LKYSF - Numinus Buys Neurology Center of Toronto
Numinus Wellness Inc. (TSXV: NUMI) (OTC: LKYSF) is buying the Neurology Centre of Toronto as of an agreement dated July 2, 2021, in a deal valued at half a million dollars. Numinus will pay $300,000 in cash and $200,000 in Numinus shares upon closing and future performance-based payments totaling up to $500,000 in Numinus shares to complete the transaction. The deal is expected to close by the end of August 2021. All of NCT’s staff – including medical doctors, nurses, physician assistants, occupational therapists, psychotherapists, physiotherapists, nutritionists, and administrative staff – are expected to remain with Numinus after the deal closes.
Numinus and NCT founder Dr. Evan Lewis said they plan to expand NCT into a comprehensive clinical neurology treatment center with a unique specialization in the application of psychedelics in the field of neurology. Currently, therapies for common neurological disorders such as concussion, migraine and cluster headache, neuropathic pain syndromes, and chronic epilepsy have limitations, especially when these disorders are associated with chronic psychological challenges. The need to develop novel therapies that address both medical and psychological components of neurological diseases may be substantial and the potential impact could be significant.
“Our collaboration with Numinus represents an important evolution in patient care for individuals suffering from common neurological illnesses and challenges that are often associated with chronic mental health conditions,” said Dr. Lewis, a neurologist and clinical neurophysiologist who founded NCT in 2017. “While today’s treatments help many patients, a significant number continue to suffer and, we believe, maybe helped by psychedelic-assisted psychotherapy.”
Numinus said in a statement that current research shows that psychedelic medications such as psilocybin and MDMA open new pathways in the brain that can treat a host of mental health disorders in conjunction with professional therapy.
“This acquisition represents an exciting opportunity for NCT and Numinus to combine medical, clinical, and academic expertise to help create a new discipline and ultimately a center for excellence in psychedelic neurology,” said Dr. Evan Wood , Chief Medical Officer, Numinus. “In doing so, this collaborative discipline could potentially make a transformative difference for many patients.”
The company listed the following deal highlights in a statement:
- Numinus to acquire a fully operational neurology center with 13 doctors, 8 allied health staff, nurse practitioners, and physician assistants. Gross revenues for the centre grew more than 25% to approximately $1 million for the year ended December 31, 2020 , while net revenue grew 25% to $454,000 for the same period.
- NCT offers experience managing patients with common neurological conditions and associated chronic psychological disorders for whom there is potential to benefit from psychedelic-assisted psychotherapy.
- NCT’s expertise in clinical neurology and associated mental health disorders will be integrated with Numinus’ leadership in psychedelic-assisted psychotherapy to establish the field of psychedelic neurology, to develop strategies and treatments for those with select neurological and concurrent disorders.
- NCT and Numinus plan to establish the first center for excellence in psychedelic neurology, comprising highly specialized neurology experts with an understanding of how psychedelics can safely and positively impact patients with neurologic illnesses and associated mental health challenges.
- Numinus to leverage and grow NCT’s information technology-based virtual rapid access care model to streamline and scale pathways for patients to access psychedelic-assisted psychotherapies.
- Dr. Lewis, recognized for advancing the use of medical cannabis to treat complex neurologic disorders, will join Numinus as VP, Psychedelic Neurology Services upon completion of the acquisition.