Starting this summer, we began reporting on the apparent troubles over at Mydecine. The company, once an underdog favorite with an interesting pipeline and clinical trial deals with Johns Hopkins, began a slow decline that caused many commentators to predict that the end was near.

The majority of the board resigned, cash reserves dwindled to dangerous levels, and there was a reverse stock split.

Yet in September, Mydecine said it’s cutting costs and narrowing its scope, focusing on its drug development programs (which do have potential) — and they signed a letter of intent for the sale of its digital technology subsidiary, Mindleap Health to PanGenomic Health for $4,000,000.

This week the sale was closed. PanGenomic acquired all of Mindleap’s outstanding shares for a purchase price of C$3,600,000 (payable by the issuance of units of PanGenomic at a price of C$0.20 per Unit).

From the press release:

The sale of Mindleap is a significant step towards refocusing the Company’s resources on its primary strategy of discovering and developing innovative pharmaceutical psychedelic substances to meet the unmet needs of millions of patients worldwide.

Let’s see how the remaining Mydecine team allocates these resources and if they can indeed set the ship straight.

Note: Last week, Mydecine announced the closing of a trance in a share subscription agreement (905,660 common shares at a price of $0.53 per share for aggregate gross proceeds of $479,999.80), adding more capital to their coffers. 

Mydecine Innovations Group Closes Sale of Its Wholly-Owned Subsidiary, Mindleap Health Inc.

DENVER, Dec. 12, 2022 (GLOBE NEWSWIRE) — Mydecine Innovations Group Inc. (“Mydecine” or the “Company”) (NEO:MYCO) (OTC:MYCOF) (FSE:0NFA) a biotechnology company engineering the next wave of innovative medications and treatment protocols to directly address addiction and mental health, is pleased to announce that, further to its news release dated September 1, 2022, it has closed the sale of all of the issued and outstanding shares of its wholly-owned subsidiary, Mindleap Health Inc. (“Mindleap”), to PanGenomic Health Inc. (“PanGenomic”), a company listed on the Canadian Stock Exchange (the “CSE”).

The sale of Mindleap is a significant step towards refocusing the Company’s resources on its primary strategy of discovering and developing innovative pharmaceutical psychedelic substances to meet the unmet needs of millions of patients worldwide.

“We are extremely proud of what we built with the Mindleap App”, said Josh Bartch, Chairman & CEO of Mydecine. “Mindleap fills a necessary void in mental health and gives users the tools they need to improve their overall health and wellbeing. The Mydecine team looks forward to watching the application flourish and grow and will provide support at every step of the way. We spoke with numerous parties when we made the decision to part ways with Mindleap, and ultimately we decided the team at PanGenomic shared the same vision and had the team and the expertise to take the application to the next level.”

“We are excited about the acquisition of Mindleap as it represents a strategic addition to our PanGenomic portfolio of subsidiary businesses”, said Maryam Marissen, President & CEO of PanGenomic. “We believe Mindleap’s technological know-how, mental health content library and marketing footprint will help us expand our reach to more users that align with PanGenomic’s Nara and PlantGx business strategies.”

Transaction Details

PanGenomic acquired all of Mindleap’s outstanding shares for a purchase price of C$3,600,000, payable by the issuance of units (each a “Unit”) of PanGenomic at a price of C$0.20 per Unit. Each Unit was comprised of one Class A Common Share of PanGenomic (a “Common Share”) and one share purchase warrant to purchase one additional Common Share (a “Unit Warrant Share”) at a price of C$0.30 per Unit Warrant Share until December 8, 2024.

In support of the Transaction, the Company and PanGenomic entered into a transition services agreement whereby PanGenomic engaged Mydecine to assist in the transition, transfer, and integration of Mindleap’s technologies into PanGenomic’s technology platform (the “Services”) for two months. In return for the Services, PanGenomic will pay to Mydecine a consulting fee of C$100,000, payable on January 8, 2023.

Upon completion of the Transaction, Mydecine holds approximately 19.4% of the issued and outstanding Common Shares.

About Mydecine Innovations Group Inc.

Mydecine Innovations Group™ (NEO: MYCO) (OTC: MYCOF) (FSE: 0NFA) is a biotechnology company developing the next generation of innovative medications and therapies to address addiction and mental health. The core strategy blends advanced technology with an elaborate infrastructure for drug discovery and development. Mydecine’s dedicated multinational team constantly develops new paths for breakthrough treatment solutions in areas with considerable unmet needs. By collaborating with some of the world’s leading specialists, the Company aspires to responsibly speed up the development of breakthrough medications to provide patients with safer and more effective treatment solutions. At the same time, Mydecine’s approach focuses on the next generation of psychedelic medicine by creating innovative compounds with unmatched therapeutic potential through its clinical trial efforts with world-class scientific and regulatory expertise. Founded in 2020, Mydecine is based out of Colorado, USA, with extended offices in Alberta, Canada, and Leiden, Netherlands.

Learn more at: https://www.mydecine.com/ and follow the company on Twitter, LinkedIn, YouTube, and Instagram.

About PanGenomic Health Inc.

PanGenomic is a precision health company that has developed a self-care digital platform to deliver personalized, evidence-based information about natural treatments. PanGenomic’s initial focus is to support mental health. Registered as a British Columbia benefit company, PanGenomic’s mission is to promote and improve the health and wellness of people and society by providing a technology platform that identifies plant-based solutions tailored to the health profile of each individual.