There’s no better due diligence in the psychoactive drug space than Health Canada. Loads of pharma companies have investor decks that promise they’ll one day be in the psychedelics business, the MDMA business, even mescaline, but getting licensed to be involved in those spaces is not an easy thing.
Lophos Pharmaceuticals Corp (MESC.C) recently received a major boost from Health Canada in the form of an expanded license for their operations involving controlled substances at their Napanee, Ontario facility.
In simpler terms, the license expansion means they can now handle, store, sell, and transport a wider range of powerful substances, including MDMA (commonly known as ecstasy), ketamine, LSD, DMT, mescaline, psilocin, and psilocybin. These substances are often used in both medical research and treatment, particularly in mental health.
The Lophos facility, which is privately owned and spans 10,000 square feet, is equipped with state-of-the-art technology and strong security to safely handle these substances. The company was already approved for producing and handling psilocin, psilocybin, and mescaline, but this new license expands their capabilities.
This expansion not only boosts Lophos Pharmaceuticals’ ability to conduct tests and research but also sets them up to offer their services and expertise to other companies and researchers in the pharmaceutical field, which could lead to significant growth.
Currently, Lophos Pharmaceuticals is waiting for city approval to occupy their facility and plans to start operations as soon as they get that green light, including the establishment of a peyote cultivation facility, following all the necessary regulations.
With safe supply of drugs becoming a bigger deal among governments across Canada, and peyote being legal for many in the country, Lophos is positioned right in the sweet spot to fulfill the promise of psychedelics – with a tight balance sheet, low expenses, a tiny market cap, and the blessing of the federal government’s regulators.
— Chris Parry
FULL DISCLOSURE: Lophos is not a client of Equity.Guru, but we believe in supporting little companies doing good work, runn by good people.
