Incannex Healthcare unveils plans for Australia’s first psychedelic therapy clinic

Incannex Healthcare (ASX: IHL) has broken new ground in the emerging field of psychedelic therapies by signing a lease for Australia’s first psychedelic-assisted psychotherapy clinic.

Via its subsidiary Clarion Clinics Group, Incannex has secured space for its ‘model’ clinic in riverfront premises in Abbotsford, in inner-city Melbourne. Fit-out and commissioning of the space is due to start shortly, with completion by August 2023.

Designed as a commercial-scale prototype, the clinic will have the capacity to service more than 600 patients per year in normal working hours, based on a ten-week treatment program – and more with extended hours.

Scalable model

The clinic is designed to be scaled up and replicated in other locations.

“We’re delighted to be at the forefront of an industry that has the potential to change the lives of thousands of people who have been living with conditions for which there have been no adequate treatment options,” said Incannex chief executive Joel Latham.

Peter Widdows, the director of Incannex’s psychedelic clinics business said the pioneering venture would implement best practice in psychedelic treatment for those suffering “intractable” mental health conditions.

“Alone it is a substantial business opportunity and has the potential to expand into a very sizeable venture with the subsequent planned roll-out of numerous clinics,” he said.

Eyeing a $60 billion market

While there are no approved local therapies, the psychedelics market is expected to be worth more than $2 billion here – and as much as $60 billion globally.

Incannex’s psychedelic therapy plans were expanded after the local Therapeutics Goods Administration “down scheduled” psilocybin (commonly known as magic mushrooms) for treatment-resistant depression, as well as MDMA (also known as Molly or ecstasy) for post-traumatic stress disorder.

Effective from July 1, down scheduling means the substances can be administered by authorised psychiatrists for these two conditions.

Prior to that, the company planned to use only ketamine-assisted psychotherapy.

Validated by sector heavyweights

Incannex has secured the services of three of Australia’s leading clinical psychedelic professionals, all of whom have extensive experience within clinical psychedelic research, treatment and training.

They are D. Paul Liknaitzky, professor Suresh Sundram and Sean O’Carroll, who will join the board of Clarion Clinics Group and Clarion Model Clinic and take key executive roles.

Dr Liknaitzky’s work has focused on creating innovative psychedelic therapies and applying research findings.

Prof Sundram is an accomplished consultant psychiatrist while Mr O’Carroll is an integrative psychotherapist and academic specialising in experiential, relational and transpersonal psychotherapy.

In clinical stage, Incannex is developing both medicinal cannabis pharmaceutical products and psychedelic treatments for conditions including obstructive sleep apnoea, traumatic brain injury and concussion, lung inflammation, anxiety, pain and addiction.