In this article, we discuss the 5 psychedelic startups investors are flocking to. If you want to read our detailed analysis of these startups, go directly to the 10 Psychedelic Startups Investors are Flocking To.
5. Psygen Labs
Psygen Labs is ranked fifth on our list of 10 psychedelic startups investors are flocking to. The company makes and sells pharmaceutical-grade psychedelic drugs, mostly for clinical research and therapies. It is based in Canada. Late last year, Psygen Labs signed an agreement with biotech firm Entheon Biomedical Corp to supply drug substances to the latter. The startup is often marketed as one of the leading suppliers of psychedelic drugs for the emerging companies working in the sector.
In the pharma-sector, one of the top stocks is Novartis AG (NYSE: NVS), the Swiss firm that has invested heavily in drugs for mental health disorders over the past few years. Novartis AG (NYSE: NVS) is one of the big names that could jump into the psychedelic business as well, given the potential psychedelics offer in the treatment of mental health conditions.
At the end of the first quarter of 2021, 19 hedge funds in the database of Insider Monkey held stakes worth $1.7 billion in Novartis AG (NYSE: NVS), down from 23 in the preceding quarter worth $1.6 billion.
4. Delic
Delic is ranked fourth on our list of 10 psychedelic startups investors are flocking to. It is a company that aims to make psychedelics more mainstream by making content about them accessible to the public and through education programs focused to this end. The firm has raised more than $2 million in funding so far over two rounds. The latest round was held in October 2020. The company announced in February this year that it had acquired Ketamine Infusion Center, a patient care firm.
In the psychedelic market, one of the biggest names is COMPASS Pathways plc (NASDAQ: CMPS), a mental health care company that markets psychedelic drugs for the treatment of disorders like resistant depression. COMPASS Pathways plc (NASDAQ: CMPS) recently announced a collaboration with King’s College London for psychedelic research.
Out of the hedge funds being tracked by Insider Monkey, New York-based investment firm Perceptive Advisors is a leading shareholder in COMPASS Pathways plc (NASDAQ: CMPS) with 797,404 shares worth more than $29 million.
3. Journey Colab
Journey Colab is a firm developing psychedelic therapies to treat mental health disorders and thus help strengthen the overall community. It is placed third on our list of 10 psychedelic startups investors are flocking to. The company is different from other psychedelic startups as it aims to work within government-approved regulations with regards to novel therapies. In October 2020, the company managed to raise $3 million from Apollo Projects to work on psychedelic products with input from community stakeholders.
Investors looking for a foray into the biopharma industry should also keep their eyes on Abbott Laboratories (NYSE: ABT), the Illinois-based multinational healthcare company that sells drugs for treating mental health conditions like depression. Abbott Laboratories (NYSE: ABT) has a market cap of over $210 billion.
At the end of the first quarter of 2021, 65 hedge funds in the database of Insider Monkey held stakes worth $5.1 billion in Abbott Laboratories (NYSE: ABT), up from 64 in the preceding quarter worth $4.3 billion.
2. Eleusis
Eleusis is a London-based biotechnology company working on psychedelic therapies. It is placed second on our list of 10 psychedelic startups investors are flocking to. The company has so far raised more than $5.7 million in funding over four rounds. The latest round was held in October 2020. One of the investors in the firm in the Palo Santo Fund. The company also has offices in New York. It mainly focuses on the development of restricted, small molecule drugs in the psychedelic field.
In the bio industry, there is no name bigger than Bristol-Myers Squibb Company (NYSE: BMY), the biopharma firm headquartered in New York. Bristol-Myers Squibb Company (NYSE: BMY) sells various drugs for mental health conditions and could stand to benefit from the strides being made in the field from psychedelic research.
At the end of the first quarter of 2021, 72 hedge funds in the database of Insider Monkey held stakes worth $5.9 billion in Bristol-Myers Squibb Company (NYSE: BMY), down from 83 in the preceding quarter worth $6.9 billion.
1. Beckley Psytech
Beckley Psytech is ranked first on our list of 10 psychedelic startups investors are flocking to. The firm develops psychedelic medicines and is based in the United Kingdom. The startup has so far managed to raise more than $33 million in four funding rounds. The latest round was held in May this year. Some of the investors in the company include Bicycle Day Ventures, Noetic Fund, and Bail Capital, among others. The company is one of the oldest psychedelic startups. It was founded in 1998.
The success of psychedelic startups in the past few years has turned many heads in the pharma industry, with industry giants like AbbVie Inc. (NYSE: ABBV), the American biopharma firm, investing in the sector. Last year, AbbVie Inc. (NYSE: ABBV) purchased the rights to a novel psychedelic-based treatment for major depressive disorder.
At the end of the first quarter of 2021, 65 hedge funds in the database of Insider Monkey held stakes worth $5.1 billion in AbbVie Inc. (NYSE: ABBV), up from 64 in the preceding quarter worth $4.3 billion.
You can also take a peek at 10 Companies that Benefit From Crypto Mining and 10 Best Nickel Stocks to Buy Now.
