Pioneering psychedelic medicine company Lobe Sciences is breaking new ground in the fight to combat a ‘silent epidemic’

By Mark Sheridan

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LOBE SCIENCES (CSE:LOBE | OTC:GTSIF)

The world is facing a mental health crisis, but this exciting Canadian firm is helping to solve it…

It’s estimated that nearly one in five adults in the US suffer from mental health problems.

One in five.

That’s over 50 million people in the US alone.

But, of course, mental health is not just an American problem.

It’s global.

Data from the Institute for Health Metrics and Evaluation (IHME) suggests 13% of the global population live with some form of mental disorder.

That’s over 970 million people.

It’s no wonder the World Health Organisation describes one type of mental disorder—known as traumatic brain injury, or TBI—as being a “silent epidemic.”

Sadly, with the impact of the coronavirus pandemic, the situation is only likely to get worse.

In fact, one recent health study found 53% of people in the US believe their mental health has been negatively impacted by the virus.

And the strain is not just social. Over 12 billion working days are lost to mental health issues every year, and the cost to the global economy is expected to rise to $16 trillion by 2030.

It’s a growing problem that desperately needs a solution.

Trouble is, there is currently no standard medicine or treatment for mental health issues such as post-traumatic stress disorder (PTSD) or mild traumatic brain injury (mTBI).

This is why the work Lobe Sciences (CSE:LOBE | OTC:GTSIF) is doing to develop new treatments for both PTSD and mTBI is so exciting, and potentially ground-breaking.

And, right now, with a current valuation of under C$10 million—when the industry average is calculated to be around C$44 million—Lobe (CSE:LOBE | OTC:GTSIF) presents smart investors with an under-the-radar opportunity like no other.

HOW LOBE SCIENCES IS SETTING ITSELF APART

Lobe Sciences (CSE:LOBE | OTC:GTSIF) is aiming to meet the rising demand for mental health medicines by using what are commonly known as psychedelics.

No doubt, when you hear that word—psychedelics—your mind conjures up hippies from the 60s. You might even be tempted to dismiss the idea out of hand.

This would be a mistake.

Still, the perception—or rather misconception—of psychedelic drugs is common and understandable. But, the fact is, the industry is growing at a staggering rate.

In fact, according to Data Bridge Market Research, the psychedelics market is expected to grow at a rate of 16.3% year on year.

When you dig a little deeper, there’s little wonder.

The stigma around psychedelics is quickly disappearing and, perhaps more importantly, regulation is being reduced too as more companies begin to bring products to the market.

But even more fundamental is the growing evidence that these psychedelics work.

One study showed up to 80% of cancer patients being micro-dosed with psychedelics demonstrated reduced stress and anxiety. Another found that 78% of participants felt their mental health improved.

However, though micro-dosing has been found to be extremely effective in the medical arena, many companies in the psychedelics space are spreading themselves too thin by chasing the recreational use market, and even hallucinogenic therapy treatments.

While potentially profitable, these niches pose both huge regulatory and legal issues.

Which is why Lobe Sciences (CSE:LOBE | OTC:GTSIF) is approaching things very differently.

It has made the smart move to focus its efforts on the proven micrdosing medical niche. And, specifically, it is targeting treatments relating to PTSD and mTBI, the demand for which is huge.

In doing so, it has set itself ahead of a lot of the competition and has actively started pre-clinical studies. It is a huge step in the right direction.

Not only that, but thanks to the acquisition of Eleusian Biosciences in July 2020, Lobe (CSE:LOBE | OTC:GTSIF) has inherited three provisional patent applications for unique combinations of psychedelics to be used in the treatment of PTSD and mTBI. It has also added two more pending patents after closing the acquisition.

Each of the three potential treatments include an element of a compound known as N-Acetylcysteine (NAC), which is a dietary supplement and antioxidant already found to help in the treatment of mTBI.

However, in combining NAC in different ways with psilocybin (the active ingredient in psychedelic mushrooms), MDMA, and what are known as memory-odour agents, the expert research team at Lobe (CSE:LOBE | OTC:GTSIF) aims to take things to an exciting new level.

And, unlike many other companies in this often-crowded space, Lobe (CSE:LOBE | OTC:GTSIF) is already well on its way to doing so.


READ OUR EXCLUSIVE REPORT TO LEARN HOW LOBE SCIENCES (CSE:LOBE | OTC:GTSIF) HAS CEMENTED A LEADING POSITION IN THE BOOMING PSYCHEDELIC MEDICINE SECTOR


Lobe Sciences: Already on the path to success

LOBE SCIENCES (CSE:LOBE | OTC:GTSIF)

It’s well known to anyone looking to invest in early-stage medicines that the road to commercial approval can be long and gruelling.

The FDA cycle has four distinct stages: acquisition, discovery, clinical development and approval.

Completion can take years.

But the good news is, Lobe Sciences (CSE:LOBE | OTC:GTSIF) is already well into the first stage of the cycle and is now taking the necessary steps to progress to stage two.

Crucially, the company is not just making these vital medicines. It is also developing the means by which they might be used.

You see, the firm recently secured an agreement with VisionWorks Engineering to help develop a nasal spray transducer that can also be used in a state-of-the-art virtual reality headset to be used as part of the treatment process.

Incidentally, both of these new technologies would not only be useful in the administration of the drugs developed by Lobe (CSE:LOBE | OTC:GTSIF)—they could easily be purchased and adopted by other firms in the market too.

In addition to this, Lobe (CSE:LOBE | OTC:GTSIF) has another ace up its sleeve in the form of its research agreement with Miami University’s Miller School of Medicine.

Not only is the Miller School internationally recognised as one of top medical research institutions in the US, it also has a licence from the US Drug Enforcement Administration. This allows it to conduct research using Schedule 1 controlled substances, which includes psilocybin and MDMA.

For any company looking to seek FDA approval for the use of psychedelics…

This is crucial.

Without a relationship with a recognised centre like the Miller School, any hope of FDA approval would be academic. As it is for many.

But the fact Lobe (CSE:LOBE | OTC:GTSIF) can carry out its research in collaboration with the Miller School sets it apart from so many other firms in the psychedelic space.

It also sets the company firmly on the path to success.

Good science, backed by good business

LOBE SCIENCES (CSE:LOBE | OTC:GTSIF)

Indeed, with so many people suffering from mental health issues around the world…

And with so many people troubled by PTSD and mTBI problems specifically…

It is clear that developing an industry standard treatment would be a game-changer for the company concerned.

It’s why, with the significant scientific steps Lobe Sciences (CSE:LOBE | OTC:GTSIF) has already taken, its future already looks promising.

Then there’s the extremely solid fundamentals providing such a strong foundation for the firm’s scientific work.

For example, Lobe (CSE:LOBE | OTC:GTSIF) recently announced that is has received a C$23 million offer of intent from Ionic Brands to buy the option to own Cowlitz county Cannabis.

But, as well as the financial capital, the company has the intellectual capital too.

In fact, Lobe (CSE:LOBE | OTC:GTSIF) recently brought onboard Maghsoud Dariani as Chief Science Officer, who—as president of Focus Pharmaceuticals—has already managed the development and FDA approval of similar products.

Mr Dariani joins the likes of seasoned chief executive Tom Baird, internationally revered professor of psychiatry and neurosciences Dr Mark A. Geyer, and Jonathan Gilbert, the founder of a number of previously successful biotech companies.

With such a wealth of experience driving it forward and such a clear path to success marked out ahead, all signs point to Lobe (CSE:LOBE | OTC:GTSIF) continuing to power through the FDA cycle.

Before too long, it could potentially develop a range of medicines and treatments that could transform the psychedelics market.

And for those smart investors who join now, it could be a very rewarding ride.


DOWNLOAD OUR SPECIAL REPORT TO LEARN HOW LOBE SCIENCES’ (CSE:LOBE | OTC:GTSIF) PARTNERSHIP WITH THE MILLER SCHOOL OF MEDICINE PRIMES IT FOR A LARGE RE-RATE


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Author: Mark Sheridan

This article does not provide any financial advice and is not a recommendation to deal in any securities or product. Investments may fall in value and an investor may lose some or all of their investment. Past performance is not an indicator of future performance.

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