Theralase(R) Closes C$4.8 Million Offering

• Theralase Technologies Inc. closed a C$4.8 million private placement offering on May 20, 2026.
• The offering consisted of units priced at C$0.24 per unit (19,166,667 brokered + 673,624 non-brokered).
• Proceeds are designated for the Phase II bladder cancer clinical study (Study II), GLP toxicology analysis for Rutherrin®, and working capital.
• Insiders subscribed to C$37,269 worth of units, signaling management confidence in the company's near-term trajectory.
• The financing closes a previously announced brokered offering from May 5, 2026, which was intended to fund the same strategic initiatives.
• Warrants issued with the units have an exercise price of C$0.32 and expire in May 2031 (5-year term).

• Expected Nature: The news is classified as Routine - Positive because it represents the closing of a financing announced on May 5, 2026. The market was already aware of the capital raise requirement to fund the Phase II study and regulatory filings.
• Capital Adequacy: The C$4.8 million injection extends the company's runway through Q3 2026, enabling the planned New Drug Submission (NDS) and New Drug Application (NDA) filing with Health Canada and the FDA. This is critical for maintaining operational continuity without further immediate dilution.
• Pricing Context: The offering price of C$0.24 was slightly above the recent trading range (closing at $0.22 on May 19), which mitigates some downside pressure compared to a discounted private placement, though it still adds significant share count to the float.
• Clinical Progression: While the financing itself is routine, it directly enables the next major catalyst: the regulatory submission in Q3 2026. Without this capital, the timeline for approval would be jeopardized, making the funding material to the long-term thesis despite being a routine execution of strategy.
• Dilution Risk: The company has raised approximately C$7.5 million in equity over the past five months alone (including prior financings in March and April). This high frequency of capital raises indicates significant cash burn and potential shareholder dilution, which is a persistent negative factor for stock price appreciation.

• Company: Theralase Technologies Inc. focuses on light-activated drug therapies for cancer and viral infections.
• Flagship Project (Ruvidar®): Light-activated small molecule therapy for BCG-Unresponsive Non-Muscle Invasive Bladder Cancer (NMIBC) Carcinoma In-Situ (CIS).
• Development Status: Phase II Study II completed enrollment of 90 patients. Interim data shows a 65.2% Complete Response rate with durable responses up to 7 years in some cases.
• Secondary Project (Rutherrin®): X-ray activated ruthenium-based drug for Muscle Invasive Bladder Cancer (MIBC) and other solid tumors (brain, lung, pancreatic). Preclinical data shows 100% complete response in mouse models.
• Regulatory Path: Targeting Health Canada NDS and FDA NDA submissions in Q3 2026 for Ruvidar®.