Mota Ventures Corp (CSE:MOTA) (OTCPINK:PEMTF) has completed its C$20 million acquisition of European psychedelic medicine company Verrian Ontario Ltd by acquiring all the firm's outstanding share capital.
Verrian specializes in products related to addiction reduction, with a particular focus on alcohol and opiates. The company operates a 110,000 square-foot pharmaceutical manufacturing facility in Radebuel, Germany.
Verrians’s manufacturing site includes an analytical laboratory and finished-dose manufacturing. Its facilities and equipment have been independently appraised at C$10.6 million.
Mota has issued 54.3 million common shares to existing Verrian shareholders at a price of C$0.37 per share. The move propels Mota into a psychedelic market worth up to US$ 100 billion by some estimates.
The massive shift towards psychedelic-derived medicines is no longer in doubt and this acquisition sends a strong signal to the market that Mota Ventures intends to be a serious participant this coming decade,” Mota CEO Ryan Hoggan said in a statement.
“Unlike some companies that use psychedelics as a marketing term, this acquisition of Verrian brings Mota market-ready products, world-renowned addiction medicine experts, R&D facilities and a 110,000 square foot facility to make it happen. In my opinion, this is the most complete psychedelic asset on the market, and therefore should immediately make Mota a market leader in the space."
Verrian’s focus is rewiring the mind to overcome addiction, the company said. Specifically, micro-dosing psilocybin has shown the potential to remove the dopamine reward of addictive substances, potentially reducing the desire to use them.
The company has developed a pair of psilocybin products, PSI GEN and PSI GEN+, which are designed to reduce opiate addiction.
In addition to its facilities, Verrian has invested C$2.4 million into clinical trial design and the development of a proprietary formulation for its PSI-GEN products, as well as its cannabis products, CBDaily and CBNight.
"In 2020, we have proven our e-commerce ability to acquire tens of thousands of customers and generate millions of dollars in monthly revenues from CBD sales,” Hoggan said. “We intend to bring that same market expertise to bear with our psychedelics business in 2020 and far beyond."
Contact Andrew Kessel at email@example.com
Follow him on Twitter @andrew_kessel