Panacea Life Sciences Holdings, Inc. PLSH has entered into a letter of intent with Melodial Global Health (formerly Creso Pharma) to acquire Sierra Sage Herbs, maker of the Green Goo, Southern Butter and Good Goo natural products and Halucenex, a company researching novel psychedelic compounds. The deal would extend Panacea’s footprint into natural first aid and body care products, and establishes a strong tie with Melodial through a significant stock ownership stake.
Sierra Sage, which counts 90,000 points of distribution across the US including Whole Foods, Walmart, Amazon, Target.com, CVS, Walgreens, Rite Aid, Kroger, and Food Lion, among others, will continue to operate under its existing leadership while gaining access to Panacea’s 51,000 square foot manufacturing, production and distribution facility in Golden, Colorado.
Halucenex is a life sciences development company with a focus on researching novel psychedelic compounds, including developing and licensing psychedelic compounds for pharmaceutical and nutraceutical markets, and conducting clinical trials on the medical benefits of psychedelic medicine. It operates a 6,000 sq. ft. medical facility in Windsor, Nova Scotia with 6 treatment rooms and a secure laboratory dedicated to performing psychedelic-assisted psychotherapy and clinical research. Halucenex intends to maintain control over all aspects of the product development process – mycological research, extraction technology, and synthetic formulation as well as drug delivery technologies, psychedelic-assisted psychotherapy and regulatory affairs.
The purchase price for the acquisition will be based upon 1X trailing 12 months audited sales of Sierra Sage, with a projected $2.0 million of the purchase price payable in cash and the balance in restricted common stock. Melodial will be subject to restrictions on transfer of such shares and a lockup for a two year period.
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