PharmaTher Announces Positive Research Results for PharmaPatch with N,N-dimethyltryptamine (DMT) and Strategic Investment into Sairiyo Therapeutics - Seite 2

The Company believes it has an acceptable prototype for completing IND-enabling studies with the aim of pursuing human clinical studies. In February 2023, the Company entered into a research collaboration with PharmaDrug Inc. (“PharmaDrug”) to evaluate a product and clinical development plan to initiate regulatory discussions for future clinical studies in various indications for a DMT PharmaPatch. The Company will invest three hundred thousand dollars (CAD 300,000) in Sairiyo Therapeutics Inc. (“Sairiyo”), a subsidiary of PharmaDrug Inc., for forty-nine (49%) ownership. In addition to developing cepharanthine for cancer and infectious diseases, Sairiyo is developing novel uses and delivery forms of DMT and other undisclosed psychedelic tryptamines as a potential treatment for ocular disease and neuropsychiatric conditions. The investment allocated to Sairiyo will be used to advance developments of cepharanthine and DMT PharmaPatch.

In connection with the investment, PharmaDrug and PharmaTher (the “Shareholders”) will enter into a unanimous shareholders agreement with respect to their holdings of Sairiyo. The shareholders agreement provides, among other things, that (i) so long as PharmaDrug owns a majority of the shares of Sairiyo it shall have the ability to appoint the officers of Sairiyo; (ii) the board of directors shall be comprised of three members a majority of whom are to be nominated by PharmaDrug for so long as it holds at least 50% of the outstanding shares of Sairiyo, with the initial board being comprised of Daniel Cohen and Paul McClory (as nominees of PharmaDrug) and Fabio Chianelli (as the nominee of PharmaTher); and (iii) the Shareholders shall be entitled to subscribe for new share issuances on a pro rata basis. In the event that PharmaDrug elects not to participate in any new issuance, PharmaTher may increase its ownership from 49% to 51% with an investment of $250,000. Either side may increase its ownership by 10% for additional $100,000 investments. Neither side may be diluted beyond a 10% carried interest.

About PharmaTher Holdings Ltd.

PharmaTher Holdings Ltd. (OTCQB: PHRRF) (CSE: PHRM) develops and commercializes specialty pharmaceuticals exhibiting growing adoption and permitting novel delivery methods to enhance patient outcomes. The Company’s lead product is KETARX (racemic ketamine) to fill the global unmet medical needs for anesthesia, sedation, pain, mental health, and neurological indications. The Company is commercializing PharmaPatch (microneedle patch) with its partners to deliver psychedelics and drugs to treat infectious diseases. Learn more at PharmaTher.com.