Incannex shares jump as cannabis/psychedelic pharma company explores dual listing on NYSE or NASDAQ
Health & Biotech
Health & Biotech
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Incannex Healthcare (ASX:IHL) has announced it will explore a dual listing in the United States, a pioneering step that would give the pharmaceutical development company access to the world’s largest pool of capital as it works to develop cannabis and psychedelic-based therapies.
Incannex shares were up 10.3 per cent on Thursday to a nearly seven-year high of 21.5c after the Melbourne-based company said it had signed EAS Advisors on as consultants to introduce it to US banks and institutions. The aim is to obtain a dual listing on the New York Stock Exchange or the NASDAQ, while also retaining an ASX listing.
EAS is a New York-based corporate advisory firm founded by Edward “Eddie” A. Sugar, a University of Wollongong graduate who has worked as a managing director for Marc Rich & Co in Sydney and as an advisor to Premier Investments chairman Solomon Lew.
EAS will also make introductions to equity research providers to secure analyst coverage and assist with financial modelling and presentation preparations, Incannex said.
The timing seems right, as both the the cannabis and psychedelic sectors certainly seem in vogue at the moment, following efforts at regulatory reform and increasing acceptance around the globe.
Indeed, IHL’s move comes just a day after MGC Pharmaceuticals (ASX:MXC) became the first medical cannabis company listed on the London Stock Exchange, following a $11.6 million capital raising. MGC’s LSE shares soared 60 per cent in their first day of trading.
Incannex managing director Dr Joel Latham said the decision to work with EAS came after several months of getting to know one another.
“We have made this decision because of deep investor interest and corporate activity in both cannabinoid-based pharmaceuticals and psychedelic therapeutic endeavours in North America.
“We’re delighted to be working with the team at EAS, which has an excellent track record of growing international awareness for ASX companies.”
Incannex is developing a hydroxychloroquine/cannabinoid combination drug known as IHL-675A to potentially treat sepsis-associated acute respiratory distress syndrome, COPD (chronic obstructive pulmonary disease) and asthma.
Incannex also recently announced it is partnering with Monash University for a rigorous scientific study into the safety and efficacy of psilocybin-assisted psychotherapy in the treatment of anxiety.
The trial will involve at least 72 patients, making it the largest psychedelic research and development project in Australia, and one that is expected to have a substantial impact on the field globally.
Incannex is also developing cannabinoid-based products for obstructive sleep apnoea, traumatic brain injury and concussion and temporomandibular joint disorder.
This article was developed in collaboration with Incannex Healthcare, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.