Clinical-stage Therapix Biosciences develops cannabinoid-based drugs for the treatment of neurological conditions, pain management, and infectious diseases
Toronto-headquartered FSD Pharma Inc., a licensed producer of marijuana, has announced on Monday its intention to acquire Therapix Biosciences Ltd., a clinical-stage Israeli developer of cannabinoid-based drugs. The two companies intend to execute a definitive agreement within 30 days.
Shareholders of Nasdaq-listed Therapix will receive $48 million worth of FSD Pharma stock, according to the announcement, nearly 10% of the company's current stock.
Therapix Biosciences, founded in 2004, develops drugs for the treatment of neurological conditions, pain management, and infectious diseases. Its therapies are based on a cannabis compound called Dronabinol, a synthetic THC that has already been approved by the U.S. Food and Drug Administration for the treatment of conditions such as chemotherapy-induced side-effects. The company is currently conducting phase 2a studies of a drug for the treatment of Tourette syndrome at Yale University Medical Center.
The transaction, which is subject to customary conditions, will focus on Therapix's intellectual property, and related technology and assets pertaining to all clinical stage applications.