BioAdaptives, Inc. signed a definitive agreement to acquire Xycota Biosciences, LLC. Xycota is a preclinical biotechnology company developing low-dose psilocybin treatments. No cash purchase price is payable for the transaction.
Transaction terms
The transaction has not closed and remains subject to closing conditions. After closing, BioAdaptives will issue Economic Preferred stock representing 40% of total voting power and economic ownership. Separate Voting Preferred stock carrying 51% of voting power initially goes to CEO James E. Keener.
How the companies will operate
BioAdaptives is a nutraceutical supplier. Its existing operations would continue separately from Xycota. Xycota would become a wholly owned subsidiary led by its current executive team.
Lead program
Xycota's lead candidate is XYCO-02. It is a low-dose oral psilocybin intended to be sub-perceptual. The initial target is mild PTSD, but the clinical dose has not been determined.
No Xycota product has been tested in a company-sponsored human study. After closing, investors have agreed to provide $150,000 in four tranches. Additional investment rights of up to $800,000 may follow over 36 months.