Psychedelics Player Goes Public via SPAC

Founded in 2013, Eleusis is dedicated to transforming psychedelics into medicines. As part of its nearly a decade long journey, the firm is being brought public via a Special Purpose Acquisition Company (SPAC) known as Silver Spike Acquisition Corp. II.

Eleusis Company Profile

Eleusis’ common stock is listed on NASDAQ under the symbol “ELEU.”

ELE-Psilo, Eleusis’s lead drug candidate, is being developed to treat depression and is expected to enter Phase I trials in 2022, subject to regulatory authorization. ELE-Psilo, if FDA-approved, to be compatible with existing U.S. healthcare infrastructure and insurance coverage and reimbursement requirements.

Along with Eleusis, the company has a subsidiary called Andala that plans to solve the practical, “last mile” challenges of interventional psychiatric therapy. 

Scott Gordon, CEO and Chairman of SPKB, and CEO and Founder of Silver Spike, added, “At Silver Spike, we believe that realizing the vast therapeutic potential of psychedelics will require companies like Eleusis to develop practical solutions to accelerate mainstream adoption and spur innovation that leads to approved psychedelic therapies that are both accessible and affordable…”

Shlomi Raz, Eleusis CEO, will continue to serve as CEO of the combined company.

The Changing View of Psychedelics

The research and going public of Eleusis that makes ELE-Psilo possible exists because of the improvement of the public view of psychedelics. Despite the US and much of the world continue to adhere to the 1971 convention on psychedelic substances, the rules on medical and recreational psychedelic use are loosening on a local level. Various cities in Colorado and California have decriminalized the use and possession of psychedelics.

Biomanufacturing the Future of Psychedelics

Eleusis formulated ELE-Psilo to deliver psilocin, the active ingredient in psilocybin, via IV infusion. As part of its going public, the Silver Spike Acquisition Corp II provided $287.5 million to Eleusis for its drug development plans.

ELE-Psilo’s treatment of depression with IV administration takes 10 to 30 minutes and will only require two hours or less of monitoring in the clinic. This when compared to the nearly 8 hours of treatment needed for oral psilocybin along with considerable variability in patients’ absorption and metabolism makes the IV approach much better for medical use. This treatment has the potential to offer more consistent therapeutic effects to patients and more controllable therapies to clinicians. 

The irony of acceptance is that it makes this medicine possible but also raises logistical concerns of being able to produce a sufficient amount of psilocybin. Psilocybin from naturally growing or cultivated mushrooms, the psilocybin yield obtained (0.1–0.2% of dry weight) is not economically viable for drug research and development. As such, there is a chemical and a biotechnical way to produce the active compound.

The biosynthetic pathway for the production of psilocybin in P. Cubensis, bioengineering has led to the production of psilocybin in the filamentous fungi Aspergillus nidulans, with yields of up to 1.16 g/L.  This method has led to an investigation in the production of psilocybin and psilocin using S. cerevisiae.

The improved biomanufacturing surrounding the production of ELE-Psilo will help keep the price of the treatment affordable for patients and create innovations in the field of producing psychedelic compounds. Having the ability to produce medication in a relatively uncontested market at a large scale bodes very well for the future of Eleusis.

Author

Eduardo Longoria

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