Privately-held PurMinds BioPharma (Burlington, Ontario, Canada), which specializes in developing therapies for neurodegenerative diseases, has completed a strategic equity investment in IMIO Life Ltd., a subsidiary of Tel Aviv–based Nextage Therapeutics Ltd. (TASE:NXTG).

While IMIO Life Ltd. is focused on developing psychedelic-based therapeutics, PurMinds notes that its collaboration with the company will focus on optimizing the delivery and bioavailability of both psychedelic and non-psychedelic drug candidates. The partnership will also draw on Nextage Therapeutics’ expertise with patented brain-targeting liposome system (BTLS) delivery technology.

The companies believe the patented technology liposomal drug delivery system can optimize the delivery of active pharmaceutical ingredients past the blood-brain barrier while decreasing the delivery of those ingredients outside the brain.

PurMinds and IMIO will split development costs and intellectual property based on the partnership.

The partnership will also draw on the capabilities of Nextage Therapeutics’ parent company, an Israel-based full-service, cGMP-compliant drug development company.