Adam Jackson
Canadian biopharmaceutical company Albert Labs International Corp. secured a C$830,000 ($621,600) injection from psychedelic pharmaceutical investment firm Cantheon Capital LLC.
The investment will support Albert Labs’ forthcoming clinical trials of KRN-101, its primary drug candidate, which is a psilocybin-based natural pharmaceutical product.
The company said that the trials are scheduled to commence in the second quarter this year and will be carried out by industry-leading clinical research partner iNGENu CRO in Australia.
The study is expected to cost a total of CA$2.7 million and will run for three months.
“We feel (the investment) serves as a real statement of confidence in our growth as a company and the upside potential of our product that will help improve the lives of millions of patients globally,” Albert Labs CEO Michael Raymont said in a statement. “We look forward to building upon the significant progress to date with some key clinical milestones in the year ahead.”
Under the accord, the investment from Cantheon will be combined with a cash contribution from Albert Labs of approximately C$670,000 and a 43.5% cash reimbursement from the Australian government on eligible costs, summing up to around C$1.2 million.
“Upon completion KRN-101 will be validated as a safe pharmaceutical product,” the company said in a Tuesday statement.
The study is expected to enable submissions for late-stage real-world evidence trials in the U.K. and U.S., pursuing special access programs and accelerated licensing.
Cantheon generally invests in pharmaceutical companies that are close to making significant breakthroughs, providing the funds needed to reach important drug development goals.
“We are pleased to partner with Albert Labs and excited by what we see as a huge growth proposition for 2023,” said Aaron Ray, a general partner at Cantheon. “Reaching this milestone is reflective of the incredible amount of work that has gone into delivering KRN-101.”
Albert Labs said it holds “extensive” intellectual property protection, and the investment is seen as a reflection of the company’s potential for growth and its regulatory strategy focused on speed to market.
