Psylo Announces First Close on $8 Million Series Seed Financing to Advance Next-Generation Neuroplastogens at BIO Conference in San Diego

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Jun 03, 2024, 08:00 ET

Innovative biotech company pioneers PSYLO-100X, a non-hallucinogenic neuroplastogen with promising therapeutic potential

SAN DIEGO, June 3, 2024 /PRNewswire/ -- Psylo, a leading biotechnology company focused on the development of next-generation neuroplastogens, today announced at the BIO Conference in San Diego the successful first close toward an $8 million USD Series Seed financing. This funding will accelerate the advancement of PSYLO-100X, the company's flagship non-hallucinogenic 5-HT2A agonist, poised to revolutionize the treatment of depression and other mental health disorders.

PSYLO-100X distinguishes itself from first-generation psychedelics by eliciting neuronal remodeling without causing hallucinatory effects. This breakthrough compound demonstrates antidepressant-like effects in vivo and promotes neuroplasticity in vitro, while notably avoiding activation at the 5-HT2B receptor—a critical safety feature due to the cardiotoxicity risk associated with activation of this receptor.

"We are thrilled to announce this funding milestone at the BIO Conference," said Joshua Ismin, CEO of Psylo. "This capital raise underscores strong confidence in Psylo's unique translational approach and the therapeutic potential of our pipeline. Our platform has yielded a non-hallucinogenic candidate designed to be safely administered at home without clinical supervision, and serves to advance our mission to address the mental health crisis for a broader patient population."

The Series Seed financing was led by Tenmile, a leading Health investor, with participation from Palo Santo, Focalpoint Ventures (formerly Empath Ventures), Mystic Ventures, and Gaingels. Dr. Steve Burnell, Managing Director of Tenmile, expressed enthusiasm for the investment: "We have been incredibly impressed with Psylo's progress and the innovative approach they are taking to address mental health disorders. We are pleased to be investing in Psylo and are confident in their ability to advance PSYLO-100X, which we believe has the potential to make a significant impact in the neuro space."

Key Highlights of PSYLO-100X:

Non-hallucinogenic: Unlike traditional psychedelics, PSYLO-100X has been designed to remove hallucinatory effects, making it a safer and more accessible treatment option.
Partially selective 5-HT2A agonist: PSYLO-100X selectively targets the 5-HT2A receptor without activating the 5-HT2B receptor, reducing the risk of cardiotoxicity.
Promotes neuroplasticity: Increases the complexity of neurons in cell culture, suggesting potential for long-term therapeutic benefits.
Antidepressant effects: Demonstrative pro-cognitive effects in vivo, offering a promising new treatment for depression, anxiety, and other ruminative disorders.

"After three years of rigorous drug-discovery, we're hugely encouraged by our progress," noted Dr. Samuel Banister, Chief Scientific Officer at Psylo. "PSYLO-100X is a non-tryptamine, non-phenethylamine compound with a hugely promising preclinical profile. We believe this novel approach marks a significant leap forward in developing safer, more effective treatments."

Psylo plans to utilize the Series Seed funds to continue to invest in their drug discovery platform, and advance PSYLO-100X through IND enabling studies, with the goal of initiating first in human clinical trials in 2025.

Founded in Australia, Psylo recently restructured to become a US Delaware C-corp in-line with the fundraise, and has established labs at the University of Colorado Boulder and the University of New South Wales in Sydney. For more information about Psylo and its groundbreaking work in neuroplastogens, visit www.psylo.bio

About Psylo

Psylo is a biotechnology company dedicated to developing next-generation neuroplastogens to treat mental health disorders. By leveraging cutting-edge science and innovative therapeutic approaches, Psylo aims to transform the mental health landscape and improve the lives of millions worldwide.

SOURCE Psylo