Artelo Biosciences, Inc. (ARTL): History, Ownership, Mission, How It Works & Makes Money

Ever wondered how a clinical-stage company like Artelo Biosciences, Inc. navigates the complex world of cannabinoid therapeutics development, reporting a net loss of $2.5 million in Q1 2024 alone?

This focused biotech is advancing novel candidates like ART27.13 for cancer-related anorexia through critical clinical trials, backed by R&D spending reaching $1.3 million in the first quarter of 2024.

With $6.1 million in cash reserves as of March 31, 2024, Artelo operates leanly while aiming for significant breakthroughs in patient care.

Are you prepared to understand the strategic decisions and operational framework driving this high-potential, high-risk venture?

Let's explore the foundations of Artelo: its history, who holds the reins, its core mission, and the intricate mechanics of how it functions and secures funding in the demanding biopharmaceutical landscape.

Artelo Biosciences, Inc. (ARTL) History

Artelo Biosciences emerged onto the biopharmaceutical scene aiming to develop cannabinoid-based therapeutics. Its journey reflects the challenges and milestones typical of clinical-stage companies navigating drug development.

Artelo Biosciences, Inc.'s Founding Timeline

Year established

2017 (Formed through the acquisition of Artelo Biosciences, Inc., a Nevada corporation, by Trinity Acquisition Plc, subsequently renamed Artelo Biosciences, Inc., a UK entity which later re-domiciled to Delaware)

Original location

Initial operations centered around La Jolla, California, USA.

Founding team members

Key figures involved in the transition and early leadership included Gregory D. Gorgas, serving as President and CEO.

Initial capital/funding

The company went public via a reverse merger transaction. Initial funding involved proceeds related to this transaction and subsequent private placements and offerings designed to fuel research and development activities.

Artelo Biosciences, Inc.'s Evolution Milestones

Artelo Biosciences, Inc.'s Transformative Moments

Acquisition of Lead Asset

Securing the rights to ART27.13, a CB1/CB2 agonist previously developed by AstraZeneca, was fundamental. This provided Artelo with a clinical-stage asset, significantly accelerating its development timeline compared to starting from discovery.

Transition to Public Markets

Becoming a publicly traded entity in 2017-2018 offered a pathway to raise capital crucial for expensive clinical trials. However, it also introduced market pressures and the continuous need to communicate progress to investors. Understanding the Breaking Down Artelo Biosciences, Inc. (ARTL) Financial Health: Key Insights for Investors became paramount for stakeholders.

Initiation of the CAReS Study

Launching the Phase 1b/2a Cancer Appetite Recovery Study (CAReS) for ART27.13 represented a major operational and financial commitment. Its progress and eventual outcomes are pivotal to the company's valuation and future prospects through the end of 2024.

Artelo Biosciences, Inc. (ARTL) Ownership Structure

Artelo Biosciences operates as a publicly traded entity, meaning its ownership is distributed among various institutional investors, company insiders, and the general public. This structure influences governance and strategic decisions, reflecting a blend of professional management oversight and broad market participation.

Artelo Biosciences, Inc. Current Status

As of the close of the 2024 fiscal year, Artelo Biosciences, Inc. is a public company. Its common stock is listed and traded on the Nasdaq Capital Market under the ticker symbol ARTL.

Artelo Biosciences, Inc. Ownership Breakdown

The distribution of ownership provides insight into the company's stakeholder landscape. Based on filings and market data available approaching year-end 2024, the approximate ownership breakdown is as follows:

Note: Percentages are estimates based on available data leading into the end of 2024 and are subject to fluctuation.

Artelo Biosciences, Inc. Leadership

Guiding the company's strategy and operations is a dedicated leadership team. Understanding who is at the helm is crucial for assessing the company's direction and potential, aligning with the Mission Statement, Vision, & Core Values of Artelo Biosciences, Inc. (ARTL). Key figures steering Artelo Biosciences as of late 2024 include:

• Gregory D. Gorgas – President and Chief Executive Officer
• Dr. Andrew Yates – Chief Scientific Officer

This leadership team brings experience in biotechnology and pharmaceutical development, overseeing the company's research programs and corporate functions.

Artelo Biosciences, Inc. (ARTL) Mission and Values

Understanding a company's core purpose goes beyond just its product pipeline; it reveals its driving force and long-term direction. Artelo Biosciences is focused on developing novel therapies by leveraging the endocannabinoid system, aiming to address significant unmet medical needs.

Artelo Biosciences' Core Purpose

While Artelo Biosciences may not publicly list a traditional, distinct mission or vision statement like some larger corporations, its purpose is clearly communicated through its strategic focus and research endeavors. The company's actions demonstrate a commitment to scientific innovation in specific therapeutic areas. Understanding this direction is key for stakeholders, including those detailed in Exploring Artelo Biosciences, Inc. (ARTL) Investor Profile: Who’s Buying and Why?.

Implied Mission

Artelo's operational focus implies a mission centered on the discovery, development, and commercialization of innovative therapeutics that modulate the endocannabinoid system to treat cancer, pain, and inflammatory and neurological diseases. They strive to translate scientific understanding of cannabinoid signaling into meaningful treatments for patients.

Implied Vision

The company appears driven by a vision to become a leader in developing targeted cannabinoid-based medicines. Their goal is to build a robust pipeline addressing conditions where current treatments are inadequate, ultimately improving patient outcomes and quality of life through novel mechanisms of action.

Company Focus (in lieu of Slogan)

Artelo doesn't seem to utilize a specific public-facing slogan. However, its consistent messaging revolves around Targeting the Endocannabinoid System for Therapeutic Innovation.

Artelo Biosciences, Inc. (ARTL) How It Works

This biopharmaceutical company operates by identifying, developing, and preparing for the commercialization of therapeutic candidates targeting the endocannabinoid system. Its core function revolves around advancing these candidates through rigorous preclinical studies and human clinical trials to demonstrate safety and efficacy.

Artelo Biosciences, Inc.'s Product/Service Portfolio

Artelo Biosciences, Inc.'s Operational Framework

The company functions primarily as a research and development entity, dedicating significant resources to advancing its pipeline. Operations are heavily reliant on outsourcing key functions, particularly the execution of clinical trials to specialized Contract Research Organizations (CROs). Intellectual property management is central, protecting its novel therapeutic candidates. As a clinical-stage company without commercial products, funding operations hinges on capital raises; research and development expenses, a key operational cost, were approximately $1.5 million in the third quarter of 2024, indicating continued investment in its pipeline programs.

Artelo Biosciences, Inc.'s Strategic Advantages

Several factors underpin the company's approach and potential market position.

• Focusing on the endocannabinoid system provides access to a novel and potentially broad therapeutic target space.
• Targeting indications with significant unmet medical needs, such as cancer anorexia and CIPN, offers a clear path for value creation if clinical success is achieved.
• Its development candidates are protected by a growing intellectual property portfolio.
• Utilizing a lean, outsourced model for clinical development allows for operational flexibility and potentially lower fixed overhead costs compared to vertically integrated pharmaceutical companies.
• A deep dive into the company's financial standing is essential for a complete picture. You can explore Breaking Down Artelo Biosciences, Inc. (ARTL) Financial Health: Key Insights for Investors for more detailed analysis.

Artelo Biosciences, Inc. (ARTL) How It Makes Money

As a clinical-stage biopharmaceutical company, Artelo Biosciences currently generates minimal operational revenue; its activities are primarily funded through equity financing arrangements and potentially grant income rather than product sales.

Artelo Biosciences' Funding Sources (Reflecting Pre-Revenue Status)

Funding is crucial for advancing its research and development pipeline. The company relies heavily on external capital infusions.

Artelo Biosciences' Business Economics

The economic model centers on the high-cost, long-term development cycle of biopharmaceuticals. Key drivers include:

• Research & Development (R&D) Costs: Significant investment in preclinical studies and clinical trials for drug candidates like ART27.13. R&D expenses were approximately $5.9 million for the nine months ended September 30, 2024.
• Regulatory Approval Pathway: Costs associated with navigating FDA and other regulatory agency requirements.
• Intellectual Property: Investment in patent protection for its cannabinoid-based therapeutic candidates.
• Market Potential: Future revenue hinges on successful clinical trial outcomes, regulatory approvals, and market adoption of its therapies targeting cancer, pain, and other conditions. Mission Statement, Vision, & Core Values of Artelo Biosciences, Inc. (ARTL).

Artelo Biosciences' Financial Performance

As a development-stage company, financial performance focuses on capital management and expense control rather than profitability. Key metrics as of late 2024 reports (specifically, Q3 ending September 30, 2024) indicate:

• Net Loss: The company reported a net loss of approximately $9.0 million for the nine months ended September 30, 2024, reflecting substantial R&D and G&A spending without offsetting product revenue.
• General & Administrative (G&A) Expenses: Costs associated with running the company, totaling approximately $3.5 million for the nine months ended September 30, 2024.
• Cash Position: Cash and cash equivalents are critical for funding operations. As of September 30, 2024, the company held approximately $4.2 million. Maintaining sufficient cash runway through efficient spending and successful financing is paramount.
• Burn Rate: The rate at which the company uses its cash reserves dictates its operational runway before needing additional funding. This is closely monitored by management and investors.

Success hinges on advancing clinical programs efficiently and securing necessary capital until potential commercialization or partnerships generate revenue.

Artelo Biosciences, Inc. (ARTL) Market Position & Future Outlook

As a clinical-stage biopharmaceutical company, Artelo Biosciences focuses on developing cannabinoid-based therapeutics, positioning it in a high-growth but competitive niche; its future hinges critically on clinical trial outcomes and securing regulatory approvals for its pipeline candidates.

Competitive Landscape

Opportunities & Challenges

Industry Position

Within the biopharmaceutical industry, Artelo Biosciences operates as a developmental player specializing in modulating the endocannabinoid system. Its position is characterized by high-risk, high-reward research focused on niche indications with significant unmet medical needs. The company's success is directly tied to its ability to navigate the complex clinical and regulatory landscape, differentiating its candidates like ART27.13 and ART26.12 from competitors. Its strategy aligns with its Mission Statement, Vision, & Core Values of Artelo Biosciences, Inc. (ARTL). As of 2024, the company relies heavily on investor funding to progress its pipeline, typical for entities without commercial revenue streams. Its valuation and industry standing fluctuate based on clinical data releases and perceived potential of its therapeutic platform.