Biotechnology company focused on transforming psychedelics into medicines Eleusis Inc. will be going public after a merger deal with a publicly traded special purpose acquisition company (SPAC) known as Silver Spike Acquisition Corp. II. Silver Spike Acquisition is an affiliate of Silver Spike Capital.
Both companies confirmed having signed a definitive business combination agreement to turn Eleusis in a public traded company. Following closing of the merger deal, the combined company will apply to have its shares listed on NASDAQ under the ticker symbol ‘ELEU’.
According to Eleusis, Silver Spike Acquisition Corp. II is worth $287.5 million and it has a decent amount of cash banked. The SPAC has been long interested in making investments in the cannabis and psychedelics sectors respectively.
This merger deal is expected to generate gross proceeds of up to $288 million which means this will translate into a combined enterprise value of $446 million.
The merger deal will also support the countrywide expansion of Eleusis’s subsidiary Andala, which manages in-network drug therapy clinics targeting the ‘last mile’ challenge of psychedelic care delivery to address a potential $7 billion health care service opportunity across the United States.
“This is an ideal moment for Eleusis to go public with a partner like Silver Spike. We are thrilled to work with the Silver Spike team, whose extensive financial and industry experience complement our expertise. We believe access to public capital markets will accelerate our efforts to transform psychedelics into modern medicines, and ultimately offers the potential to improve millions of patients’ lives while creating long-term value for our shareholders,” said the CEO and founder of Eleusis, Shlomi Raz.