A MedTech dedicated to addressing neurological and psychiatric disorders through the novel application of psychedelic medicines has raised £58 million.

Initially set at $50m, Beckley Psytech upsized the Series B financing to $80m due to ‘overwhelming’ interest from investors.

It will use the proceeds to complete its ongoing phase 1b trials with low-dose psilocybin – the chemical in magic mushrooms which causes hallucinations – in patients suffering from SUNHA, a rare and debilitating headache condition estimated to affect 45,000 people in the US and Europe.

It will also begin a phase 2 trial targeting treatment-resistant depression and expand its pipeline with new psychedelic compounds.

“My life’s passion has been to unlock the therapeutic potential of psychedelics as I believe these compounds could help millions of people around the world,” said Beckley Psytech CEO Cosmo Feilding Mellen.

“The progress Beckley Psytech has made in attracting exceptional talent to the team and advancing our ambitious clinical development programmes over the past two years has been tremendously exciting. 

“As we embark on our next phase of growth, our strong syndicate of expert investors will support us in bringing much-needed innovative treatments to patients suffering from neurological and psychiatric conditions.”

The financing round is led by Integrated, a healthcare-focused VC, with a science-focused investor consortium including Prime Movers Labs, Adage Capital Management LP, Palo Santo, Delphi VC, Leafy Tunnel, Negev Capital and existing investor Bicycle Day Ventures.

Jay Newmark, general partner of Integrated, commented: “Cosmo and his dedicated team at Beckley Psytech have created an exceptional research and development platform. 

“Their highly differentiated approach, which treats not only large indications such as depression but also rare indications such as SUNHA, is allowing accelerated access to market. We deeply appreciate our value alignment with this team and eagerly anticipate their progress in improving access to these medicines.”

Dr Amy Kruse, partner at Prime Movers Lab, said: “It is nearly impossible to find a team with more experience in developing psychedelic medicines for neurological conditions than the one at Beckley Psytech. 

“The COVID-19 pandemic brought mental health to the public’s attention in a profound way. The excitement around psychedelics in the mental health market is very real because they are transformative medicines that will soon make their way into the lives of millions of people who desperately need them.”