Psychedelic drug developers rally after Trump orders FDA to expedite reviews

HealthInternationalPsychedelic drug developers rally after Trump orders FDA to expedite reviewsBy Reuters -Apr 21, 2026Shares of psychedelic drug developers rose on Monday after US President ​Donald Trump signed an executive order directing health regulators to speed up reviews ‌of psychedelic treatments and increased federal funding for their research. Shares of AtaiBeckley  jumped 28% in morning trading, while Compass Pathways climbed 37%, Enveric BioSciences surged 140% and GH Research rose 24%. Definium Therapeutics gained 4% while US‑listed shares of Cybin, were up about 5%. The ​executive order, issued on Saturday, requires the US Food and Drug Administration to fast-track reviews ​of psychedelic compounds such as ibogaine, which is being studied to treat mental health conditions including post-traumatic stress disorder, ⁠depression and addiction. The order directs the agency to give Commissioner’s National Priority Vouchers to psychedelic drugs ​that have the “breakthrough therapy” tag, potentially cutting the review time to one to two months from the ​usual six to 10 months. Trump also said the government would allocate $50 million for federal research into ibogaine. Executives across the psychedelics industry welcomed the decision, saying clearer federal support could help accelerate research and responsible ​clinical use. Oppenheimer analysts called the development “a structural inflection for the U.S. psychedelics sector,” while ​Jefferies analyst Andrew Tsai called it the administration’s “official stamp of validation to the class (of drugs).” FDA Commissioner Marty ‌Makary ⁠on Saturday said decisions on the drugs could come as soon as this summer. Ibogaine is derived from a shrub native to Africa and is classified as a Schedule I substance in the U.S., meaning it is considered to have no accepted medical use. According to ​RBC analyst Brian Abrahams, the ​signing of the ⁠executive order is “a substantial step towards diminishing regulatory risk in this...