NEW YORK, March 11, 2026 (GLOBE NEWSWIRE) -- Psyence Biomedical Ltd. (NASDAQ:PBM) ("Psyence BioMed" or the "Company") today reinforced how its strategic investment in PsyLabs strengthens its control over pharmaceutical-grade manufacturing and commercial supply chain infrastructure – a critical differentiator in the rapidly expanding psychedelic pharmaceutical sector.

Through its investment in PsyLabs, Psyence BioMed has secured:

A licensed, owned, and debt-free production operation.
Source-level ibogaine supply.
Natural psilocybin supply.
GMP-compliant manufacturing capabilities.
Intellectual property protection.
Integrated analytical and chemistry laboratory infrastructure.
A capital structure with no corporate debt.

As the psychedelic therapeutics sector matures, scalable pharmaceutical-grade manufacturing has become one of the most significant barriers to entry. PsyLabs operates fully compliant production and laboratory facilities capable of supplying pharmaceutical-grade natural compounds at scale, positioning Psyence BioMed with infrastructure built for sustained execution and long-term competitiveness.

The recent export of PsyLabs' first clinical trial product to Australia supports the Company's belief this vertically integrated model is operational and commercially ready. By controlling manufacturing, quality, and regulatory supply, the Company materially reduces execution risk while strengthening commercialization preparedness. This alignment of GMP-compliant product supply with clinical expertise directly supports the generation of real-world validation data through its ongoing Phase IIb trial for adjustment disorder in palliative care.

Facility and laboratory operations can be viewed here:

PsyLabs Laboratory: https://vimeo.com/992901896/2d6ff7e8b9

PsyLabs Production Facility: https://vimeo.com/1007910372?fl=ip&fe=ec

A Disciplined Capital Allocation Strategy

Psyence BioMed operates with a disciplined capital allocation framework centered on long-term value creation and operational integrity. The Company prioritizes investment in clinical advancement, manufacturing infrastructure, and operational execution over promotional spending. Equity issuance is undertaken only when strategically accretive, executive compensation is aligned with performance, and financing decisions are structured to avoid unnecessary dilution or burdensome debt. This approach reflects a commitment to financial stewardship, balance sheet strength, and sustainable growth.

"Our responsibility is to be disciplined custodians of shareholder capital," said Jody Aufrichtig, Chief Executive Officer of Psyence BioMed. "We are focused on building infrastructure, advancing our programs, and strengthening our manufacturing alignment. Sustainable growth comes from fundamentals – not promotion."

This disciplined foundation supports the Company's broader objective: building a durable pharmaceutical enterprise designed for long-term impact. Psyence BioMed is focused on strengthening its team, partners, and ecosystem, recognizing that enduring success is shared. The Company places equal importance on delivering shareholder returns and advancing therapies that positively impact patients and communities, including the development of a compassionate pricing framework to support fair and responsible access as commercialization progresses.

Market Dynamics Favor Pharmaceutical Infrastructure

With the global psychedelic drugs market projected to reach $8.75 billion by 2031, growing at a CAGR of 13.55%, companies controlling standardized pharmaceutical manufacturing and intellectual property are best positioned to generate durable enterprise value.¹

Hospital pharmacies managed nearly 60% of psychedelic drug distribution in 2025, underscoring the importance of pharmaceutical-grade supply chains.²
Major pharmaceutical companies have entered the sector through compound acquisitions rather than clinic-based models.³
GMP standards and IP protection continue to create meaningful competitive barriers.
Regulatory-compliant traceability systems reduce variability risk and support scalable distribution.

Through its investment in PsyLabs, Psyence BioMed has secured GMP-compliant production capabilities across both psilocybin and ibogaine, supporting clinical continuity while preparing for future commercial-scale supply.

"In emerging therapeutic categories, infrastructure is strategy," said Aufrichtig. "Our investment in PsyLabs reinforces our commitment to building Psyence BioMed on a durable pharmaceutical foundation. We believe long-term growth will favor companies that prioritize operational discipline and regulatory-grade standards."

He added, "I believe the strongest companies are built on the right foundations long before their moment arrives, by focusing on fundamentals and preparing carefully for what lies ahead."

Financial Strength and Growth Positioning

Psyence BioMed is executing its strategy from a position of financial stability. The Company is well capitalized, carries no corporate debt, and is supported by an experienced executive team advancing an integrated psilocybin and ibogaine development strategy under a clear regulatory and commercialization roadmap.

As institutional investors increasingly assess infrastructure-backed psychedelic platforms, Psyence BioMed believes its alignment with PsyLabs enhances its competitive positioning within the sector and supports long-term shareholder value creation.

Changes to the Management Team

Effective February 20, 2026, Seth Feuerstein resigned as a director of the Company. The resulting vacancy has been filled by the appointment of Sashank Pillay. Mr. Pillay has served as country manager and community and government relations liaison for governmentally licensed psilocybin cultivation and production facilities in Southern Africa. Following the Company's sizable investment in PsyLabs, the Company welcomes Mr. Pillay to the Board of Directors and believes his position on the Board shall be valuable to the Company given his experience in cultivation and production project execution, design, construction, operations management and logistics, and knowledge of international controlled substance regulatory frameworks, quality management, logistics and supply chain management and customs and import/export facilitation.

Learn more at http://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 sustained execution and long-term competitiveness of the Company, the operational and commercially readiness of the Company's vertically integrated model, the reduction of strategy execution risk, and the advancement of the Company's product and clinical development programme. These statements are based on current assumptions and expectations, including assumptions that there will be no delays in the execution of the Phase IIb clinical trial implementation schedule, the Company will retain all such regulatory and other consents required to complete the trial, PsyLabs will maintain its production standards, and the demand for psychedelic-assisted therapy will continue to increase. These assumptions may prove incorrect. There can be no assurance as to when a share consolidation will be implemented, if at all. 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; (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.

¹ Mordorintelligence.com

² Mordorintelligence.com

³ Stat +

Corporate Update: Psyence BioMed Advances Vertically Integrated Pharmaceutical Platform Following PsyLabs Export Milestone