AbbVie Bets $1.2 Billion on Psychedelic Depression Drug to Boost Mental Health Pipeline

AbbVie (ABBV) is making a bold $1.2 billion wager on the future of psychedelic medicine, acquiring Gilgamesh Pharmaceuticals' lead drug program. The deal hinges on bretisilocin, a serotonin-targeting compound currently in Phase 2 trials for major depressive disorder. This MOVE signals Big Pharma's growing confidence in next-generation mental health treatments.

The experimental therapy represents a strategic pivot for AbbVie as it rebuilds its pipeline. Bretisilocin's modified psychedelic profile—designed to shorten psychoactive duration while maintaining therapeutic benefits—addresses key limitations of traditional psychedelic therapies. Early data shows promise: a single 10 mg dose demonstrated a 21.6-point reduction in depression scores within two weeks, nearly doubling the effect of lower doses.

Gilgamesh will spin out as a separate entity under the transaction, preserving its research pipeline while AbbVie gains commercial rights. The structured deal includes upfront payments and development milestones, reflecting cautious Optimism about the drug's path through clinical trials.