Entheon Biomedical Corp (OTCMKTS:ENTBF) has announced a strategic investment in and business agreement with psychiatric clinic platform Heading Health LLC. Heading Health focuses on psychedelic-assisted therapy administration in mental health disorders treatment.
Entheon makes $200,000 investment in Heading Health
The company took part in a Series A Preferred Stock Financing in which it invested £200,000 for around 5% interest in Heading Health. According to the terms of the investment, Etheon could increase its stake in Heading Health to around 1% in the subsequent financing round.
Most importantly the Heading Health investment offers Entheon exposure to the ketamine-assisted therapy market including Spravato. Spravato is an FDA approved ketamine product that qualifies for insurance reimbursement. Through the business arrangement, Entheon will access data regarding ketamine therapy as well as patients’ experiences. This will be vital for research purposes and will help in informing the company on the development of its psychedelic therapy. Heading Health will also offer guidance in clinical practices as well as the use of biomarker devices in capturing generic psychiatric practice and ketamine therapies. These specific parameters are outlined in an LOI and will be executed through a Definitive Agreement by the companies.
Heading Health’s ketamine-assisted therapy data to help in DMD-assisted therapy program
Timothy Ko, Entheon’s CEO said that the investment in Heading Health will offer the company exposure to revenue as well as learning opportunities from the ketamine clinic space. He added that the Heading Health Team has massive experience in running multisite clinic practices and Entheon is delighted with the opportunities from the partnership. Ko said that the opportunity to access and analyze data related to ketamine-assisted therapy is an exciting prospect for the company in its goal to develop DMD-assisted treatments.
Commenting on the investment, Heading Health’s CEO Simon Tankel said that the initial Entheon investment is a validation of the company’s vital role in the emerging mental health disorders treatment paradigm. He added that Entheon has therefore seen the important value of the data Heading is collecting to optimize patient outcomes.