MM-290 is a small molecule commercialized by Mind Medicine MindMed, with a leading Phase II program in Major Depressive Disorder. According to Globaldata, it is involved in 10 clinical trials, of which 3 were completed, 6 are ongoing, and 1 is planned. GlobalData uses proprietary data and analytics to provide a complete picture of MM-290’s valuation in its risk-adjusted NPV model (rNPV). Buy the model here.

The revenue for MM-290 is expected to reach an annual total of $69 mn by 2036 in the US based off GlobalData’s Expiry Model. The drug’s revenue forecasts along with estimated costs are used to measure the value of an investment opportunity in that drug, otherwise known as net present value (NPV). Applying the drug’s phase transition success rate to remaining R&D costs and likelihood of approval (LoA) to sales related costs provides a risk-adjusted NPV model (rNPV). The rNPV model is a more conservative valuation measure that accounts for the risk of a drug in clinical development failing to progress.

MM-290 Overview

Lysergic acid diethylamide is under development for the treatment of attention deficit hyperactivity disorder (ADHD), anxiety disorders, Cluster Headaches, acute and chronic pain and psychiatric disorders such as major depression disorder, generalized anxiety disorders. It is a psychedelic drug. It is administered though oral route. The drug candidate acts by targeting 5-hydroxytryptamine receptor 2A (5HT2A).

Mind Medicine MindMed Overview

Mind Medicine MindMed (MindMed) is a neuro-pharmaceutical company. It develops, discovers and deploys psychedelic inspired medicines to promote wellness, improve health, and alleviate suffering. MindMed is headquartered in New York, the US.

The operating loss of the company was US$93.9 million in FY2021, compared to an operating loss of US$33 million in FY2020. The net loss of the company was US$93 million in FY2021, compared to a net loss of US$33.9 million in FY2020.

For a complete picture of MM-290’s valuation, buy the drug’s risk-adjusted NPV model (rNPV) here.

GlobalData

GlobalData, the leading provider of industry intelligence, provided the underlying data, research, and analysis used to produce this article.

To create this model, GlobalData takes into account factors including patent law, known and projected regulatory approval processes, cash flows, drug margins and company expenses. Combining these data points with GlobalData’s world class analysis creates high value models that companies can use to help in evaluation processes for each drug or company.

The rNPV method integrates the probability of a drug reaching a clinical stage into the cash flow at that time, which provides a more accurate valuation, as it considers the probability that the drug never makes it through the clinical pathway to commercialization. GlobalData’s rNPV model uses proprietary likelihood of approval (LoA) and phase transition success rate (PTSR) data for the indication in the highest development stage, which can be found on GlobalData’s Pharmaceutical Intelligence Center.