Pasithea Therapeutics, a preclinical biotech researching drugs for psychiatric and neuro disorders, announced terms for its IPO on Friday.
The Miami Beach, FL-based company plans to raise $17 million by offering 2.9 million shares and warrants at a price range of $5 to $7. The warrants are exercisable at 125% of the offering price. At the midpoint of the proposed range, Pasithea Therapeutics would command a market value of $67 million. Because the offering has warrants attached, Pasithea no longer qualifies for tracking and will be excluded from Renaissance Capital's stats.
Pasithea is focused on the discovery and development of novel drugs for the treatment of psychiatric and neurological disorders. The company does not currently have a lead candidate in development. It plans to discover three lead candidate compounds targeting the immune system's connection to the pathology of certain psychiatric disorders, with a development timeline of 24 months post-IPO. Pasithea has a secondary line of business which aims to establish anti-depression clinics in the UK and US in which medical doctors will administer intravenous ketamine to eligible patients.
Pasithea Therapeutics was founded in 2020 and plans to list on the Nasdaq under the symbol KTTA. EF Hutton is the sole bookrunner on the deal.
