Aequus Announces Sale of Zimed PF to Luvo Medical Technologies

(TheNewswire)

VANCOUVER, May 23 rd , 2025 – TheNewswire - AequusPharmaceuticals Inc. (TSX-V: AQS) (“Aequus” or the “Company”),a specialty pharmaceutical company focused on bringing healthcaresolutions to Canadians through licensing and partnerships, and LuvoMedical Technologies Inc. (“Luvo”), today announce the signing ofan Asset Purchase Agreement for the sale of Zimed® PF (the“ Transaction ”).  Unless otherwise noted, all figures are in Canadiancurrency.

“Since Zimed® PF was launched in 2023 incollaboration with Medicom Healthcare Ltd, we’ve been pleased withthe positive impact it has had with Canadian Ophthalmologists andtheir patients. This transaction with Luvo will ensure consistentproduct supply to Canadians while significantly improving Aequus’financial outlook. We look forward to working with the Luvo team ontransitioning Zimed® PF operations. Aequus will be actively seekingopportunities to use the remaining company in strategic partnerships,or to pursue other future endeavors” said Doug Janzen, CEO ofAequus.

Under the terms of the agreement, Luvo will pay Aequusa lump sum payment of $400,000 at the closing of the transaction andan ongoing royalty of 6% on gross profit attributable to the sale of Zimed PF® (less certain costs andfees) until July 29 th , 2029.

Until closing, Luvo will be responsible for managingdistribution and commercialization efforts of Zimed® PF. If existinginventory is not depleted by closing, Luvo will purchase theoutstanding inventory.

The Transaction is expected to close in Q4 2025 uponthe transfer of the Drug Identification Number (DIN) and is subject tocertain closing conditions, including TSX Venture Exchange andshareholder approval. Aequus expects to call a special meeting ofshareholders to be held in Q3 2025 for approval of the Transaction.There is no guarantee that the Transaction will close on the terms setforth herein or at all. If, following closing of the Transaction, afuture strategic partnership or other transaction is not available,Aequus may pursue other alternatives including a potential wind-up ofoperations.

ABOUT LUVO MEDICAL TECHNOLOGIES INC.

Luvo Medical Technologies Inc. is a subsidiary ofClarion Medical Technologies Inc., a leading Canadian provider ofmedical equipment and consumables to aesthetic and vision providers inprivate clinics and hospitals.

ABOUT MEDICOM HEALTHCARE LTD

Medicom Healthcare Ltd is a UK-based specialtypharmaceutical company with a global presence specialising in highquality eyecare products designed to protect the cornea and treat dryeye syndrome, blepharitis and glaucoma.

ABOUT AEQUUS PHARMACEUTICALS INC.

Aequus Pharmaceuticals Inc. (TSX-V: AQS ) is a specialty pharmaceutical company, with a focus oncommercializing value-added products in specialty therapeutic areas inthe Canadian market.

FORWARD-LOOKINGSTATEMENT DISCLAIMER

This release may containforward-looking statements or forward-looking information underapplicable Canadian securities legislation that may not be based onhistorical fact, including, without limitation, statements containingthe words “believe”, “may”, “plan”, “will”,“estimate”, “continue”, “anticipate”, “intend”,“expect”, “potential” and similar expressions. Forward-lookingstatements are necessarily based on estimates and assumptions made byus in light of our experience and perception of historical trends,current conditions and expected future developments, as well as thefactors we believe are appropriate. Forward-looking statements includebut are not limited to statements relating to: the penetration andgrowth of ZIMED® PFfollowing its launch, expectations regarding prospects oropportunities in the market, the Company’s future objectives orplans, including the possibility of winding up of the Company, thebenefits of the transaction and improvement of Aequus’ financialoutlook, the anticipated meeting date in respect of the shareholdermeeting, completion of the transaction and the timing thereof. Suchstatements reflect our current views with respect to future events andare subject to risks and uncertainties and are necessarily based upona number of estimates and assumptions that, while consideredreasonable by Aequus, are inherently subject to significant business,economic, competitive, political and social uncertainties andcontingencies. Many factors could cause our actual results,performance or achievements to be materially different from any futureresults, performance, or achievements that may be expressed or impliedby such forward-looking statements. In making the forward-lookingstatements included in this release, the Company has made variousmaterial assumptions, including, but not limited to: obtainingregulatory and shareholder approvals; satisfaction of other conditions to theconsummation of the proposed transaction on the proposed terms andschedule; general businessand economic conditions; the Company’s ability to successfully outlicense or sell its current product and in-license or develop newproducts; the assumption that the Company’s current goodrelationships with third parties will be maintained; the availabilityof financing on reasonable terms; the Company’s ability to attractand retain skilled staff; market competition; the products andtechnology offered by the Company’s competitors; the impact ofglobal events on the Company’s operations; and the Company’sability to protect patents and proprietary rights. In evaluatingforward looking statements, current and prospective shareholdersshould specifically consider various factors set out herein and underthe heading “Risk Factors” in Aequus’ latest annualManagement’s Discussion and Analysis, a copy of which is availableon Aequus’ profile on SEDAR+ at www.sedarplus.ca and as otherwise disclosed from time totime on Aequus’ SEDAR+ profile. Should one or more of these risks oruncertainties, or a risk that is not currently known to usmaterialize, or should assumptions underlying those forward-lookingstatements prove incorrect, actual results may vary materially fromthose described herein. These forward-looking statements are made asof the date of this release and we do not intend, and do not assumeany obligation, to update these forward-looking statements, except asrequired by applicable securities laws. Investors are cautioned thatforward-looking statements are not guarantees of future performanceand are inherently uncertain. Accordingly, investors are cautioned notto put undue reliance on forward looking statements.

Neither TSX Venture Exchange nor its RegulationServices Provider (as that term is defined in policies of the TSXVenture Exchange) accepts responsibility for the adequacy or accuracyof this release.

CONTACT INFORMATION

Aequus Investor Relations

Email: investors@aequuspharma.ca

Phone: 604-336-7906

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