Enveric Biosciences announced that it has signed a non-binding term sheet to out-license a class of Novel Psilocin Prodrugs to Vancouver, BC-based MindBio Therapeutics, which is pioneering novel treatments for mental health conditions using microdoses of psychedelic medicines. Enveric's NPP molecules are designed to be metabolized specifically to release therapeutic levels of systemic psilocin at varying rates. Enveric has generated a library of NPP compounds protected by an issued US patent, and further claimed in two pending US patent applications and three international Patent Corporation Treaty (PCT) patent applications.

The library of NPP compounds includes molecules with varying properties such as enhanced gastrointestinal (GI) stability, increased absorption properties, and variable cleavable substitutions producing altered pharmacokinetic properties. Pursuant to the terms of the non-binding term sheet, MindBio will seek to advance a drug candidate from the NPP class for neuropsychiatric indications such as depression. The term sheet states that upon entering into a definitive agreement, MindBio would receive an exclusive, global license to the formulations, drugs, method of use, and devices developed to utilize the compound from Enveric and would assume responsibility for all future preclinical, clinical, and commercial development on a royalty-bearing basis for all human and animal pharmaceutical applications.

If a definitive agreement is entered into and certain conditions are met, MindBio would pay Enveric development and sales milestones up to an aggregate $66.5 Million and royalties (ranging from 2.5% up to 10%) on all future sales. The license would include the right to sublicense and cash buyout options. Enveric's lead program, EB-003, is a first-in-class approach to the treatment of difficult-to-address mental health disorders designed to promote neuroplasticity without inducing hallucinations in the patient.

Enveric is also developing EB-002, formerly EB-373, a next generation synthetic prodrug of the active metabolite, psilocin, being studied as a treatment of psychiatric disorders. Enveric is headquartered in Naples, FL with offices in Cambridge, MA and Calgary, ABCanada.