Benzinga | May 24, 2021 12:06PM EDT

MindMed Collaborates with Nextage Therapeutics for Brain Targeting Liposome System

* MindMed (NASDAQ: MNMD) and Israel-listed Nextage Therapeutics have entered into an exclusive collaborative development program to optimize the delivery of certain psychedelic drug candidates.

* The agreement utilizes Nextage's Brain Targeting Liposome System (BTLS) delivery technology.

* Initially, the collaboration will focus on optimizing the delivery of drug products based on noribogaine, and ultimately other ibogaine derivatives.

* Both the companies will share development costs and intellectual property arising from the collaboration.

* The BTLS technology is an innovative drug delivery system designed to allow the targeted delivery of active pharmaceutical ingredients (APIs) through the Blood-Brain Barrier.

* BTLS is designed to reduce exposure to the active material outside of the brain, reducing potential risks, intended to substantially lower API concentrations and increasing efficacy.

* Based on initial Proof of Concept work, MindMed and Nextage will work towards a final collaborative development agreement and determine if such potential formulations of drug candidates should be further progressed into clinical trials.

* Price Action: MNMD shares are down 3.96% at 3.29 during the market session on the last check Monday.