Cybin to Acquire Small Pharma Inc. in All-Share Transaction

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Cybin Inc., a biopharmaceutical company focused on psychedelic-based treatment options for mental health, is set to acquire Small Pharma Inc., a UK-based biotechnology firm specializing in short-duration psychedelic therapies. The acquisition, valued at approximately $2 billion, will be carried out through an all-share transaction.

Under the terms of the agreement, shareholders of Small Pharma will receive 0.2409 common shares of Cybin for each common share of Small Pharma. This translates to approximately $0.10 per Small Pharma share, reflecting a 43.64% premium based on recent average prices. After the completion of the deal, Cybin shareholders and Small Pharma securityholders will own about 74.5% and 25.5% of Cybin, respectively.

The move is expected to create a dominant force in the field of psychedelic therapeutics. Small Pharma, which focuses on short-duration psychedelic therapies for mental health conditions, has made significant strides in the development of treatments like N,N-dimethyltryptamine (DMT) for Major Depressive Disorder. The acquisition will leverage the strengths of both companies, creating an international leader in novel psychedelic-based therapeutics.

Cybin and Small Pharma possess a comprehensive IP portfolio and combined dataset that cover a variety of clinical programs, including Phase 2 safety and efficacy data for DMT in treating MDD. The transaction is set to strengthen their position in the field and contribute to the evolution of mental health treatment options.

The transaction has been unanimously approved by the boards of both companies and is expected to close in early 2024, pending shareholder approval and other customary closing conditions. This acquisition reflects the growing interest and investment in the field of psychedelic-based treatments for mental health conditions.

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