Pot stock Creso Pharma Ltd [ASX:CPH] is on the up today. Shares are trading 1.54% higher as the company announced some new developments from its Canadian subsidiary: Halucenex.
For the unaware, you can read all about Creso’s takeover of Halucenex, right here.
Because as management has made clear today, the acquisition is already paying off. With Halucenex entering a new MOU with a Nova Scotia-based partner.
Let’s dig into the details…
Banking on a mental health remedy
As discussed previously in Money Morning, Creso — and more specifically Halucenex — isn’t your typical pot stock. Because rather than focusing on cannabis, Halucenex’s priority is psychedelics.
Putting mind-altering drugs to the test for clinical solutions. A trend that has captivated plenty of interest and attention in Canadian investment circles.
Today, Halucenex is hoping to capitalise upon that interest, signing a MOU with Landing Strong. A local support services provider for mental health. Catering in particular to veterans, current military members, and first response personnel.
Their goal is to help these people address and overcome the mental stresses that often come with these duties. Treating a variety of symptoms, including PTSD.
Together with Halucenex, though, they hope to explore the potential for psilocybin-based treatments. Working in tandem to support Creso’s planned phase II clinical trial for PTSD.
All of which ties into their long-term goal of providing a clinical solution for these mental issues.
As Halucenex’s founder and CEO, Bill Fleming, notes:
‘Our relationship with Landing Strong has a number of strategic benefits. Firstly, it provides a holistic approach to post treatment care and secondly, will offer a continuum of care to support the clients’ transition back into their families, community and society following the use of psychedelics as an alternative treatment route.
‘We look forward to working with Landing Strong’s leading team to gain a better understanding of how our alternative treatments can assist those living with mental health conditions and their journey back into the workplace.’
So this could be a pivotal partnership in order to validate the potential of these psychedelic drugs. A solution that could dramatically change these victims’ lives for the better.
What’s next for the Creso Share Price?
The big focus for Creso now is clearly this phase II trial. A development that could make or break Halucenex’s hopes for its novel treatment solutions.
As for when it will get underway, well that is dependent on a pending licence. The last regulatory hurdle they need from Health Canada in order to formally apply for Clinical Trial Authorisation.
So for shareholders’ sake, hopefully this will all be wrapped up sooner rather than later.
But with no timeline or indication provided, it remains to be seen when this licence will be granted. That is, even if it will be granted in the first place.
Nevertheless, it is an exciting development for this tiny pot stock. One that sets it apart from most on the ASX.
If, however, you’re looking for other potential ways to get in on the ‘green rush’, well, we’ve got you covered. Our pot stock report will tell you everything you need to know, and more. Including three of our top pot stock picks to choose from on the ASX right now.
Check it all out for yourself in the full report, right here.
For Money Morning
PS: Our publication Money Morning is a fantastic place to start on your investment journey. We talk about the big trends driving the most innovative stocks on the ASX. Learn all about it here