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atai Life Sciences reports positive Phase 1 results for BPL-003

EditorAhmed Abdulazez Abdulkadir
Published 04/18/2024, 01:28 AM
ATAI
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NEW YORK - atai Life Sciences (NASDAQ: ATAI), a clinical-stage biopharmaceutical company focused on mental health treatments, announced the publication of positive Phase 1 results for BPL-003, a novel intranasal formulation of 5-MeO-DMT, in The Journal of Psychopharmacology. The study, which included 44 healthy volunteers, showed BPL-003 to be safe and well-tolerated, with no serious adverse events reported.

The trial, a double-blind, placebo-controlled study, assessed the safety, tolerability, and pharmacokinetics (PK) of single ascending doses of BPL-003, as well as its pharmacodynamics (PD), when combined with psychological support. Participants received doses ranging from 1 mg to 12 mg or a placebo. The results indicated that the compound was rapidly absorbed and eliminated, with systemic exposure increasing approximately dose-proportionally. Subjective psychedelic effects were observed within minutes and resolved within two hours.

The intensity of the psychedelic experience correlated with the compound's exposure, with 60% of participants experiencing a 'complete mystical experience' at doses of 10 mg and 12 mg. Moreover, a high willingness to retake the treatment was reported, with 87% of participants open to the same or higher doses in the future, and 100% of those who received the highest dose expressing willingness to do so.

BPL-003 is currently undergoing further investigation in Phase 2a studies for Alcohol Use Disorder and Treatment Resistant Depression (TRD), with a multi-site Phase 2b study for TRD also in progress. Initial results from the Phase 2b study are expected in the second half of 2024.

Beckley Psytech, the developer of BPL-003, is a private clinical-stage biopharmaceutical company in which atai Life Sciences holds a 35.5% ownership stake following a strategic investment in January 2024. The companies have agreed to collaborate on various initiatives, including digital therapeutics, commercial, and market access activities.

The positive Phase 1 results suggest BPL-003's potential as a scalable, single-dose treatment model for mental health disorders, aligning with current interventional treatment paradigms. This news is based on a press release statement from atai Life Sciences.

InvestingPro Insights

atai Life Sciences (NASDAQ: ATAI), amidst the promising clinical developments, presents a mixed financial outlook according to recent data. The company's market capitalization stands at a modest $356.96 million, reflecting investor sentiment and market positioning. Notably, atai has managed to maintain a cash position that outstrips its debt, which is an InvestingPro Tip indicating a level of financial prudence in its balance sheet management.

However, the company's rapid cash burn rate is a point of concern for investors, as highlighted by another InvestingPro Tip. This metric is particularly relevant given the company's ongoing investment in clinical trials, which are capital-intensive activities. The financial health of atai is crucial as it progresses through the costly phases of drug development. Furthermore, atai's revenue growth over the last twelve months has been 34.76%, a figure that underscores the company's ability to increase its earnings over time, albeit from a low base.

Investors should also note the lack of profitability over the last twelve months and the expectation that net income is likely to drop this year. This is reflected in the company's negative P/E ratio of -8.42, which suggests that atai is not currently generating profit relative to its share price. Nevertheless, the company has seen a significant price uptick over the last six months, with a 96.97% total return, indicating strong market performance in the short term.

For those considering an investment in atai Life Sciences, additional InvestingPro Tips can provide a deeper analysis. There are 10 more tips available on the platform, which could offer further insights into the company's financial health and market prospects. Prospective users can access these additional tips and take advantage of a special offer using the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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