IntelGenx Announces Initial Closing of atai Investment

Rhea-AI Summary

IntelGenx Technologies Corp. (TSX-V:IGX) (OTCQB:IGXT) has successfully completed a US$12,346,300 investment from ATAI Life Sciences AG, resulting in atai acquiring approximately 25% of IntelGenx's common stock. This strategic partnership is aimed at enhancing IntelGenx's capabilities in the psychedelic therapeutics field while providing essential financial resources to advance its pharmaceutical film products toward commercialization. Both companies expressed enthusiasm for the partnership, emphasizing its potential for innovation in drug delivery.

Positive

• Completion of a US$12,346,300 investment from atai, strengthening IntelGenx's financial position.
• atai now holds approximately 25% of IntelGenx's common stock, enhancing partnership potential.
• Strategic partnership is positioned to advance IntelGenx's portfolio in psychedelic therapeutics.

Negative

• None.

SAINT LAURENT, Quebec, May 14, 2021 (GLOBE NEWSWIRE) -- IntelGenx Technologies Corp. (TSX-V:IGX) (OTCQB:IGXT) (“IntelGenx”), a leader in pharmaceutical films, today reported that the previously announced US$12,346,300 investment in IntelGenx by ATAI Life Sciences AG (“atai”) has been completed. As a result of the investment, atai now holds approximately 25% of the issued and outstanding common stock of IntelGenx.

"We would again like to thank our shareholders for their support of our transformative strategic partnership with atai,” said Dr. Horst G. Zerbe, CEO of IntelGenx. “In addition to positioning IntelGenx as a leader within the novel therapeutics field of psychedelics, atai’s investment provides us with the requisite financial resources to continue to advance our portfolio of other pharmaceutical film product candidates towards commercialization.”

“We are pleased to have achieved our goal of progressing from collaborators to partners with IntelGenx via this transaction, and we are excited to make IntelGenx’s innovative film technology an integral part of our platform,” said Florian Brand, CEO of atai.”

About IntelGenx

IntelGenx is a leading drug delivery company focused on the development and manufacturing of pharmaceutical films.

IntelGenx’s superior film technologies, including VersaFilm® , DisinteQ™, VetaFilm™ and transdermal VevaDerm™, allow for next generation pharmaceutical products that address unmet medical needs. IntelGenx’s innovative product pipeline offers significant benefits to patients and physicians for many therapeutic conditions.

IntelGenx's highly skilled team provides comprehensive pharmaceuticals services to pharmaceutical partners, including R&D, analytical method development, clinical monitoring, IP and regulatory services. IntelGenx's state-of-the-art manufacturing facility offers full service by providing lab-scale to pilot- and commercial-scale production. For more information, visit www.intelgenx.com.

About atai

atai is a clinical-stage biopharmaceutical company founded in 2018 in response to the significant unmet need and lack of innovation in the mental health treatment landscape. atai is dedicated to acquiring, incubating and efficiently developing innovative therapeutics to treat depression, anxiety, addiction, and other mental health disorders. atai's business model combines funding, technology, scientific and regulatory expertise with a focus on psychedelic compounds and other drugs with differentiated safety profiles and therapeutic potential. atai operates a decentralized model to enable scalable drug or technological development across its companies, seeking to effectively treat and ultimately heal mental health disorders. atai's vision is to bridge the gap between what the mental healthcare system currently provides and what patients need. atai is headquartered in Berlin, with offices in New York, and London. For more information, please visit www.atai.life.

Forward-Looking Statements

This document may contain forward-looking information which involves substantial risks and uncertainties. Statements that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the U.S. Securities Act. Forward-looking information or forward-looking statements by their nature are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Corporation at the time of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Words such as “expects”, “continue”, “will”, “anticipates” and “intends” or similar expressions are intended to identify forward-looking statements. Because these forward-looking statements are subject to a number of risks and uncertainties, the Corporation’s actual results, objectives and plans could differ materially from those expressed or implied by these forward-looking statements. Some of the important risks and uncertainties that could affect forward-looking statements are discussed under the heading “Risk Factors” in the Corporation’s annual report on Form 10-K, filed with the United States Securities and Exchange Commission and available at www.sec.gov, and also filed with Canadian securities regulatory authorities at www.sedar.com. Forward-looking statements are made based on management’s beliefs, estimates and opinions on the date the statements are made, and the Corporation assumes no obligation to update any such forward-looking statements except as required by law. Moreover, all forward-looking information contained herein is subject to certain assumptions. Investors are cautioned against attributing undue certainty to forward-looking statements. All forward-looking statements are expressly qualified in their entirety by this cautionary statement.

Each of the TSX Venture Exchange and OTCQB has neither approved nor disapproved the contents of this press release. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities.

Source: IntelGenx Technologies Corp.

For IntelGenx:

Stephen Kilmer
Investor Relations
(514) 331-7440 ext 232
stephen@intelgenx.com

Or

Andre Godin, CPA, CA
President and CFO
IntelGenx Corp.
(514) 331-7440 ext 203
andre@intelgenx.com

FAQ

What is the significance of the US$12,346,300 investment by atai in IntelGenx (IGXT)?

The investment positions atai as a significant shareholder with approximately 25% ownership, providing IntelGenx with critical financial resources to develop its pharmaceutical film products.

How will the partnership between IntelGenx and atai impact the stock market for IGXT?

The partnership is expected to enhance IntelGenx's market position in the psychedelic therapeutics field, potentially improving investor sentiment and stock performance for IGXT.

When did atai's investment in IntelGenx become effective?

The investment was reported as completed on May 14, 2021.

What are the future prospects for IntelGenx following the investment from atai?

With the new funding, IntelGenx aims to advance its portfolio of pharmaceutical films toward commercialization, potentially leading to increased revenue and market share.

What companies are involved in the investment reported in the press release?

The companies involved are IntelGenx Technologies Corp. and ATAI Life Sciences AG.