- Revive Therapeutics (RVV) has signed a letter of intent to acquire Psilocin Pharma, a developer of psilocybin-based medical formulations
- Revive will issue the vendors of Psilocin Pharma 55 million common shares at C$0.05 each, for a value of C$2.75 million
- Psilocin Pharma currently has a range of six naturally and synthetically derived psilocybin formulations
- Shares in Revive Therapeutics are currently up 8.33 per cent to 6.5 cents, with a market cap of C$3.95 million
Revive Therapeutics (RVV), has signed a letter of intent to acquire Psilocin Pharma, a developer of psilocybin-based formulations for medicinal applications.
Under the terms of the agreement Revive Therapeutics will acquire all outstanding securities in Psilocin Pharm via the issuance of 55 million common shares at a price of C$0.05 each, valuing the deal at C$2.75 million.
Upon the execution of the agreement, Revive Therapeutics has agreed to transfer 10 million common shares, worth C$500,000, into escrow as a deposit for the deal. Should the acquisition fall through, the shares will be returned to Revive for cancellation.
“Psilocin Pharma has the platform, relationships, and know-how to develop psylocibin-based products that are key to this emerging psychedelics industry,” said Revive Therapeutics CEO, Michael Frank.
“We feel this acquisition will complement Revive and be a strong addition to our current clinical initiatives in liver disease and inflammation.”
Closing of the acquisition is currently subject to the completion of Revive’s due diligence and the execution of a finalised share exchange agreement between the two companies.
Psilocin Pharma holds strong working relationships with a variety of labs in regions such as Brazil, which have legal approval to manufacture and sell psilocybin formulations.
The company has already developed six naturally and synthetically derived psilocybin products which are engineered to work harmoniously with the body’s natural absorption pathways while offering a convenient approach to consumption.
Shares in Revive Therapeutics are currently up 8.33 per cent to 6.5 cents, with a market cap of C$3.95 million.