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Health

Derek Rose

ASX drug companies applaud TGA's psychedelic ruling

TGA ASX Australia Reset University of Western Australia

Little Green Pharma plans a clinical trial to evaluate the use of psilocybin to treat depression. (PR HANDOUT IMAGE PHOTO) (AAP)

ASX-listed small-cap drug companies are soaring as two firms announce plans to take advantage of Australia's medical regulator relaxing the rules around two mind-altering drugs.

The Therapeutic Goods Administration on Friday announced it was down-scheduling psilocybin and MDMA, allowing both to dispensed as of July 1 by authorised psychiatrists to treat certain mental health conditions.

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