Tryp Therapeutics Closes Oversubscribed Deal & Set to Go Public

Pioneering psychedelic pharmaceutical company Tryp Therapeutics recently announced a successful completion of their Initial Public Offering (IPO). Tryp Therapeutics closed their previously announced IPO with Canaccord Genuity Group, selling 20,010,000 units at $0.25 per unit (resulting in aggregate gross proceeds of $5,002,500). Starting Friday, Dec. 18th, Tryp Therapeutics will begin trading under the ticker $TRYP (CSE: TRYP). This marks another milestone not just for the team at Tryp, but for the psychedelic renaissance upon us.

Not only did Tryp Therapeutics close the deal successfully, but they did so with a fully exercised over-allotment option. Indeed, the company’s financial agreement started with Canaccord buying 17,400,000 units of Tryp Therapeutics, then purchasing the additional 2,610,000 Units detailed in the agreement’s over-allotment option. Again, at $0.25 per unit, this brings them to a total of 20,010,000 units sold. This illustrates incredible investor interest into Tryp and the emerging psychedelic therapeutics space. 

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The expected investment capital will help the company work towards the treatment of rare diseases with high unmet medical needs. This includes, but is not limited to, the treatment of neuropsychiatric disorders and chronic pain syndromes like fibromyalgia, which especially impacts women at increasingly alarming rates. Not only are we currently amidst a serious mental health crisis, effective treatments for chronic conditions fall surprisingly short. There is a significant need for companies like Tryp to enter the healthcare space, now more than ever before. 

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This news also illustrates the general pace of the psychedelic community – things are picking up quite quickly, and Canaccord seems to be heavily involved. Readers will recall that Canaccord not only entered agreements with Tryp Therapeutics, but also MindMed and Numinus.

Moreover, psychedelic enthusiasts can expect to learn more and more about Tryp as their story continues to evolve. The company is uniquely positioned to work within pharmaceutical, drug approval, and medical spaces. Investor interest in psychedelic stocks is at an all time high and Tryp’s debut to the public sector is sure to leave it’s mark.

Microdose had the pleasure of connecting with Fraser Macdougall, TRYP’s VP of Communications, to explore their exciting progress further. Fraser’s answers are in bold below!

1.       Now that Tryp has gone public, what are the big goals next on your horizon?

Well, this is really just the beginning. Now the hard work kicks in–launching the process to test our drug candidates in patients. We have a portfolio of de-risked assets addressing significant unmet medical needs moving through the FDA process and into clinical trials. An integral part of our strategy is to partner with the world’s leading key opinion (medical) leaders (KOL’s) in each of the diseases that we are targeting to expertly guide us on a path towards clinical success. We look forward to building upon our successful IPO and creating significant shareholder value as we progress or programs.

2.       What makes Tryp unique from other players in the space, such as CYBN, MMED, CBYN and ATAI?

Tryp definitely stands out in a few key areas. Our drug development pipeline is unique in that we are focused on diseases with a high unmet clinical need. No other companies currently have effective drugs to address this unmet medical need. We also have a profoundly different business model. We are de-risking our drug pipeline by using the 505(b)2 regulatory process. Doing so should enable us to commence Phase 2 clinical trials on an accelerated basis. Finally, we look to partner or license our drug candidates with large pharma prior to Phase 3. This strategy substantially lowers the drug development budget as well as mitigates the risk of failure. We further realize revenue sooner.

3.       I think it’s so unique that the Tryp team is using psychedelic medicine to treat conditions such as fibromyalgia. Does your science team believe there are physiological benefits, such as anti-inflammatory effects, that psychedelic medicine can provide? What is the hypothesized mechanism of action here that might allow something like psilocybin to be beneficial for a condition like Fibro?

The answer is we don’t completely know whether we are going to see additional physiological effects yet and whether if we do, those are consequential with respect to  the desired clinical outcome. We do know from our PFN program that psychedelics like psilocybin bind to the 5-HT2A and 5-HT2C receptors (among other receptor subtypes) in the central nervous system. These receptors are known to be present in other parts of the body like the gastrointestinal tract. These receptors bind serotonin, which is a fairly ubiquitous neurotransmitter in the human body. So we could see some activity in parts of the body where these receptors are distributed. The putative mechanism of action of TRP-8802 in fibromyalgia from a purely pharmacologic perspective is fairly straightforward. Psilocybin is converted by the liver to the active moiety, psilocybin, which binds with serotonin receptors in the brain in order to produce a range of consciousness-altering effects. TRP-8802 is thought to modulate fibromyalgia pain by binding to the serotonin receptors in the descending pain inhibitory pathway providing acute pain relief. Given the scientific interest in psilocybin’s ability to impact neuroplasticity our program looks to integrate this attribute of TRP-8802 into a treatment paradigm that will yield longer lasting pain relief in patients with fibromyalgia.

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