InMed Pharmaceuticals Inc. (NASDAQ: INM)

InMed Pharmaceuticals Inc. is a pharmaceutical company focused on developing proprietary small molecule drug candidates that act as preferential signaling ligands of the cannabinoid CB1 and CB2 receptors and other targets linked to human disease. The company also operates a wholly owned subsidiary BayMedica that manufactures and sells bulk rare cannabinoids for use in the health and wellness sector.

Revenue is generated from two main streams. The pharmaceutical segment aims to earn income through licensing partnerships, milestone payments, and future sales of approved drug candidates targeting Alzheimer’s disease, dry age related macular degeneration, and epidermolysis bullosa. The BayMedica segment derives revenue from business to business sales of bulk rare cannabinoids such as cannabichromene, cannabidivarin, tetrahydrocannabivarin, and cannabicitran to manufacturers of nutraceuticals, cosmetics, functional foods, beverages, and animal health products.

The company operates through the following segments: Pharmaceutical Therapeutics and BayMedica Commercial.

• Pharmaceutical Therapeutics: This segment focuses on the research development and preclinical and clinical advancement of proprietary small molecule drug candidates that modulate CB1 CB2 and other receptors to treat diseases with high unmet medical need including Alzheimer’s disease, dry age related macular degeneration, and epidermolysis bullosa.

• BayMedica Commercial: This segment manufactures and sells bulk rare cannabinoids such as cannabichromene, cannabidivarin, tetrahydrocannabivarin, and cannabicitran to business to business customers in the nutraceutical, cosmetic, functional food, beverage, and animal health industries.

InMed Pharmaceuticals Inc. occupies a niche position at the intersection of cannabinoid science and pharmaceutical development. In the Alzheimer’s disease space it competes with larger biotech firms such as Biogen Eli Lilly and Roche that focus on amyloid targeting antibodies but lack approved disease modifying therapies. The company’s advantage lies in its proprietary small molecule approach that may offer oral administration and a multi factorial mechanism of action involving CB1 CB2 and PPAR pathways. In the rare cannabinoid manufacturing arena BayMedica faces competition from other specialized chemical synthesis and biosynthesis firms but benefits from its integrated IntegraSyn platform and early mover status as a B2B supplier of non intoxicating rare cannabinoids.

The pharmaceutical segment’s prospective customers include pharmaceutical companies academic research institutions and patients who may eventually receive approved therapies. The BayMedica segment serves business to business clients such as manufacturers of dietary supplements topical cosmetics functional beverages and animal health supplements. These relationships are expected to support future revenue streams as the company advances its pipeline.