InvestmentPitch Media Video Discusses FSD Pharma’s, a Life Sciences Holding Company, Agreement to Sell Former Cannabis Processing Facility in Cobourg, Ontario for $16,500,000 – Video Available on Investmentpitch.com

Rhea-AI Summary

FSD Pharma Inc. (NASDAQ:HUGE) has finalized an agreement to sell its 64.43-acre cannabis processing facility in Cobourg, Ontario for CAD$16,500,000. The cash payment includes a deposit of CAD$660,000 received on February 24, 2022. The transaction is expected to close by May 31, 2022, and is non-dilutive to shareholders, potentially increasing the value of each share by approximately $0.40. The company is advancing multiple drug candidates, including FSD-PEA and Lucid-MS, which are undergoing various stages of clinical development.

Positive

• Sale of the cannabis facility for CAD$16,500,000 expected to enhance liquidity.
• The transaction is non-dilutive, preserving shareholder value.
• Projected increase in share value by about $0.40 from the cash infusion.

Negative

• None.

VANCOUVER, British Columbia, Feb. 28, 2022 (GLOBE NEWSWIRE) -- FSD Pharma Inc. (NASDAQ:HUGE) (CSE:HUGE) (FSE:0K9), a life sciences holding company dedicated to building a portfolio of assets and biotech solutions, has entered into a firm agreement in connection with the sale of its 64.43-acre, former cannabis processing facility located in Cobourg, Ontario.

The purchaser has agreed to pay a cash sum of CAD$16,500,000, including a deposit of CAD$660,000, which was received by FSD Pharma on February 24, 2022.

A Media Snippet accompanying this announcement is available by clicking on the image or link below:

For more information, please view the InvestmentPitch Media video which provides additional information about this news and the company. The video is available for viewing on “InvestmentPitch.com” and on “YouTube”. If these links are not enabled, please visit www.InvestmentPitch.com and enter “FSD Pharma” in the search box.

The transaction, which is non-dilutive to the shareholders, is expected to close on May 31, 2022, subject to a number of conditions. Management believes this infusion of cash should increase the value of each share by about $0.40, at current prices.

FSD Pharma Inc. is a biotechnology company with three drug candidates in different stages of development.

FSD Pharma, through FSD BioSciences, a wholly owned subsidiary, is currently assessing next steps for FSD-PEA, an ultra micro-PEA compound with anti-inflammatory properties shown to be safe following positive Phase 1 clinical results. FSD-PEA has the potential to address a range of inflammatory conditions. FSD Pharma is currently analyzing what is the best indication to go for a Phase 2 trial

Lucid Psycheceuticals, also a wholly owned subsidiary, is focused on the research and development of its lead compounds, Lucid-PSYCH and Lucid-MS. Lucid-MS is Neuroprotective compound which, in pre-clinical models, has shown to prevent and reverse Myelin degradation, which is a cause for Multiple Sclerosis as well as other Neuro-degenerative disorders. It has shown excellent results in several animal models. The current treatment market is valued at US$23 billion globally. Lucid-PSYCH is a psycho-active molecule which has shown excellent results for depression in pre-clinical models. According to the World Health Organization, it is estimated that 300 million people worldwide are living with depression.

The shares are trading at $1.30 on the Canadian Securities Exchange. For more information, please visit the company’s website, www.FSDpharma.com, or contact Zeeshan Saeed, President and Founder, at 416-854-8884 or by email at zsaeed@FSDpharma.com. For investor relations in Canada email IR@FSDPharma.com and in the United States, contact Stephen Kilmer at SKilmer@FSDpharma.com.

Disclaimer

The information in this Investmentpitch Media Ltd video is for the viewers information only. FSD Pharma has paid a fee not exceeding $2,000 in cash to have its current news release produced in video format. The corporate information is based on information that is publicly available. Any information provided by Investmentpitch Media Ltd., through its media services is not to be construed as a recommendation or suggestion or offer to buy or sell securities but is provided solely as an informational media service. Investmentpitch Media Ltd makes no warranties or undertakings as to the accuracy or completeness of this information. All due diligence should be done by the viewer or their financial advisor. Investing in securities is speculative and carries risk.

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FAQ

What is the significance of FSD Pharma's recent property sale?

FSD Pharma's sale of its Cobourg facility for CAD$16,500,000 enhances liquidity without diluting shareholder equity.

When is FSD Pharma's property sale expected to close?

The transaction is anticipated to close on May 31, 2022.

How will the sale impact FSD Pharma's stock value?

The cash infusion from the sale is projected to increase the value of each share by approximately $0.40.

What are FSD Pharma's ongoing projects in drug development?

FSD Pharma is advancing several drug candidates, including FSD-PEA and Lucid-MS, in different stages of development.