XTLB Stock Surges 90%, Breaches 200-DMA For First Time In Over 3 Months – Here’s What The Acquisition Of Psyga Bio Brings To The Table

• Psyga Bio has seven approved Phase 2 clinical trials across areas such as mental health, addiction, and neurological disorders.
• The deal also includes a licensed manufacturing facility capable of producing pharmaceutical-grade psychedelic compounds.
• The deal comes days after the U.S. expedited the research and treatment using psychedelic therapies.

Shares of XTL Biopharmaceuticals (XTLB) surged more than 90% on Wednesday, breaching the 200-day moving average for the first time in more than three months, after the biotech firm signaled a major move into the fast-growing psychedelic medicine industry by announcing the acquisition of Psyga Bio.

XTLB shares recorded their biggest single-day jump since Dec. 26, 2026.

Expansion Into Psychedelic Therapeutics

The acquisition will give XTL full ownership of Psyga, a company focused on developing treatments derived from psychedelic compounds like Psilocybin and Ibogaine. Psyga brings a strong pipeline, including seven approved Phase 2 clinical trials that are expected to begin patient enrollment soon across areas such as mental health, addiction, and neurological disorders.

The deal also includes a licensed manufacturing facility capable of producing pharmaceutical-grade psychedelic compounds.

Under the agreement, Psyga shareholders will receive equity representing 40% of XTL, with additional shares tied to key clinical and commercial milestones. No upfront cash payment will be made, the company said. Following the deal, Psyga will operate as a wholly owned subsidiary of XTL.

Regulatory Tailwinds Boost Sector

The deal comes as regulatory support for psychedelic therapies is gaining momentum in the U.S. On April 18, 2026, President Donald Trump signed an order directing the U.S. Food and Drug Administration (FDA) to expedite research, approvals, and access to treatments such as Psilocybin and Ibogaine.

Soon after, the FDA introduced faster review pathways and priority actions for these therapies, improving the sector's outlook. The agency said this move will help expand the use of psychedelic-based medicines for conditions such as PTSD, treatment-resistant depression, and major depressive disorder.

How Did Retail Traders React?

Retail sentiment on Stocktwits turned ‘extremely bullish’ from ‘neutral’ a day earlier, amid ‘extremely high’ message volumes.

One user highlighted a flag pattern on the charts and added that if the stock breaks above $4.30, a major upside is on the cards.

The stock has gained around 34% so far this year.

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