It’s official: psychedelics provider and mental wellness company, Field Trip Health, is now officially a publicly-traded company, joining the growing list of Psychedelic Stocks.
Following the company’s recently closed $11 million Series B funding round, Field Trip Health (CSE: FTRP) (OTC: FTRPF) — which currently operates psychedelics treatment clinics in the U.S. and Canada — went public via a ‘reverse take-over’ of Newton Energy Corporation. In its first few days of trading, the Toronto-based wellness company’s stock reached a high of $3.50 per share and last traded at $2.80.
Field Trip says it intends to use the Series B funds to support the company’s plans to launch new psychedelics mental health clinics across North America.
“We have three divisions, but the unifying theme in our business model is that we want to be the leader in the development and delivery of psychedelic molecules and psychedelic therapies. And so every piece of our operation really feeds into that,” explains the Founder and Executive Chairman of Field Trip, Ronan Levy.
“Our public listing will increase our visibility among investors as we continue our work to transform attitudes and approaches to mental, emotional and behavioural health through psychedelics. Transparency and open communication with our shareholders will remain a top priority going forward. I would encourage those investors who are interested in following our progress to explore the new website in more detail,” commented Field Trip CEO Joseph del Moral on the firm’s IPO.
Field Trip’s Expansion Plans
“Right now, our focus is trying to build the clinical hubs for psychedelic medicine across North America using ketamine-assisted psychotherapy,” says Levy. “The clinics based on just ketamine-assisted psychotherapy become cash-flow positive in their first year and generate significant margins. So they’re a great business by themselves, but they just have much more value to us beyond the revenue generation.”
Levy continued to explain the company’s ambitious plans to open at least 75 new clinics throughout North America within the next four years. In addition to providing mental health support and therapeutic treatments, the clinics will operate as hubs of data collection and trend analysis, informing the company’s future drug development efforts and priorities.
“It really is a novel space in terms of the development of these treatments, and so we really want to use our clinical hubs as a place to gather data and figure out exactly what therapeutic protocols and what aspects of the set and setting really drive the greatest effects on our patients,” explains Levy.
Video Source: Field Trip YouTube
Psychedelic Medicine Discovery is the Main Goal
Field Trip’s pharmaceutical division, Field Trip Discovery, recently announced the successful creation of FT-104, a new compound believed to contain psychedelic capabilities. Tests confirmed the compound interacts with the FHT2A receptor, targeted by psychedelics such as Psilocybin, LSD, and Mescaline.
“The end goal of research is to discover and potentially develop new therapeutic molecules,” says Levy.
Because the FT-104 is a novel molecule, it is patentable, which means it qualifies for intellectual property protection, unlike traditional psychedelics. Field Trip plans to wrap up preclinical development by the end of 2021 before advancing to Phase 1 clinical trials.
More to Discover About Magic Mushrooms?
In addition to studying FT-104, Field Trip is researching the potential therapeutic uses of psilocybin mushrooms, also known as Magic Mushrooms. Levy has explained what he calls the ‘entourage effect,’ a principle that outlines how a naturally-occurring compound’s therapeutic value is improved upon by the remaining molecules in the plant or mushroom.
In fact, the entourage effect has fueled much of the CBD market growth in recent years, as CBD oils have been sold as an isolated medicine, shining a light on the ‘whole plant’ and ‘full spectrum’ versions of the compound.
“Much like cannabis, there’s probably a lot more going on with a mushroom than just psilocybin,” explains Levy. “And so really, the direction of the research is to explore the potential of other molecules and the interplay of molecules within the mushrooms themselves.”
While much of the current psilocybin research being done centers around isolated psilocybin, Field Trip — among other research companies — are working on learning about the other potentially useful parts of the fungus varieties.
“There are roughly 200 known species of psilocybin-producing mushrooms, most of which have been not studied to any degree of depth,” explains Levy. “There’s a very good reason to believe that there are a number of interesting molecules that haven’t been studied.”
In addition to his hopes for new molecule discoveries, Levy is open about his hopes for a future legal psilocybin market: “The company is looking forward to the development of a legal, adult-use market for “magic mushrooms.”
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Disclosure: The Cannabis Investor does not hold a position in any of the stocks mentioned in this article.