Psychedelics

Levitee Labs

Transforming the Traditional Landscape of Mental Health, Addiction Treatment and Pain Management Treatment Across Multiple Verticals

This Levitee Labs profile is part of a paid investor education campaign.*

LVT:CC
CSE:LVT

Overview

Shifting legal frameworks and regulatory changes have made psychedelic medicine one of the most promising solutions to mental health and addiction treatment in the modern age. Strong demand from therapists and patients for treatments involving psychedelic drugs like psilocybin has pushed the market to new heights, including a projected market size of over US$10.75 billion by 2027.

Globally, the market for functional mushrooms was US$5.8 billion in 2018 and could grow to a CAGR of 8.0 percent by 2024. Early-movers in the space can expect exceptional growth and economic success as the psychedelic space continues to gain traction as an increasingly positive remedy to limited responses to mental health, substance use and chronic pain crises around the world.

Levitee Labs (CSE:LVT,OTCPK:LVTTF) is an emerging leader in the integrative wellness space. The company will be the world's first psychedelic company with significant revenue and cash flow by year end 2021. Levitee Labs revealed that its M&A team has been tremendously successful in structuring transactions that will define the future of the company. Its acquisition pipeline is deep with a focus on pain & addiction clinics, specialized pharmacies, regulated telehealth, therapeutic psychedelic compound accessibility, and novel nutraceuticals.

Levitee Labs has established a profitable platform of integrative wellness assets through internal development and a regimented acquisition strategy. It operates a robust portfolio of revenue streams, including platform acquisition verticals of addiction and pain clinics, pharmacies and supplement & nutraceutical brands. The company also operates its divisional Sporeo Supply, which offers the gold standard of picks & shovels for mushroom cultivation.

Levitee's acquisition strategy includes a focus on addiction clinics & pharmacies. Recent acquisition ACT Medical Centres serves as a base for future clinic acquisitions and already has a patient base of 35,000 visits yearly, positioning Levitee as the largest non-government provider of addiction services in Alberta with 70% percent currently conducted via telemedicine. It provides Levitee with a platform for future research opportunities and allows for the future delivery of psychedelic medicine to addiction and chronic pain patients. The LTM revenue of this vertical is approximately C$7.5 million.

Additionally, Levitee's nutraceutical rollup and strategy are focused on a significant acquisition pipeline with over $50 million in revenue, which includes Earth Circle Organics. This acquisition already involved an executed LOI with an omni channel superfoods brand.

The company's Project Outback seeks to acquire a late stage applicant for a Health Canada sanctioned Controlled Drugs and Substances Dealer's License. This would allow Levitee Labs access to compounds such as psilocybin, MDMA, ketamine, LSD and DMT. The provisions surrounding the application would involve possession, production of base materials, delivery and import/export, which would widely expand the company's mission of traditional mental health and addictions treatment disruption and overall integrative wellness verticals.

Levitee Labs anticipates C$22.8 million in revenue in 2021. About C$13.2 million of the projected revenue comes from the company's ACT Medical Centres composed of five addiction clinics and three pharmacies. Levitee's major distribution partnership with My Green Planet is expected to have a year-end run-rate revenue of C$6 million while it expects C$3 million or 300% growth for its Earth Circle Organics acquisition.

The next steps for Levitee Labs include a psychedelic blueprint, which outlines an increased integration of alternative medicines and psychedelic therapies across its wellness platforms as regulations and shifting legal frameworks develop. Additionally, the company's R&D strategy is progressing sustainably, focusing on a rollout of alternative medicines to underserved patients.

The Levitee Labs management team comprises a diverse and complementary group of professionals across related fields in clinical research, public venture capital, M&A and operations. Together, they prime the company for exceptional growth potential, established key partnerships and positive financial valuations.

Levitee Labs' Company Highlights

  • Levitee Labs is a multidisciplinary company dedicated to redefining traditional mental health and addiction treatments through integrating evidence-based complementary medicines and novel psychedelic therapies into the traditional infrastructure of mental health treatment
  • The company's current major assets include addiction clinics, specialized pharmacies, a proprietary addiction-focused platform, an omnichannel nutraceuticals company as well as having internally developed a mushroom feedstock manufacturing facility
  • The company acquires and operates healthcare and nutraceutical assets through a vertically integrated M&A model, leveraging medical expertise, technology and resources
  • The company's nutraceutical and superfoods acquisition pipeline could bring over $50 million in revenue through Earth Circle Organics and others
  • Its Sporeo Supply mushroom cultivation asset offers exceptional internally developed picks & shovels and involves a major distribution partnership with My Green Planet.
  • Its Superfoods and Nutraceuticals vertical involves brands like Earth Circle Organics, OJIO, Earth Shift Products, Project Buddha and MONKE Nutraceuticals.
  • Levitee Labs has a market cap of approximately C$37.5 million, an enterprise value of C$26 million, and a tight capital structure.
  • Levitee Labs completed the acquisition of BlockMD Telemedicine Platform, three specialised pharmacies and five addiction clinics in Alberta.
  • The company's management team is a strategically diverse and robust group of professionals with experience across an array of related fields including psychedelics, clinical research and strategic alliance.
  • Levitee Labs added superfoods to its portfolio by completing the acquisition of all the issued and outstanding shares of Earth Circle Organics Chain Inc.

Levitee Labs' Integrated Wellness Portfolio

Clinic and Pharmacy Acquisition Strategy

Levitee's acquisition strategy focused on addiction clinics, pharmacies and pain management clinics serves as a platform for addressing the burden of inefficiencies prevalent within current clinical treatments, particularly those available to underserved patient populations. Levitee has acquired five clinics, three specialized pharmacies and a telemedicine platform, which the company intends to add additional services to treat underserved patients through innovative digital drug delivery avenues as the market expands.

The ACT Medical Centres acquisition has an estimated enterprise value hovering around C$5.9 million with a C$7.5 million LTM revenue and C$1.1 million EBITDA. The roll-up strategy would also include research into psychedelic medicine and trials of novel psychedelic compounds.

Nutraceutical Acquisition Rollup

Levitee's division of nutraceutical strategy focuses on acquiring brands that are established but lack an e-commerce presence with little to no marketing expenditure. These brands offer the company a first-mover advantage with early-stage positioning in growth, high search volume and limited established competitors. These companies also have proprietary products with exceptional economic volume but high barriers to entry. Levitee's main brands include MONKE Nutraceuticals and executed LOI involving Project Buddha and Earth Circle Organics.

  • MONKE Nutraceuticals is an internally developed, premium functional mushroom company, which offers expansive distribution opportunities across Levitee's larger acquisitions.
  • Earth Circle Organics is an omnichannel superfoods and supplements brand with a 300 percent growth rate in the last two years and contains over 180 SKUs across three encompassed brands.

Sporeo Supply – Mushroom Cultivation

Sporeo Supply centralizes all sterilization operations and offers cultivators high yield growth formulas for mushroom spawn and substrate. The company is currently building a production facility near Vancouver, British Columbia that will address the market fragmentation for mushroom cultivators, increase standardization of manufacturing practices for future psilocybin production and advance its production of ready-to-grow mushroom kits for consumers.

Its products will be available through retail, wholesale and e-commerce channels and aim to defragment the mushroom cultivation ecosystem. The company has secured a strategic partnership with My Green Planet to expand its reach and provide cultivators with the full range of growing materials required for the cultivation of all mushrooms.

Levitee Labs' Management Team

Pouya Farmand – CEO & Co-Founder

Pouya Farmand is an experienced financier and entrepreneur with over ten years in the financial markets, primarily in investment banking and venture capital. He has been involved in over 35 transactions ranging from C$1 million to C$50 million.

Kelly Abbott – COO & Director

Kelly Abbott has over ten years of experience in entrepreneurship and software development. He was the former founder and CEO of ParcelPal Technologies, overseeing over 400 employees at its peak.

Mason M. Darabi – CFO

Mason M. Darabi is an experienced CPA with a long history of working in various accounting roles in Canadian accounting firms including MNP, Imperial Oil, RSM Canada and PwC. In his most recent role, he led Ag Data from an idea to a thriving initiative, at the national level for MNP LLP.

Ken Osborne – CFA, Head of M&A, Co-Founder

Ken Osborne is a capital markets professional with diverse experience in both public and private markets covering over 20 capital raises and C$500 million in M&A activity.

Dr. Mohammed Mosli – Chief People Officer (Levitee Clinics, Alberta)

Dr. Mosli is a multilingual Public Health and Preventive Medicine physician specialized in Addictions Health, health services improvement, health promotion, environmental public health, and health policy. Throughout his career, Dr. Mosli served, or currently serves as a director, educator, or senior level manager for an array of organizations, including those in provincial, institutional, and private segments. He is a valuable physician member of the Opioid Addictions Medicine team for Levitee Clinics™ and Levitee Pharmacies™ in Alberta.

Marc Momeni – Executive VP

Marc is a finance professional with over 10 years of experience in financial services and banking. With a key competency in building and managing teams, Marc has been able to scale multiple businesses from start-up to over 7 figures.

Fady Hannah-Shmouni – Chief Medical & Scientific Officer

Dr. Hannah-Shmouni was a clinician scientist in neuroendocrinology, hypertension, and biochemical genetics at NIH (Maryland, USA) since 2015. He served as Director of the Office of Education's Graduate Medical Education (GME) with the National Institute of Child Health and Human Development; Chief of the Internal Medicine, Endocrinology, and Genetics Inpatient Ward; Associate Program Director of NIH's Inter-Institutes Endocrinology & Metabolism Fellowship Program; and Principal Investigator of neuroendocrine genetic and hypertension disorders.

Dr. Hannah-Shmouni specializes in neurohormonal dysregulation of the stress system, with a clinical focus on studying the effects of psychedelic therapies on endocrine conditions and different hormone axes. This specialization in stress hormones uniquely positions Dr. Hannah-Shmouni to provide clinical insights on the prolonged effects of stress that can lead to mental health disorders.

Azim Qazi – Head of Ecommerce and Consumer Packaged Goods

Azim Qazi has over 20 years of experience with broad expertise in dynamic retail marketplaces, business development and supply chain management to oversee Company-wide CPG operations, beginning with the recently launched product lineups of MONKE Nutraceuticals, and Earth Circle Organics. Prior to Levitee Labs,he has worked with Cymax Stores and Cymax Group in multiple leadership positions including Category Manager at Cymax Stores during which he developed objectives and key results for key categories representing 50 percent of total revenue, managed 32 separate $1 million vendors, negotiated marketing promotions, analyzed PPC campaigns and grew category revenue by 39 percent.

Noha ElSayed - Executive Director Levitee Clinics & Levitee Pharmacies, Alberta Region

Mrs. ElSayed brings a wealth of expertise gained through a variety of clinical and managerial positions held in retail pharmacies, hospitals, and primary care settings while working as a pharmacist for the last 20 years, including 11 years as a pharmacy manager. Mrs. ElSayed earned her Bachelor of Science degree in Pharmacy and obtained her Additional Prescribing Authorities from The Alberta College of Pharmacists. She is an active member of several specialized health care networks as the International Society of Travel Medicine and The Canadian Obesity Network. Mrs. ElSayed has a passion for mental health care, addiction treatment, custom compounding, and travel health, as well as diabetes and chronic disease management education. She prides herself on staying up-to-date with the latest pharmacy practices and procedures and is an expert in custom compounding techniques and knowledge.


INN does not provide investment advice and the information on this profile should not be considered a recommendation to buy or sell any security. INN does not endorse or recommend the business, products, services or securities of any company profiled.

The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with Levitee Labs and seek advice from a qualified investment advisor.

*Disclaimer: This profile is sponsored by Levitee Labs ( LVT:CC ). This profile provides information which was sourced by the Investing News Network (INN) and approved by Levitee Labs in order to help investors learn more about the company. Levitee Labs is a client of INN. The company's campaign fees pay for INN to create and update this profile.

INN does not provide investment advice and the information on this profile should not be considered a recommendation to buy or sell any security. INN does not endorse or recommend the business, products, services or securities of any company profiled.

The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with Levitee Labs and seek advice from a qualified investment advisor.

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