Since Champignon Brands, now renamed to Apotheosis Scientific Ltd., first began trading, investors have experienced a rollercoaster ride of euphoria, while new investors in the last month have been watching the stock sell off. Remember in early March, while the world stock markets were crashing due to Covid 19, Champignon closed its first day trading at 0.33 cents. The stock reached a high of 2.38 on May 19th, before getting sold off, closing today at 1.11 cents. A series of news releases early and often post-public offering had the stock moving. Let’s get into the company’s moves over the last 3 months.
On March 13th, Champignon acquired a mushroom cultivator for 8 million shares, specializing in medicinal mushroom and mushroom-infused products. Before this acquisition, investors must have wondered where the intellectual expertise was for organic production, but this acquisition set the company up nicely for manufacturing and research capabilities.
On March 18th, the company acquired Novo Formulations for 12.5 million shares, and introduced Ketamine, and potentially MDMA to its product pipeline. From the press release, “Novoformulations is presently working with ketamine, anaesthetics and adaptogenics, as well as a host of pharmaceuticals and natural molecules at a purpose-built GMP and pharmaceutical (DIN) licensed facility… Champignon plans to leverage Novoformulations’ existing product development infrastructure and licensed affiliates to pursue psilocybin and MDMA based formulations, with the objective of developing and commercializing rapid onset treatments capable of improving health outcomes, including Depression, PTSD and substance and alcohol use disorders (DPS).” Essentially, the acquisition enabled future potential revenue streams other than psilocybin for Champignon.
On March 27th, Champignon acquired Tassili Life Sciences Corp., for 16 million shares, gaining entry to a preclinical trial for psilocybin. From the press release, “Tassili intends to demonstrate that the clinical and physiological effectiveness in PTSD and obsessive-compulsive disorder (OCD) are enhanced by timely measured dosages of psilocybin and cannabidiol, with superior clinical results as measured by objective outcomes.”
On April 9th, Champignon acquired Ketamine Clinic Operator, AltMed Capital Corp., for 55,124,000 shares, and joined forces with Dr. Roger McIntyre, an accomplished professor of psychiatry. Champignon intends to open many more AltMed clinics throughout North America by Q4 of 2020. This acquisition seemed to be the flagship move of Champignon Brands, providing a pathway to potential future profitability. The press release was extensive, we suggest you read it if you have purchased shares, or are considering purchasing shares in this company.
On April 17th, the company began trading in the states on the OTC market.
On April 22nd, the company announced it had secured a legal, stable supply of psilocybin for its preliminary trials testing the drug with sufferers of PTSD.
April 30th marked the date of a deal to distribute the company’s ketamine treatments through pharmacies, so physicians would be able to prescribe the drugs, and also they announced 5 new clinics in New York, Florida, and California.
In addition to many employee, executive, and board positions announced, Dr. Roger McIntyre was named CEO of the company on May 11th. The same day, they announced a bought deal private placement for $10,000,000 at $0.85 cents. This was a significant move for the company, putting a new leader at the helm. The following week, the stock pumped from 0.99 cents, to its high of 2.38 closing on May 19th.
May 12th marked the date of another Ketamine Clinic acquisition, this time in Orange County, the company’s first clinic in the US, for (a) USD $600,000; (b) 1 million common shares of Champignon and, (C) 500,000 common shares of Champignon payable only if the Wellness Clinic collects top-line revenue of at least USD $1,500,000, over the 18-month period, post closing.
Finally, June 12th, the company announced “The company plans to change its name from Champignon Brands Inc. to Apotheosis Scientific Ltd., or such other name as the company’s directors may determine to better reflect the company’s business activities going forward.” Also, it announced it was spinning out its mushroom infused products segment into a newco.
That’s a lot of moves in a 3 month period. The evolution of the company to become a leader in Ketamine clinics seems to be a smart move, if the clinics can prove to be profitable. This will allow Apotheosis crucial revenue while the world goes through its evolution towards proving the medical uses of psychedelic drugs. The team assembled by Apotheosis seems poised and focused on delivering results for its shareholders, and its aggressive strategy has certainly paid off for early investors who took the risk in March.