Gold prices dip as hawkish Fed minutes weigh ahead of Jackson Hole
NEW YORK and BERLIN - atai Life Sciences (NASDAQ: ATAI), a biopharmaceutical company focused on mental health treatments with a current market capitalization of $243 million, announced positive preliminary results from a Phase 2a study of BPL-003 for alcohol use disorder (AUD). According to InvestingPro data, the company maintains strong liquidity with a current ratio of 5.81, though it faces profitability challenges typical of early-stage biotech firms. The study, which included 12 patients with moderate to severe AUD, demonstrated that a single dose of BPL-003, combined with cognitive behavioral therapy, significantly reduced alcohol consumption over a 12-week period.
Patients in the study experienced a marked decrease in the mean number of alcohol units consumed daily, from 9.3 to 2.2 by the end of the study. Heavy drinking days were also reduced, with the mean percentage dropping from 56% to 13%. Notably, half of the participants achieved complete abstinence throughout the study duration.
BPL-003, an intranasal formulation of 5-MeO-DMT benzoate, is designed for rapid onset and sustained efficacy with a short in-clinic treatment duration. According to the study results, patients were typically ready for discharge within two hours post-treatment, and no serious or severe adverse events were reported.
"We are encouraged by these exploratory results from Beckley Psytech, our strategic investment, which demonstrate the potential of short in-clinic psychedelic therapies to transform the treatment of substance use disorders," said Dr. Srinivas Rao, CEO and Co-founder of atai. While the company holds more cash than debt on its balance sheet, InvestingPro analysis indicates rapid cash burn - a critical factor for investors monitoring the company's development pipeline.
The World Health Organization estimates that AUD affects approximately 400 million people globally, with current pharmacological treatments often proving ineffective. BPL-003's promising results suggest a potential new treatment avenue for this pervasive disorder.
Further development of BPL-003 for substance use disorders is planned, with additional clinical data expected to be shared throughout 2025. The company also anticipates topline Phase 2b data for treatment-resistant depression later this year. Analyst sentiment remains optimistic, with price targets ranging from $5 to $11 per share. For detailed financial analysis and additional insights, investors can access over 30 key metrics and exclusive ProTips through InvestingPro's comprehensive platform.
This news is based on a press release statement from atai Life Sciences and has not been independently verified.
In other recent news, ATAI Life Sciences has seen significant changes in its executive team and supervisory board. Dr. Srinivas Rao has assumed the role of CEO, with Dr. Kevin Craig as Chief Medical (TASE:PMCN) Officer, Dr. Glenn Short as Chief Scientific Officer, and Dr. Gerd Kochendoerfer as Chief Operating Officer. Additionally, Mr. Michael Auerbach has resigned from the supervisory board, reducing its number from seven to six members.
The company is advancing Phase 2 clinical trials for its novel therapeutics, VLS-01 and EMP-01, treatments for treatment-resistant depression and social anxiety disorder respectively. Topline data from these trials is expected in the first quarter of 2026.
H.C. Wainwright recently adjusted its stock target for ATAI Life Sciences, reducing it from $15.00 to $10.00, while maintaining a buy rating. Analysts from TD Cowen and Jefferies have also maintained their buy ratings on the company.
ATAI Life Sciences has completed the acquisition of IntelGenx Corp., adding IntelGenx's development candidate, VLS-01, to its portfolio. The company reported positive Phase 1b results for its depression treatment, VLS-01, and plans to initiate a Phase 2 study by the end of 2024. These are among the recent developments at ATAI Life Sciences.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.