PreveCeutical Announces Non-Brokered Private Placement

• PreveCeutical Medical Inc. announced a non-brokered private placement of up to 40,000,000 units on April 22, 2026.
• Offering price is set at $0.025 per unit, targeting gross proceeds of up to $1,000,000.
• Unit composition includes one common share and one-half of a share purchase warrant.
• Warrant terms specify an exercise price of $0.05 with a two-year expiry from closing.
• Proceeds are designated for debt repayment, professional fees (audit/legal), R&D studies (rodents/tissues), and general working capital.
• Securities are subject to a four-month and one-day statutory hold period post-closing.

• The financing is dilutive, issuing 40 million units which significantly increases the share count relative to current float.
• The offering price of $0.025 trades below the recent market close of $0.03 (April 21, 2026), indicating a discount that typically pressures stock prices downward immediately following announcement.
• This follows a pattern of frequent capital raises: a first tranche in September 2025 ($646k) and second tranche in October 2025 ($455k). The cumulative cash raised over six months exceeds $1M, signaling high burn rate without revenue.
• While the funds extend runway for R&D (pain therapy peptides), the reliance on equity financing at depressed valuations suggests liquidity constraints rather than strategic expansion.
• Patent milestones in February 2026 and December 2025 provide IP protection but do not offset the immediate negative sentiment of a down-round financing.

• PreveCeutical Medical Inc. focuses on preventive and curative organic-based therapies.
• Flagship programs include dual gene therapy (spun off to BioGene Therapeutics in Nov 2025), Sol-gel platform, Nature Identical peptides, non-addictive analgesic peptides, and concussion therapeutic products.
• The pain therapy program utilizes novel cyclized peptides as analogues of dynorphin to reduce opioid-related adverse effects.
• Recent IP milestones include Canadian patent allowance (Feb 2026) for "A Cyclic Peptide" and PCT filing for CNS-active agent delivery (Parkinson's focus).