Psyence BioMed Approves Put Option Agreement with PsyLabs to Secure Strategic Supply and Strengthen Commercialization Pathway

Rhea-AI Summary

Psyence BioMed (Nasdaq: PBM) approved a Put Option Agreement with PsyLabs on Feb 13, 2026 to secure long-term access to GMP pharmaceutical-grade psilocybin and ibogaine supply while preserving near-term cash. The option allows PsyLabs to require a future share-for-share equity investment at fair market value, and the Board formed a Special Committee and relied on an independent valuation.

Positive

• Secures predictable supply of pharmaceutical-grade psychedelics
• Put option preserves near-term cash by deferring upfront equity investment
• Structured pathway to acquire a significant equity stake in PsyLabs
• Special Committee review with an independent third-party valuation

Negative

• Key executives provide consulting to PsyLabs and collectively own less than 13% of PsyLabs
• Agreement creates dependency on a single manufacturer, raising supply concentration risk
• Put option may require future equity investment, posing potential dilution or capital need

News Market Reaction

+9.96%

8 alerts

+9.96% News Effect

+4.2% Peak in 6 hr

+$284K Valuation Impact

$3M Market Cap

0.1x Rel. Volume

On the day this news was published, PBM gained 9.96%, reflecting a notable positive market reaction. Argus tracked a peak move of +4.2% during that session. Our momentum scanner triggered 8 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $284K to the company's valuation, bringing the market cap to $3M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

PsyLabs ownership: less than 13%

1 metrics

PsyLabs ownership less than 13% Collective ownership of PsyLabs shares by certain Psyence BioMed executives

Market Reality Check

Price: $3.09 Vol: Volume 89,286 is below th...

low vol

$3.09 Last Close

Volume Volume 89,286 is below the 20-day average of 384,134 (relative volume 0.23x). low

Technical Shares closed at 3.09, trading below the 200-day MA of 20.44 and 95.88% under the 52-week high.

Peers on Argus

PBM gained 9.96% while Argus momentum data flags a broader biotech move: 1 peer ...

1 Up 2 Down

PBM gained 9.96% while Argus momentum data flags a broader biotech move: 1 peer up and 2 down (median move about -5.0%). Other close peers show mixed moves, from -0.96% (GTBP) to 18.98% (SLRX).

Historical Context

5 past events · Latest: Feb 11 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Feb 11	Litigation settlement	Neutral	-6.9%	Resolved KAOS Capital shareholder claim with US $1.5M payment and share sale terms.
Jan 28	Reverse split timing	Negative	+22.0%	Announced Feb 2 effective date for 1-for-6.25 reverse stock split and share consolidation.
Jan 22	Meeting adjournment	Negative	-12.7%	Adjourned shareholder meeting due to lack of quorum and rescheduled to Feb 12, 2026.
Jan 20	Split postponement	Neutral	-79.2%	Postponed previously announced 1-for-6.25 reverse split effective date, keeping trading unadjusted.
Jan 14	Reverse split approval	Negative	-0.5%	Approved 1-for-6.25 reverse stock split and detailed post-consolidation share count changes.

Pattern Detected

Recent news around capital structure, governance, and litigation has produced volatile and sometimes sharply negative reactions, especially around reverse split timing and meeting logistics.

Recent Company History

Over the last month, Psyence BioMed has focused on capital structure and governance. Multiple announcements around a 1-for-6.25 reverse stock split on Jan 14, a postponement on Jan 20, and an updated effective date on Jan 28 were followed by highly volatile price moves, including a -79.2% reaction to the postponement. The company also faced shareholder litigation, settling a KAOS Capital claim on Feb 11 with a payment of US $1,500,000. Today’s strategic manufacturing and supply agreement contrasts with these prior governance- and structure-heavy headlines.

Market Pulse Summary

The stock moved +10.0% in the session following this news. A strong positive reaction aligns with th...

Analysis

The stock moved +10.0% in the session following this news. A strong positive reaction aligns with the strategic nature of this supply and equity pathway, especially given PBM traded about 95.88% below its 52‑week high and below its 20.44 200‑day MA beforehand. Past governance and capital-structure headlines have produced volatile and sometimes negative reactions. Investors have also seen rapid swings around reverse split news, so any strength could be sensitive to shifts in sentiment on execution, governance, or future capital decisions.

Key Terms

put option agreement, arm’s length, fair market value, gmp-compliant, +3 more

7 terms

put option agreement financial

"has ratified the entry into a put option agreement (the “Put Option Agreement”) with PsyLabs"

A put option agreement is a contract that gives its holder the right to sell a specified number of shares at an agreed price within a set period. Think of it like an insurance policy that guarantees you can offload stock at a known price if the market falls; for investors it provides downside protection but can also create obligations for the counterparty (often the company) to buy back shares, which can affect cash flows and ownership stakes.

arm’s length financial

"by way of a share-for-share exchange at arm’s length and at fair market value"

An arm’s length transaction is a deal made between parties who act independently and in their own self-interest, without special ties or pressure that could skew price or terms. Investors care because such deals are more likely to reflect a fair market value—like buying a used car from a stranger rather than getting a special family discount—and therefore give a clearer picture of a company’s true financial position and potential conflicts of interest.

fair market value financial

"by way of a share-for-share exchange at arm’s length and at fair market value"

The price a willing buyer and a willing seller would agree on for an asset or security when neither is under pressure and both have access to the same information. Think of it as the market’s neutral estimate of what something is worth, like the price two neighbors would settle on for a car after comparing similar listings. Investors care because fair market value guides buying and selling decisions, tax reporting, portfolio valuation, and how accurately company assets are reflected in financial statements.

gmp-compliant medical

"with demonstrated expertise in scalable, GMP-compliant production"

Good Manufacturing Practice (GMP) compliant means a maker follows established, inspectable rules for producing medicines, medical devices, or other regulated products so each batch is safe, consistent and of expected quality. For investors, GMP compliance lowers the chance of regulatory shutdowns, recalls or delays and increases the likelihood products can be sold; think of it as a verified recipe and checklist that keeps a factory from making faulty batches.

psilocybin medical

"advancing nature-derived psilocybin and ibogaine therapies for unmet mental health needs"

A naturally occurring psychedelic compound found in certain mushrooms that alters perception, mood and consciousness; when taken the body converts it into an active substance that produces short-term hallucinogenic effects. Investors watch psilocybin because researchers and drug developers are exploring it as a potential treatment for depression, PTSD and other mental health conditions, so clinical trial results, regulatory decisions and changing stigma can create large commercial opportunities or risks—think of it as a new drug category whose approval pathway can drive big swings in company value.

ibogaine medical

"advancing nature-derived psilocybin and ibogaine therapies for unmet mental health needs"

A naturally derived psychoactive compound used experimentally to treat substance use disorders and certain mental health conditions; it acts on the brain to reduce cravings and withdrawal symptoms. Investors care because a successful, approved therapy could open a new treatment market, while safety concerns, mixed clinical evidence, and strict regulatory oversight create high development risk—think of it as an experimental key that may unlock value but must pass several safety locks first.

special committee financial

"the Board of Directors established a Special Committee comprised of two independent and disinterested directors"

A special committee is a group of people chosen by an organization to carefully examine a specific issue or problem, often when a decision could have significant consequences. Think of it as a task force brought together to investigate and recommend actions, ensuring that important matters are handled thoroughly and fairly. For investors, this means decisions are made with careful oversight, which can impact the organization's stability and future direction.

AI-generated analysis. Not financial advice.

The Put Option Agreement positions Psyence BioMed for potential significant future equity participation in one of the world's most advanced psychedelic pharmaceutical grade manufacturers, thereby securing predictable and reliable supply of pharmaceutical grade psychedelics, as the pathway to commercialization unfolds

NEW YORK, Feb. 13, 2026 (GLOBE NEWSWIRE) -- Psyence Biomedical Ltd. (Nasdaq: PBM) (“Psyence BioMed” or the “Company”), a biopharmaceutical company advancing nature-derived psilocybin and ibogaine therapies for unmet mental health needs, today announced that its board of directors has ratified the entry into a put option agreement (the “Put Option Agreement”) with PsyLabs, a leading developer and manufacturer of pharmaceutical-grade psychedelic compounds.

The Put Option Agreement grants PsyLabs the right, but not the obligation, to require the Company to make a further equity investment in PsyLabs by way of a share-for-share exchange at arm’s length and at fair market value, subject to the terms and conditions set out therein. The Put Option Agreement forms part of a broader strategic and commercial relationship between the parties, including licensing arrangements pursuant to which the Company may access PsyLabs' investigational and commercial-scale manufacturing capabilities.

PsyLabs is believed to be among the world’s most advanced manufacturers of pharmaceutical-grade psychedelic compounds, with demonstrated expertise in scalable, GMP-compliant production. The Put Option Agreement provides the Company with a structured opportunity to acquire a significant equity stake in PsyLabs as its development and commercialization strategy evolves, while securing predictable, reliable, and high-quality supply of critical pharmaceutical grade psychedelics in support of future clinical and commercial programs.

The agreement reflects the strategic value delivered by PsyLabs in accelerating the development of an alternative investigational product approved by the Australian regulator for clinical trials, which significantly de-risked the Company's clinical development pathway and mitigated supply-chain, regulatory, and execution risks. Structuring the arrangement through a put option enables the Company to preserve near-term financial flexibility in that the Company has secured strategic manufacturing access and long-term alignment without needing to deploy further significant capital upfront; thereby allowing the Company to preserve cash for clinical and regulatory execution as the pathway to commercialization unfolds.

Certain executives, including the Executive Chairman, the Chief Financial Officer and the General Counsel of the Company provide consulting services to PsyLabs in exchange for consulting fees. Collectively, such individuals own (directly and indirectly) less than 13% of the outstanding shares of PsyLabs. Certain of these individuals are also members of the board of directors of subsidiaries of PsyLabs for purposes of safeguarding the Company's investment into the PsyLabs group. In accordance with the Company's governance practices, the Board of Directors established a Special Committee comprised of two independent and disinterested directors to review and ratify the Put Option Agreement and the transactions contemplated therein. The Special Committee reviewed the terms of the Put Option Agreement, considered the commercial rationale for the transaction, and took into account, among other things, an independent third-party valuation of PsyLabs in reaching its determination.

About PsyLabs

PsyLabs is a psychedelic Active Pharmaceutical Ingredient (API) development company, federally licensed to cultivate, extract, and export psilocybin mushrooms and other psychedelic compounds including psilocin, mescaline, ibogaine, and dimethyltryptamine (DMT) to legal medical and research markets. The company has successfully exported psilocybin products to Canada, the UK, Portugal, and Slovenia, and supplies purified extracts to its UK-based CMO partner.

PsyLabs operates from an ISO 22000-certified facility audited by the British Standards Institution, ensuring the highest standards of safety and traceability. With a focus on natural compound purification, regulatory support, and global distribution, PsyLabs is expanding its product pipeline to include ibogaine and other next-generation psychedelics.

www.psylabs.life

About Psyence BioMed 

Psyence Biomedical Ltd. (Nasdaq: PBM) is one of the few multi-asset, vertically integrated biopharmaceutical companies specializing in psychedelic-based therapeutics. It is the first life sciences biotechnology company focused on developing nature-derived (non-synthetic) psilocybin and ibogaine-based psychedelic medicine to be listed on Nasdaq. We are dedicated to addressing unmet mental health needs. We are committed to an evidence-based approach in developing safe, effective, and FDA-approved nature-derived psychedelic treatments for a broad range of mental health disorders. 

Learn more at www.psyencebiomed.com and on LinkedIn.

Contact Information for Psyence Biomedical Ltd.
Email: ir@psyencebiomed.com
Media Inquiries: media@psyencebiomed.com
General Information: info@psyencebiomed.com

Investor Contact: 
Michael Kydd
Investor Relations Advisor
michael@psyencebiomed.com

Forward Looking Statements 

This communication contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about future financial and operating results, our plans, objectives, expectations, and intentions with respect to future operations, products and services; and other statements identified by words such as “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimated,” “believe,” “intend,” “plan,” “projection,” “outlook” or words of similar meaning. 

Forward-looking statements in this communication include statements regarding the Put Option Agreement with PsyLabs, including the potential exercise of the put option, any future equity investment by the Company in PsyLabs, anticipated access to PsyLabs’ investigational and commercial-scale manufacturing capabilities, expected supply arrangements for pharmaceutical-grade psychedelic compounds, the strategic and commercial benefits of the relationship, and the Company’s ability to advance its clinical development and commercialization strategy using PsyLabs as a supplier or strategic partner. These statements are based on current assumptions and expectations, including assumptions regarding the parties’ continued relationship, the satisfaction of contractual conditions, regulatory developments, the Company’s financial condition and capital resources, and the Company’s ability to maintain compliance with Nasdaq’s continued listing standards. These assumptions may prove incorrect. There can be no assurance that the Put Option Agreement will be exercised, that any equity investment will occur, that anticipated supply or manufacturing arrangements will be realized on the terms contemplated or at all, or that the Company will successfully advance its development or commercialization plans. There are numerous risks and uncertainties that may cause actual results or performance to differ materially from those expressed or implied by these forward-looking statements.

These risks and uncertainties include, among others: (i) the Company’s ability to maintain compliance with Nasdaq’s continued listing standards; (ii) potential volatility in the Company’s share price following the consolidation; (iii) changes in the regulatory, competitive, and economic landscape; and (iv) risks associated with the Company’s development plans and clinical trials. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of the Company’s final prospectus (File No. 333-298285) filed with the Securities and Exchange Commission (the “SEC”) on November 3, 2025 and other documents filed by Psyence BioMed from time to time with the SEC. 

These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Actual results and future events could differ materially from those anticipated in such statements. Nothing in this communication should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. Except as required by law, Psyence BioMed does not intend to update these forward-looking statements. 

The Company does not make any medical, treatment or health benefit claims about its proposed products. The U.S. Food and Drug Administration, Health Canada or other similar regulatory authorities have not evaluated claims regarding psilocybin, psilocybin analogues, or other psychedelic compounds or nutraceutical products. The efficacy of such products has not been confirmed by authorized clinical research. There is no assurance that the use of psilocybin, psilocybin analogues, or other psychedelic compounds or nutraceuticals can diagnose, treat, cure or prevent any disease or condition. Vigorous scientific research and clinical trials are needed. The Company has not conducted clinical trials for the use of the proposed products. Any references to quality, consistency, efficacy, and safety of potential products do not imply that the Company has verified such in clinical trials or that the Company will complete such trials. If the Company cannot obtain the approvals or research necessary to commercialize its business, it may have a material adverse effect on the Company’s performance and operations. 

FAQ

What does the Put Option Agreement mean for Psyence BioMed (PBM) shareholders?

It provides a structured option to acquire equity in PsyLabs while preserving cash now. According to the company, PsyLabs can require a share-for-share investment at fair market value, securing supply without immediate large capital outlays but possibly requiring future investment.

How does the agreement secure pharmaceutical-grade psilocybin supply for PBM?

It secures predictable access to GMP manufacturing capacity from PsyLabs. According to the company, licensing and manufacturing arrangements give PBM access to investigational and commercial-scale production supporting clinical and potential commercial programs.

Could the Put Option Agreement cause dilution for PBM shareholders?

Yes, the option could lead to future equity issuance if exercised by PsyLabs. According to the company, the agreement permits a share-for-share exchange at fair market value, which may require PBM to issue shares or make an equity investment later.

What governance steps did PBM take to approve the PsyLabs agreement (PBM)?

The Board formed a Special Committee of independent, disinterested directors to review and ratify the deal. According to the company, the committee considered commercial rationale and an independent third-party valuation in its determination.

Do any PBM executives have ties to PsyLabs that investors should know about?

Yes, certain executives provide consulting services to PsyLabs and receive fees, and collectively own under 13% of PsyLabs. According to the company, some serve on PsyLabs subsidiaries' boards to safeguard PBM's investment.