Proceeds from the fund's investment will support Diamond's collaboration with UAB on an investigator-led clinical trial of low-dose psilocybin to treat demoralization. The study has received FDA authorization. Noted UAB psychedelic researcher Dr. Peter Hendricks will be the principal investigator.

FAV LS Fund I is dedicated to investing in early-stage drugs, therapies and devices developed at UAB and in Birmingham.

"We are delighted to support Diamond in their important and innovative work with UAB and Dr. Peter Hendricks," says fund manager Mike Goodrich. "Our investment in Diamond and UAB's pioneering study of the effects of low doses of psilocybin on demoralization has the potential to offer new hope to the many people suffering from mood disorders."

"We are most grateful for First Avenue's support," says Judith Blumstock, CEO and Founder of Diamond. "The work we are doing with Dr. Hendricks and UAB is the first of its kind. There are no other studies examining the effects of psychedelics on demoralization. The fund's support will help advance our work to the next level, bringing us closer to our goal of offering patients new and better treatments."