Toronto, Ontario--(Newsfile Corp. - March 17, 2025) - Neural Therapeutics Inc. (CSE: NURL) ("Neural" or the "Company"), an ethnobotanical drug discovery company dedicated to developing therapeutic drugs for mental illnesses related to substance use disorders, is pleased to announce that its common shares will commence trading on the Canadian Securities Exchange ("CSE") under the symbol "NURL" on Monday, March 17, 2025.
With the listing process completed and the Series A Financing closed, Neural will now focus on advancing its mescaline-based therapy development efforts, as well as progressing toward the completion of its acquisition of a stake in Hanf.com, as first announced on October 3, 2024 and outlined in the Form 2A Listing Statement ("Listing Statement") available on Neural's CSE profile and on www.sedarplus.ca.
Psychedelic Drug Development and Nutraceutical Products Business
Neural continues to execute its strategy of developing mescaline-based therapies for the treatment of major mental health conditions, including substance use disorders, depression, and anxiety. In the near term, Neural intends to focus on its research and development initiatives in Peru, working with its partners to complete the necessary analyses of previously collected cactus material. Additionally, Neural aims to file further patent applications to protect the proprietary knowledge it has developed in recent years.
Furthermore, Neural is working to develop and enhance its supply chain for San Pedro cactus material, which contains certain non-psychoactive compounds believes to have wellness benefits. Neural intends to explore these compounds further for potential nutraceutical applications.
Ian Campbell, Neural CEO, stated, "We are pleased to have achieved the milestone of becoming a publicly traded company. This positions us well to advance our psychedelics research and development program while securing additional intellectual property."
Strategic Partnership and Acquisition of Hanf.com
Given the time and resources required for new therapy development, the Company has entered into a letter of intent ("CWE LOI") with CWE European Holdings Inc. ("CWE"), which owns and operates a hemp-based CBD retail products business in Germany. The parties continue to work towards preparing a definitive agreement outlining the structure of the transaction. Under the terms of the CWE LOI, Neural intends to acquire an interest in CWE in two stages: an initial 37% stake followed by an additional 63%, subject to the completion of certain milestones by each party.
CWE is a prominent hemp-based product retailer in Germany, which owns and operates both physical and online stores, with 12 locations in the State of Bavaria in The Federal Republic of Germany under the brand name "HANF.COM". Notably, CWE's private label products account for 50% of its offline and online retail sales. CWE's trailing annual revenue is estimated at approximately €4.8 million (unaudited estimate provided by CWE management) and its management expects to achieve operating profitability in fiscal 2025. CWE offers a wide range of CBD and private label products sourced from over 40 vendors within the European Union.
As of April 1, 2024, adults in Germany have been legally permitted to possess up to 25 grams of cannabis and grow up to three plants per household for personal use. Additionally, as of July 1, 2024 Germany also permitted "cannabis clubs" with up to 500 members are allowed to cultivate and access cannabis among their members. Management believes that CWE's established brand positions it well for future expansion into supplying hemp-based products to these legal cannabis clubs and, when legally permitted, regulated cannabis retail dispensaries. CWE's growing physical retail network is expected support its profitable expansion across Germany.
Ian Campbell, CEO of Neural continued, "There are very few companies in our space that are both developing new therapies and own an interest in a synergistic revenue-generating business. As our transaction with Hanf.com continues to evolve, we are excited to establish a presence in an exciting and rapidly growing German adult-use cannabis market."
Engagement of Marc Laakmaker and Dr. Eva Reuter as Investor Relations Consultants
Effective as of March 17, 2025 Neural is also pleased to announce that it has entered into investor relations and marketing services agreements with each of Dr. Reuter Investor Relations ("RIR") and Marc Laakmaker ("ML").
RIR may be contacted via email: e.reuter@dr-reuter.eu or phone: +49-69-1532-5857.
ML may be contacted via email: marc@advancecapinc.com or phone: +1 (647) 289-6640.
Under the terms of the investor relations and public relations agreement with RIR (the "RIR Agreement"), Neural will pay a fixed monthly fee of €4,500 (the "Monthly Fee") in exchange for use of investor relations services in Europe. RIR is an arm's-length party to Neural. The RIR has an initial term of four-month term, after which, Neural will engage RIR on a month-to-month basis as needed. RIR will target the European market by engaging with investors through various digital marketing and social media platforms to increase investor and assist with dissemination of Neural's news.
Under the terms of Neural's contract with ML (the "ML Agreement"), Neural will pay a fee of $3,500 (plus HST) in exchange for use of investor relations services in North America. ML is an arm's-length party to Neural, and the services under the ML Agreement will continue on a month-to-month basis. ML will primarily handle inquiries from North American investors and assist Neural with various investor awareness and initiatives.
About Neural Therapeutics
Neural Therapeutics is a leader in ethnobotanical drug discovery, focusing on the development of therapeutic drugs for mental illnesses related to substance use disorders, including alcohol and opioid dependence. The Company's innovative approach to drug development involves the strategic use of sub-hallucinogenic doses of mescaline extract, enhancing safety and scalability while maintaining therapeutic efficacy.
For further inquiries, please contact:
Neural Therapeutics Inc.
Ian Campbell, CEO
E: icampbell@neuraltherapeutics.ca
T: +1 (647) 697-NURL (6875)
CAUTIONARY DISCLAIMER STATEMENT
No securities regulatory authority has reviewed or accepted responsibility for the adequacy or accuracy of the content of this news release. This news release contains forward-looking statements ("FLS") relating to the Neural-CWE transaction, the outlook for the psychedelic and cannabis markets, and related industries, and the achievement, and the timing of certain development milestones and the successful execution of Neural's business strategy.
FLS also include statements concerning the anticipated entry of entry into a definitive agreement with CWE and completion of any related transactions, and statements related to the continued overall advancement of Neural's business and other statements that are not historical facts. FLS are often identified by words such as "will", "may", "should", "anticipate", "expect", and "plan" and similar expressions. These statements are not statements of historical fact, but rather predictions about future events that are inherently subject to risks and uncertainties. Although management considers such information to be reasonable at the time of preparation, there is no assurance that such statements will prove to be accurate, as actual results and future events may differ materially from those anticipated in such statements. Key factors that could cause actual results to differ include: the inability to raise sufficient funds to execute Neural's business plan; failure to satisfy the conditions imposed by relevant regulators; regulatory restrictions and approvals related to psychedelic drug research and development; delays in securing intellectual property protections; changes in government regulations and policies affecting Neural's operations; and general economic and market conditions. Future events or circumstances could cause actual results to differ materially from those projected due to numerous known and unknown risks, uncertainties, and other factors, many of which are beyond Neural's control. Readers should not place undue reliance on any forward-looking information. FLS contained in this news release are expressly qualified by this cautionary statement. The forward-looking information contained in this press release represents the expectations of the Company as of the date hereof and is subject to change. The Company expressly disclaims any intention or obligation to update or revise such statements. A description of additional risk factors that may cause actual results to differ materially from FLS in Neural's disclosure documents posted on www.sedarplus.ca.
The securities of Neural have not been registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), or applicable state securities laws. The securities may not be offered or sold to, or for the account or benefit of, persons in the United States or "U.S. Persons" (as defined in Regulation S under the U.S. Securities Act), unless registered or exempt from registration under the U.S. Securities Act and applicable state securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy Neural's securities in the United States or any other jurisdiction where such an offer or sale would be unlawful.
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