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The Acquisition of Small Pharma by Cybin Will Enhance DMT Therapies for Depression and Anxiety

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Cybin, a biotech company specializing in psychedelics, has reached a definitive agreement to acquire Small Pharma, a UK-based pharmaceutical company focused on DMT therapies for depression and anxiety. The acquisition has received unanimous approval from the boards of both companies and is subject to Cybin’s shareholders’ approval at a meeting scheduled for October 12.

Under the terms of the agreement, Small Pharma shareholders will receive 0.2409 common shares of Cybin for each share they hold. Following the acquisition, Cybin’s existing shareholders and Small Pharma security holders will own approximately 74.5% and 25.5% of the combined company, respectively.

The combined company will be led by Cybin’s CEO, Doug Drysdale, with Small Pharma’s CEO, George Tziras, joining the board of directors. Small Pharma’s shares will be delisted from the TSX Venture Exchange and OTCQB, and the company will no longer be a reporting issuer in Canada. The combined company will continue to trade on the NYSE and Cboe Canada under the ticker symbol β€œCYBN.”

Cybin’s acquisition of Small Pharma brings together their extensive portfolios and research programs, creating a market-leading company in psychedelic therapeutics. The combined company will have the largest dataset of systematic research on DMT and deuterated DMT, providing multiple opportunities for operational and cost synergies. With a strong IP portfolio and promising clinical programs, including Phase 2 data for IV DMT in MDD patients, the combined company is well-positioned to develop innovative and effective treatments for depression and anxiety.

The acquisition follows Cybin’s launch of an ATM equity program and Small Pharma’s implementation of a cost-cutting strategy, further strengthening the combined company’s financial position and ability to pursue future funding opportunities. The potential value-catalysts of their combined portfolios will support these activities without incurring additional debt.

By joining forces, Cybin and Small Pharma aim to revolutionize DMT therapies for depression and anxiety, providing patients with more convenient and patient-friendly dosing methods and ultimately improving their quality of life.

Source: Benzinga.com

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