Investing.com -- Mind Medicine Inc (NASDAQ:MNMD) stock surged 9.6% Monday following news that New Jersey lawmakers have advanced a bill to provide regulated therapeutic access to psilocybin for adults with qualifying health conditions.
The legislation, which was favorably reported out by the Assembly Health Committee, would establish a framework for licensed psilocybin therapy in the state. The bill, sponsored by Democratic Assemblymembers Herb Conaway, Clinton Calabrese, and Anthony Verrelli, aims for enactment in the 2026 legislative session.
The amended bill would task the Department of Health with licensing and regulating psilocybin manufacturing, testing, transport, delivery, and sales. It establishes five license types: manufacturer, service center operator, testing laboratory, facilitator, and psilocybin worker.
A Psilocybin Advisory Board would determine qualifying medical conditions and develop guidelines for psilocybin services. The legislation also includes provisions for a social equity program to help low-income people access treatment.
While the current version removes earlier provisions that would have more broadly legalized psilocybin for adult use, it still represents significant progress for psychedelic therapy in the state.
Mind Medicine, a late-stage clinical biopharmaceutical company focused on brain health disorders, develops treatments targeting neurotransmitter pathways. The company’s stock benefited from the legislative advancement as it potentially expands the market for psychedelic therapies.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
