Mindset Pharma Inc. announced an exclusive licensing agreement for Cybin Inc. to acquire intellectual property rights for a subset of Mindset's preclinical compounds (the “Agreement”). Under the terms of the Agreement, Cybin will license intellectual property related to preclinical compounds within Mindset's “Family 1” portfolio, excluding MSP-1014, Mindset's lead psychedelic drug candidate. The agreement includes an initial payment by Cybin to Mindset of USD 500,000 along with clinical development milestone payments which could total up to USD 9,500,000 upon successful completion of agreed milestones, including the approval and commercialization of the first drug candidate.

The agreement also contemplates a sales royalty of approximately 2% for all commercialized licensed products within the scope of the exclusive agreement, which is customary for drug licensing agreements of this nature.