Shares of InMed Pharmaceuticals Inc. (NASDAQ:INM) climbed 115% on Tuesday after the company announced it had entered into a definitive all-stock merger agreement with privately held Mentari Therapeutics Inc., a biotechnology firm developing therapies aimed at preventing migraine.
Under the terms of the deal, Mentari’s migraine-focused drug candidates will be combined with InMed’s public-market platform. The merged company will operate under the Mentari Therapeutics name and is slated to trade on the Nasdaq Capital Market under a new ticker symbol once the transaction is completed.
Pro forma, the combined entity is projected to have an equity value of about $421.4 million. As part of the transaction, pre-merger shareholders of InMed are expected to own approximately 1.51% of the new company.
Financing and capitalization
The acquisition will be accompanied by a private placement led by Fairmount, with additional participation from Commodore Capital, Deep Track Capital, Janus Henderson Investors, a16z Bio + Health, and other investment firms. That private placement is expected to generate roughly $290 million in gross proceeds and is intended to fully fund the company’s operations through 2028.
Mentari’s development programs and timelines
Mentari’s clinical pipeline includes MT-001, an anti-PACAP monoclonal antibody, and MT-002, a bispecific antibody targeting both CGRP and PACAP. MT-001 has a Phase 2a proof-of-concept data milestone expected in 2028, while MT-002 has Phase 1 data anticipated in 2027. The first-in-human regulatory filings for MT-001 and MT-002 are expected in mid-2026 and the first quarter of 2027, respectively.
The programs are aimed at validated mechanisms in migraine biology. The companies highlighted the continuing unmet need in migraine care, noting that roughly 40% to 50% of patients treated with current approved therapies do not achieve a 50% reduction in monthly migraine days.
Approvals, timeline and advisors
Boards of directors for both companies have approved the transaction. The closing is anticipated in the second half of 2026 and remains contingent on stockholder approval and customary closing conditions.
Lucid Capital Markets is acting as financial advisor to InMed, while Wedbush Securities is the exclusive strategic financial advisor to Mentari.