TORONTO - FSD Pharma Inc. (NASDAQ:HUGE)(CSE:HUGE), a biopharmaceutical company, has entered into an exclusive option agreement with the University of Southern California (USC) to assess a novel dietary supplement technology for potential commercialization.
Announced on Thursday, the agreement, signed on June 11, 2024, grants FSD Pharma a six-month period to evaluate the technology, with the possibility of extending it for another six months or securing an exclusive license with USC.
The technology in question is being considered for its ability to enhance the effectiveness of ingredients in unbuzzd™, a product designed to accelerate alcohol metabolism and improve mental alertness. unbuzzd™ is set to be launched this summer by Celly Nutrition, a company associated with FSD Pharma and led by beverage industry veterans Gerry David and John Duffy.
Dr. Erin Overstreet, executive director at the USC Stevens Center for Innovation, expressed enthusiasm for the partnership, highlighting USC's dedication to transforming scientific research into societal benefits. FSD Pharma's CEO, Zeeshan Saeed, also conveyed excitement about the potential impact of the technology on unbuzzd™ and the development of new products.
FSD Pharma, through its subsidiary Lucid (NASDAQ:LCID) Psycheceuticals Inc., is involved in developing treatments for neurodegenerative and metabolic disorders and alcohol misuse disorders. The company retains a 25.71% ownership in Celly Nutrition as of March 31, 2024, and is entitled to royalty payments from unbuzzd™ sales.
The USC Stevens Center for Innovation is USC's technology transfer office, managing intellectual property from the university's research and fostering collaborative commercialization of technologies.
The information provided is based on a press release statement from FSD Pharma Inc.
In other recent news, FSD Pharma Inc. has received approval to initiate its METAL-2 trial in the U.S., a study exploring treatments for acute alcohol intoxication. Concurrently, the company confirmed arbitration awards against its former CEO, Dr. Raza Bokhari, following a dispute over his termination.
In addition, FSD Pharma has begun a clinical trial for its dietary supplement, unbuzzd™, designed to counteract alcohol intoxication. The company's subsidiary, Celly Nutrition Corp., has also partnered with branding agency Six+One to enhance the market presence of unbuzzd™.
FSD Pharma is expanding its research into treatments targeting metabolic and related disorders, investigating compounds that may improve liver function, reduce metabolic diseases, and decrease visceral fat.
These are recent developments in the company's ongoing efforts in the biopharmaceutical sector, with a focus on innovative treatments for neurodegenerative and metabolic disorders, as well as alcohol misuse disorders.
InvestingPro Insights
As FSD Pharma Inc. (NASDAQ:HUGE) explores the commercial potential of a novel dietary supplement technology, investors and stakeholders are closely watching the company's financial health and market performance. According to real-time data from InvestingPro, FSD Pharma currently holds a market capitalization of $10.27 million USD, reflecting the market's valuation of the company.
However, the company's recent market performance paints a challenging picture. The one-month price total return as of this year stands at a significant decrease of -37.21%, and the stock's price is currently at 14.22% of its 52-week high. This steep decline is echoed in the six-month price total return, which shows a -76.12% drop, indicating that the stock has faced substantial headwinds in the market.
Interestingly, despite these market challenges, FSD Pharma's balance sheet reveals that the company holds more cash than debt, which is a positive sign for its financial stability. This is complemented by the expectation that net income is projected to grow this year, providing a potential upside for investors considering the company's future profitability.
For investors seeking a deeper analysis, InvestingPro offers additional insights into FSD Pharma's financials and performance metrics. Subscribers can access a comprehensive list of InvestingPro Tips that delve into the company's gross profit margins, stock performance over various time frames, and liquidity position. With the use of coupon code PRONEWS24, new subscribers can enjoy an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking valuable information that could inform investment decisions.
To explore these insights and more, investors can visit https://www.investing.com/pro/HUGE, where a total of 13 InvestingPro Tips are available, offering a granular look at FSD Pharma's financial health and market prospects.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.