Lattice Biologics Announces New Private Placement

SCOTTSDALE, AZ--(Marketwired - January 19, 2017) -

NOT FOR DISSEMINATION IN THE US OR THROUGH US NEWSWIRE SERVICES

Lattice Biologics Ltd. (TSX VENTURE: LBL) (OTCBB: LBLTF) ("Lattice Biologics" or the "Company") is pleased to announce a new private placement of Units of the Company ("Units") at a price of Can$0.20 per Unit, for gross proceeds of up to US$800,000 (the "Offering").

Each Unit consists of one common share in the capital stock of the Company ("Common Share") and one-half of one non-transferable common share purchase warrant (a "Warrant"). Each whole Warrant is exercisable into an additional Common Share at a price of Can$0.265 per Common Share for a period of 36 months from the date of closing the Offering.

The proceeds from the Offering will be used for general working capital, including increasing production of Lattice Biologics' recently launched 100% natural, minimally processed amniotic fluid supplement for the treatment of joint pain associated with Osteoarthritis.

The Offering is subject to TSX Venture Exchange acceptance.

This is the latest development in the Company's ongoing forward momentum. The announcement follows on the heels of the Company's recent elimination of US$667,252 of outstanding debt (announced on December 8, 2016). Additionally, this development supports the Company's ongoing R&D efforts, including advancement for its LatBioGel, a revolutionary product powered by Lattice Biologics' proprietary extracellular matrix (ECM) technology. LatBioGel's innovation lies in its ability to accurately recreate complex tumor microenvironments for more accurate chemotherapy analysis.

Lattice Biologics Ltd.

Guy Cook,
Chief Executive Officer
Telephone No: [phone]

About Lattice Biologics Ltd.:
Lattice Biologics Ltd. is an emerging precision medicine leader in the field of cellular therapies and tissue engineering, with an emphasis on bone, skin, and cartilage regeneration. As a manufacturer of the highest quality allografts, Lattice is focused on next generation products to improve surgical outcomes.

Versatile allografts for a variety of surgical applications:

• Enhancing fusion in spine surgery
• Enhancing breast reconstruction post mastectomy for breast cancer patients
• Sports medicine indications, including ACL repair
• Promotion of bone regeneration in foot and ankle surgery
• Promotion of cranial healing following neurosurgery
• Enhancing wound repair in burn victims
• Subchondral bone defect repair in knee and other joint surgeries

The Company is currently exploring new technologies in regenerative and personalized medicine: