Pharmadrug Announces Closing of Sale of German Cannabis Assets


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Toronto, Ontario–(Newsfile Corp. – August 3, 2022) – PharmaDrug Inc. (CSE: PHRX) (OTCQB: LMLLF) (“Medication“or the”Company“), is pleased to announce that it has completed the previously announced sale (see press release dated May 31, 2022) of all issued and outstanding securities of Pharmadrug Production GmbH (“Pharmadrug GmbH“) to Khiron Life Sciences Corp. (TSXV: KHRN) (“Khiron“). the whole European Union.

Pursuant to the terms of the transaction, in consideration for acquiring all of the issued and outstanding shares of Pharmadrug GmbH, Khiron issued to Pharmadrug 5,500,000 common shares of the Company (at a deemed price of $0.16 per share ) and 468,750 additional common shares shares in connection with certain closing adjustments for a total of 5,968,750 common shares, as well as a non-interest bearing promissory note which was adjusted downward in accordance with certain closing adjustments for a total principal amount of $974,137. The promissory note is payable one year from the date of issue in cash or, at Khiron’s option, by the issuance of additional Khiron shares. Any issuance of shares of Khiron upon conversion of the promissory note will be subject to the prior approval of the TSX Venture Exchange.

A total of 5,000,000 Khiron shares issued in connection with the closing are subject to a lock-up agreement, under which Pharmadrug cannot transfer such shares without the consent of Khiron, a quarter of the total number of shares tendered shares being released every 90 days following the closing date (all these shares being released 360 days after the closing date).

Simplified biotechnology orientation

With the sale of the German asset now complete, PharmaDrug is taking another step towards streamlining its focus into a pure play biotech company. The company continues to advance PD-001, its patented version of cepharanthin, toward potential FDA clinical trials on the oncology and antiviral fronts. Management will update investors on the progress and progress made for both indications in the coming weeks.

The Company also continues to advance its psychedelic biotechnology program for the treatment of primary open-angle glaucoma (POAG). PharmaDrug’s DMT analog research program aimed to elect a drug development track based on biological potency and toxicity and use its development track to design a medical device capable of sustained drug delivery to the patient. front of the eye. The Company announced in a press release dated May 03, 2022 that it has selected its lead candidate and completed manufacturing and initial testing of its prototype medical device designed to locally deliver therapeutic amounts of its DMT analog to patients. with glaucoma. Management is currently taking steps to file for a provisional patent and will move into the next phase of development in the coming months.

About PharmaDrug Inc.

PharmaDrug is a specialty pharmaceutical company focused on the research, development and commercialization of controlled substances and natural medicines such as psychedelics, cannabis and approved medicines of natural origin. PharmaDrug owns 100% of Sairiyo Therapeutics Inc. (“Sairiyo”), a biotechnology company specializing in the research and reformulation of established natural medicines with the aim of bringing them through clinical trials and the regulatory approval process associated with United States and Europe. Sairiyo is currently developing its patented reformulation of cepharanthine, a drug that has shown substantial third-party validated potential for the treatment of Covid-19 and rare cancers. Sairiyo also conducts R&D activities in the field of psychedelics for the treatment of non-neuropsychiatric diseases. The company also owns 100% of Super Smart, a company building a vertically integrated retail business with the goal of elevating the use of functional mushrooms as natural medicines.

For more information, please contact:

Daniel Cohen, President and CEO
[email protected]
(647) 202-1824

Caution Regarding Forward-Looking Information:

THE CANADIAN STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE SUITABILITY OR ACCURACY OF THIS RELEASE.

This press release contains “forward-looking information” within the meaning of applicable securities laws. All statements, other than statements of historical fact, included herein are forward-looking information. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “anticipates”, “anticipates” or “does not expect”, “proposed”, “is planned”, “budgets”, ” intended”, “estimates”, “plans”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of these words and expressions, or by the use of words or phrases indicating that certain actions, events or results can, might, might occur or be achieved. In particular, this press release contains forward-looking information regarding: the development of the business. This forward-looking information reflects the Company’s current beliefs and is based on information currently available to the Company and on assumptions the Company believes are reasonable. These assumptions include, but are not limited to, the Company’s ability to execute its plans for the Company and its affiliated entities; the ability to obtain required regulatory approvals and the Company’s continued response and ability to navigate the COVID-19 pandemic is at or better than its ability and response to date.

Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied. by such forward-looking information. These risks and other factors may include, but are not limited to: general business, economic, competitive, political and social uncertainties; general capital market conditions and securities market prices; the actual results of future operations of the Company; competition; changes in legislation affecting the Company; the ability to obtain and maintain required permits and approvals, the timing and availability of external financing on acceptable terms; lack of skilled and skilled labor or loss of key individuals; risks related to the COVID-19 pandemic, including various recommendations, orders and measures by government authorities in an attempt to limit the pandemic, including travel restrictions, border closures, closures of non-essential businesses, service disruptions, quarantines, self-isolation, shelter-in-geographic and social distancing, disruptions in markets, economic activity, financing, supply chains and sales channels, and a deterioration in general economic conditions; and a deterioration in the financial markets which could limit the Company’s ability to obtain external financing.

A description of additional risk factors that could cause actual results to differ materially from the forward-looking information can be found in the Company’s disclosure documents on the SEDAR website at www.sedar.com. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information, there may be other factors that cause results not to be those anticipated, estimated or expected. Accordingly, readers should not place undue reliance on forward-looking information. Readers are cautioned that the above list of factors is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking information, as there can be no assurance that the plans, intentions or expectations upon which it is based will occur. Such information, although considered reasonable by management when prepared, may prove to be incorrect and actual results may differ materially from those anticipated.

The Company’s securities have not been registered under the US Securities Act of 1933, as amended (the “US Securities Act”), or applicable state securities laws, and may not be offered or sold to , or for the account or benefit of, persons in the United States or “US Persons”, as that term is defined in the Regulations under the US Securities Act, in the absence of registration or an applicable exemption these registration requirements. This press release does not constitute an offer to sell or the solicitation of an offer to buy and there will be no sale of the securities in the United States or in any jurisdiction in which such offer, solicitation or sale would be unlawful. .

The forward-looking information contained in this press release is expressly qualified by this cautionary statement. The forward-looking information contained in this press release represents the Company’s expectations as of the date of this press release and, accordingly, is subject to change after such date. However, the Company expressly disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by securities laws. applicable securities.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/132689