions provider and are NOT registered broker-dealers/analysts/investment advisers, hold no investment licenses and may NOT sell, offer to sell or offer to buy any security.
The Article and content related to the profiled company represent the personal and subjective views of the Author (MSC), and are subject to change at any time without notice. The information provided in the Article and the content has been obtained from sources which the Author believes to be reliable. However, the Author (MSC) has not independently verified or otherwise investigated all such information. None of the Author, MSC, FNM, or any of their respective affiliates, guarantee the accuracy or completeness of any such information. This Article and content are not, and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action; readers are strongly urged to speak with their own investment advisor and review all of the profiled issuer's filings made with the Securities and Exchange Commission before making any investment decisions and should understand the risks associated with an investment in the profiled issuer's securities, including, but not limited to, the complete loss of your investment. FNM was not compensated by any public company mentioned herein to disseminate this press release but was compensated twenty five hundred dollars by MSC, a non-affiliated third party to distribute this release on behalf of Mind Medicine Inc.
FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and MSC and FNM undertake no obligation to update such statements.
FN Media Group, LLC