Both events important milestones to highly anticipated public
listing
TORONTO, Aug. 24, 2020 /CNW/ -- Field Trip
Psychedelics Inc. ("Field Trip" or the "Company"),
the company redefining mental health and well-being through its
ground-breaking work in psychedelics and psychedelic-enhanced
psychotherapy, today announced it has closed the first tranche of
its Series B financing (the "Financing"), raising gross
proceeds of $11.0M from a broad base
of investors. The Financing was completed through a brokered
private placement for which Canaccord Genuity Corp. and Stifel
Nicolaus Canada Inc. jointly acted as lead agents.
The proceeds from the Financing will be used to continue Field
Trip's rollout of its Field Trip Health centers across North America, which are providing
best-in-class psychedelic assisted psychotherapy, and to further
advance its pioneering work with its next generation psychedelic
molecule, FT-104, and its advanced research and development on
psilocybin producing mushrooms in partnership with the University
of West Indies.
The Company recently announced the opening of the New York location of its Field Trip Health
centers, following the opening of its Toronto location earlier this year, and will
shortly be announcing the opening of its Santa Monica location.
Ronan Levy, Executive Chairman of
Field Trip Psychedelics, said, "Our ability to secure this private
placement validates the strength of our business strategy, brand
and the incredible team of physicians, psychologist, therapists,
scientists and employees at Field Trip. It is also reflective of
the rapidly increasing interest in the investment community in the
science of psychedelics compounds and their incredible potential
across a number of applications. Securing these funds strengthens
our balance sheet and provides us with capital to execute against
these growth plans."
Sean Trigony, CEO and Founder of
Los Angeles-based Seven Hound
Ventures, which participated in the financing, said: "Field Trip's
management team has a strong track record of establishing and
growing medical clinics, and the science team behind Field Trip
Discovery is unparalleled. We are excited to see them applying this
experience to the emerging psychedelics industry, building both the
infrastructure needed to deliver treatments, as well as the next
generation of psychedelic molecules targeting 5HT2A receptors."
Amalgamation Agreement with Newton Energy Corporation
The Company also announced that it has entered into a definitive
agreement dated August 21, 2020 (the
"Amalgamation Agreement") with Newton Energy Corporation
("Newton") (TSXV: NTN.H) and Newton's wholly-owned
subsidiary, Newton Energy Subco Limited ("Newton Subco"),
pursuant to which the parties intend to complete a going-public
transaction for Field Trip (the "Transaction").
The going-public Transaction is structured as a three-cornered
amalgamation, which will result in Field Trip becoming a
wholly-owned subsidiary of Newton by amalgamating with Newton
Subco, and the security holders of Field Trip becoming security
holders of Newton. In connection with the completion of the
Transaction, it is intended that Newton will change its name to
"Field Trip Health Ltd." (the "Resulting Issuer"). The Amalgamation
Agreement will be made available on SEDAR at www.sedar.com.
Field Trip and Newton anticipate the closing of the Transaction
(the "Closing") will occur on or about September 29, 2020. The Transaction is subject to
the receipt of all necessary regulatory and shareholder approvals
as well as the satisfaction of conditions to the Closing as set out
in the Amalgamation Agreement.
"As pioneers in developing an entirely new industry in a
profoundly transformative therapeutic modality, access to capital
will be one of the key characteristics that distinguishes the
leaders in the psychedelics industry," added Levy. "Our team has
demonstrated great success in raising capital to date, and our
public listing will provide us with more diverse financing options
that will ensure our continued success and further lower our cost
of capital."
About Field Trip Psychedelics Inc.
Field Trip is the world's first mental wellness company at the
forefront of the scientific re-emergence of psychedelics and
psychedelic-enhanced therapies. With Field Trip Health centres
opening across North America and
advanced research on plant-based psychedelics through Field Trip
Discovery, we help people from those in treatment to those seeking
accelerated personal growth, with a simple, evidence-based way to
heal and heighten engagement with the world.
Learn more at https://fieldtriphealth.com
Forward Looking Statements
This news release contains projections and forward-looking
information that involve various risks and uncertainties regarding
future events and are not guarantees of future performance of the
Company. These risks and uncertainties could cause actual results
and the Company's plans and objectives to differ materially from
those expressed in the forward-looking information. These and all
subsequent written and oral forward- looking information are based
on estimates and opinions of management on the dates they are made
and expressed qualified in their entirety by this notice. The
Company assumes no obligation to update forward-looking information
should circumstance or management's estimates or opinions
change.
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SOURCE Field Trip Psychedelics Inc.