Vancouver, British Columbia--(Newsfile Corp. - August 22, 2018) - PreveCeutical Medical Inc. (CSE: PREV)
(OTCQB: PRVCF) (FSE: 18H) (the "Company" or "PreveCeutical"), is
pleased to provide an update on the Company's progress in its ongoing corporate initiatives.
PreveCeutical has recently reached several milestones as it continues to execute its strategy to become a global preventive
healthcare company. These milestones include: entering into a natural health product licensing agreement (the "Licensing
Agreement") with Asterion Cannabis Inc. ("Asterion"); launching its medicinal cannabis division (the "Cannabis
Division"); completing a $6.5 million financing (the "Financing"); and expanding its Australian operations. In
Australia, the Company has reached its research targets in its scorpion venom-derived peptide program (the "Peptide
Program") and the soluble gel ("Sol-Gel") drug delivery platform program (the "Sol-Gel Program").
Licensing Agreement with Asterion
On August 15, 2018, Asterion granted PreveCeutical a worldwide licence to use, manufacture, distribute and sell three Health
Canada approved natural health products (the "Natural Health Products"). The Natural Health Products consist of
three natural sleep aids - "Blissful Sleep", "Blissful Sleep Ex" and "Skullcap Serenity." These Natural Health Products have
traditionally been used in herbal medicine to aid sleep and relieve anxiety and pain. All of the Natural Health Products have
undergone thorough testing and meet or exceed the requirements of the European Pharmacopoeia and Health Canada. The Company plans
to begin manufacturing the Natural Health Products and selling them in retail pharmacies, health-conscious stores as well as on the
Company's website.
The Cannabis Division
The Cannabis Division is responsible for bringing medicinal cannabis-based products (the "Medicinal Cannabis
Products") developed by the Company to market and overseeing the Company's Sol-Gel Program and its resultant formulations.
Through the sale of the Medicinal Cannabis Products, the Company aims to help consumers address a number of ailments, including
chronic pain, epilepsy, anxiety disorders and more. Moving forward, the Cannabis Division will seek out additional cannabis
products and technologies for the Company to commercialise, ranging from transdermal patches and topical creams to capsules and
novel methods of administering the medicinal cannabis.
The Financing
On June 29, 2018, the Company closed a non-brokered private placement of 130,799,750 units (the "Units") at a price of
$0.05 per Unit for gross proceeds of $6,539,988. The proceeds will be used to fund the Company's research and development programs
and for general working capital purposes. For further information on the financing, see news release dated June 29, 2018.
Australian Operations
Expanded Operations and Aurora Cannabis Inc. Shipments
The Company expanded its operations and incorporated an Australian subsidiary, PreveCeutical (Australia) Pty Ltd. The decision
to expand its Australian operations was influenced by Australia's strong foundation of academic and clinical research, as well as
the Australian research and development tax incentives.
The Company conducts its research and development programs in Australia, and after successfully applying for and receiving the
necessary permits, PreveCeutical arranged for two deliveries of medicinal cannabis from Canada by Aurora Cannabis Inc. to the
Pharmacy Australia Centre of Excellence at the University of Queensland for use in the Sol-Gel Program.
The Sol-Gel Program
By applying the Sol-Gel technology to cannabis, the Company intends to develop therapies for relief from a range of symptoms,
including pain, inflammation, anxiety, seizures and neurological disorders. The advantages of Sol-Gels over conventional liquid
nasal sprays include: longer therapeutic effects, reduced dosage requirements and reduced negative side effects, such as
irritation.
The current focus of the Sol-Gel Program is the preparation of Sol-Gel formulations containing fixed CBD:THC concentrations,
which, when sprayed using the Company's custom applicator, will be able to safely and consistently deliver CBD: THC to the central
nervous system in predefined ratios, enabling the development of Medicinal Cannabis Products tailored for a broad range of ailments
and diseases.
The Peptide Program
Phase 1 of the Peptide Program yielded promising results, as PreveCeutical's research team identified eight peptide candidates
for the Company's future Nature Identical™ peptide therapeutics, which are intended to treat, regulate and prevent cancer
progression.
Phase 2 of the Peptide Program is now underway, as the Company works to re-design the peptides, with the goal of enhancing their
biostability, while maintaining their potency during screening against well-characterised and defined targets associated with brain
cancer. In Phase 3, the Company will begin to screen the peptides in cell-based cancer models.
About PreveCeutical
PreveCeutical is a health sciences company that develops innovative options for preventive and curative therapies utilizing
organic and nature identical products.
PreveCeutical aims to be a leader in preventive health sciences and currently has five research and development programs,
including: dual gene therapy for curative and prevention therapies for type 2 diabetes and obesity; a Sol-gel drug delivery
program; Nature Identical™ peptides for treatment of various ailments; non-addictive analgesic peptides as a replacement
to the highly addictive analgesics such as morphine, fentanyl and oxycodone; and a therapeutic product for treating athletes who
suffer from concussions (mild traumatic brain injury).
PreveCeutical sells CELLB9®, an Immune System Booster. CELLB9® is an oral solution containing polarized
and potentiated essential minerals extracted from a novel peptide obtained from Caribbean Blue Scorpion venom. This product is
available on the Company's website.
For more information about PreveCeutical, please visit www.PreveCeutical.com, follow
us on Twitter: http://twitter.com/PreveCeuticals and Facebook: www.facebook.com/PreveCeutical.
On Behalf of the Board of Directors
"Stephen Van Deventer"
Chairman, CEO and President
For further information, please contact:
Deanna Kress
Director of Corporate Communications & Investor Relations
+1-778-999-6063
deanna@PreveCeutical.com
Forward-Looking Statements:
This news release contains forward-looking statements and forward-looking information (collectively, "forward-looking
statements") within the meaning of applicable Canadian and U.S. securities legislation, including the United States Private
Securities Litigation Reform Act of 1995. All statements in this news release that are not purely historical are
forward-looking statements and include statements regarding beliefs, plans, expectations and orientations regarding the future
including, without limitation, the ability of the Company to develop and bring its Medicinal Cannabis Products to market, the
manufacture and sale of the Natural Health Products, the efficacy of the Company's products, generally, matters related to the
Company's current and planned research and development programs, including, the Peptide Program involving the re-design and
screening of peptides in cell-based cancer models and the use of the Sol-gel Program's resultant formulations for treatment of
ailments, the Company's use of the proceeds of the Financing, the Company's anticipated business plans and its prospect of success
in executing its proposed plans. Often, but not always, forward-looking statements can be identified by words such as "plans",
"expects", "may", "intends", "anticipates", "believes", "proposes" or variations of such words including negative variations
thereof and phrases that refer to certain actions, events or results that may, could, would, might or will occur or be taken or
achieved. Forward looking statements are based on certain assumptions regarding the Company, including expected growth, results of
operations, performance, industry trends and growth opportunities. Actual results could also differ from those projected in any
forward-looking statements due to numerous factors including, risks and uncertainties relating to the inability of the Company, to,
among other things, obtain any required governmental, regulatory or stock exchange approvals, permits, consents or authorizations
required, including Canadian Securities Exchange acceptance of any planned future activities, commercialise therapeutic and
diagnostic technologies, execute its proposed business plans, pursue business partnerships, complete its research and product
development programs as planned and obtain the financing required to carry out its planned future activities. Other factors such as
general economic, market or business conditions or changes in laws, regulations and policies affecting the healthcare and cannabis
industries in Canada may also adversely affect the future results or performance of the Company. These forward-looking statements
are made as of the date of this news release and, unless required by applicable law, the Company assumes no obligation to update
the forward-looking statements or to update the reasons why actual results could differ from those projected in these
forward-looking statements. Although the Company believes that the statements, beliefs, plans, expectations, intentions and
assumptions contained in this news release are reasonable, there can be no assurance that those statements, beliefs, plans,
expectations intentions or assumptions will prove to be accurate. Readers should consider all of the information set forth herein
and should also refer to other periodic reports provided by the Company from time-to-time. These reports and the Company's filings
are available at www.sedar.com.
Readers are cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly, are
cautioned not to put undue reliance on forward-looking statements due to the inherent uncertainty of such
statements.
