Hemostemix raises $1,000,000 in private placement

Calgary, Alberta--(Newsfile Corp. - June 17, 2026) - Hemostemix Inc. (TSXV: HEM) (OTCQB: HMTXF) (FSE: 2VF0) is pleased to announce that the Company is closing up to $1,000,000 of financing in tranches from the sale of Units at $0.05 each. Each Unit shall consist of one Common Share in the capital of the Company ("Common Share") and one half common share purchase warrant ("1/2 Warrant"), with each whole Warrant (2 x 1/2 Warrants) entitling the holder to acquire one Common Share at a price of $0.12 per Common Share for a period of 24 months from the closing of the Offering, subject to the accelerated expiry provision described below. If during any 10 consecutive trading days occurring after four months and one day has elapsed following the closing date of the Offering, the weighted average closing sales price of the Common Shares (or the closing bid, if no sales were reported on a trading day) as quoted on the TSX Venture Exchange ("Exchange") is greater than or equal to $0.15 per Common Share, the Company may provide notice in writing to the holders of the Warrants by issuance of a press release that the expiry date of the Warrants will be accelerated to the 30th day after the date on which the Company issues such press release.

Certain directors of the Company may participate in the private placement, which would constitute a "related party transaction" within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101") and the policies of the TSXV. The Company is relying upon the exemptions from the formal valuation and minority shareholder approval requirements pursuant to sections 5.5(b) and 5.7(1)(a), respectively, of MI 61-101 on the basis that the Company is not listed on a specified stock exchange and, at the time the Offering was agreed to, neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the transaction insofar as it involves an interested party (within the meaning of MI 61-101) in the Offering, exceeds 25% of the Company's market capitalization calculated in accordance with MI 61-101. The proceeds of the financing are to be used for sales, marketing, patient acquisition, physician education, and commercialization initiatives; production and manufacturing expenses associated with ACP-01 treatments; regulatory and filing fees associated with submissions to the Ministry of Health and Wellness of the Commonwealth of The Bahamas; and, for general working capital and corporate purposes.

All securities issued under the Private Placement will be subject to a four-month hold period from the closing date under applicable Canadian securities laws, in addition to such other restrictions as may apply. In addition, Hemostemix Inc. announced today that it filed on SEDAR+ its restated unaudited condensed interim financial statements and management's discussion and analysis (MD&A) for the nine-month period ended September 30, 2025 (the "Affected Period"), in keeping with the standard of continuous disclosure. Overview of Restatement Following a review by management and the Audit Committee, the Company determined that the previously issued financial statements for the Affected Period contained a material misstatement regarding the proper accounting treatment of the July 14, 2025 Therapeutic Convertible Debentures ("TCDs").

The TCDs, due to the embedded derivatives, should have been accounted for as a single liability using Fair Value Through Profit or Loss ("FVTPL") under IFRS 9. Under FVTPL, any change in the Fair Value ("FV"), including, among other things, interest and foreign exchange, runs through the profit or loss line as one adjustment which is similarly reflected in the TCD liability for the period. Impact of Restatement During preparation of the audited consolidated financial statements for the year ended December 31, 2025, management, in consultation with the Company's auditors, reassessed the accounting treatment and fair value measurement of the Treatment Convertible Debentures ("TCDs").

As a result, certain amounts previously reported in the Q3 2025 interim financial statements and MD&A have been restated. The restatement primarily relates to: the valuation methodology applied to the TCD liability proceeds allocation foreign exchange impacts, and associated finance and professional fee adjustments. The revised accounting treatment reflects fair value through profit and loss ("FVTPL") measurement of the TCD liability, including valuation utilizing Monte Carlo simulation methodologies consistent with IFRS fair value measurement principles as follows:   The restated FS, MD&A have been reviewed by the Audit Committee.

While material, the majority of the adjustments are non-cash in nature and relate to the valuation methodology applied to the TCD liability under IFRS. The original Q3 unaudited condensed interim financial statements and corresponding MD&A for the Affected Period, filed on November 28, 2025 should no longer be relied upon. The Company filed the restated Q3 2025 financial statements and revised MD&A on SEDAR+ on June 17, 2026.

The restatement does not impact the Company's cash position, operating activities, or previously disclosed business strategy. About Hemostemix Hemostemix is an autologous stem cell therapy platform company, founded in 2003. A winner of the World Economic Forum Technology Pioneer Award, the Company has developed, patented, is scaling and selling autologous (patient's own) blood-based stem cell therapy, VesCell™ an investigational autologous stem cell therapy developed to support circulation in areas affected by diseases of ischemia.

VesCell™ is derived from a patient's own blood and evaluated through structured clinical research. Hemostemix has completed seven clinical studies of 318 subjects and published its results in eleven peer reviewed publications. ACP-01 is safe, and appears clinically relevant as a treatment for peripheral arterial disease , chronic limb threatening ischemia , non ischemic dilated cardiomyopathy , ischemic cardiomyopathy , congestive heart failure , and angina .

Hemostemix completed its Phase II clinical trial for chronic limb threatening ischemia and published its results in the Journal of Biomedical Research & Environmental Science . As compared to a five year mortality rate of 50% in the CLTI patient population, UBC and U of T reported to the 41st meeting of vascular surgeons: 0% mortality, cessation of pain, wound healing in 83% of patients followed for up to 4.5 years, as a midpoint result. For more information, please visit www.hemostemix.com .   Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined under the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release .

Forward-Looking Information: This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward-looking information. In particular, this news release contains forward-looking information in relation to, but is not limited to, the anticipated timing of filing the restated Q3 Financial Statements and MD&A documents, and a non brokered private placement.

Forward-looking information is based on assumptions and involves known and unknown risks, uncertainties, and other factors that may cause actual results to differ materially from those expressed or implied by such forward-looking information, including the risk that the restatement process and adjustments may change, or that the non brokered private placement may not close. This forward-looking information reflects Hemostemix's current beliefs and is based on information currently available to Hemostemix and on assumptions Hemostemix believes are reasonable. These assumptions include, but are not limited to: the underlying value of Hemostemix and its Common Shares; the successful resolution of any litigation that Hemostemix is pursuing or defending (the "Litigation"), if any; the results of ACP-01 research, trials, studies and analyses, including the analysis being equivalent to or better than previous research, trials or studies; the receipt of all required regulatory approvals for research, trials or studies; the level of activity, market acceptance and market trends in the healthcare sector; the economy generally; consumer interest in Hemostemix's services and products; competition and Hemostemix's competitive advantages; and, Hemostemix obtaining satisfactory financing to fund Hemostemix's operations including any research, trials or studies, and any Litigation.

Forward-looking information is Subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Hemostemix to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the ability of Hemostemix to complete clinical trials, complete a satisfactory analyses and file the results of such analyses to gain regulatory approval of a phase II or phase III clinical trial of ACP-01; potential litigation Hemostemix may face; general business, economic, competitive, political and social uncertainties; general capital market conditions and market prices for securities; delay or failure to receive board or regulatory approvals; the actual results of future operations including the actual results of future research, trials or studies; competition; changes in legislation affecting Hemostemix; the timing and availability of external financing on acceptable terms; long-term capital requirements and future developments in Hemostemix's markets and the markets in which it expects to compete; lack of qualified, skilled labour or loss of key individuals; and risks related to the COVID-19 pandemic including various recommendations, orders and measures of governmental authorities to try to limit the pandemic, including travel restrictions, border closures, non-essential business closures service disruptions, quarantines, self-isolations, shelters-in-place and social distancing, disruptions to markets, disruptions to economic activity and financings, disruptions to supply chains and sales channels, and a deterioration of general economic conditions including a possible national or global recession or depression; the potential impact that the COVID-19 pandemic may have on Hemostemix which may include a decreased demand for the services that Hemostemix offers; and a deterioration of financial markets that could limit Hemostemix's ability to obtain external financing. A description of additional risk factors that may cause actual results to differ materially from forward-looking information can be found in Hemostemix's disclosure documents on the SEDAR website at www.sedarplus.ca .

Although Hemostemix has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Readers are cautioned that the foregoing list of factors is not exhaustive. Readers are further cautioned not to place undue reliance on forward-looking information as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur.

Forward-looking information contained in this news release is expressly qualified by this cautionary statement. The forward-looking information contained in this news release represents the expectations of Hemostemix as of the date of this news release and, accordingly, it is Subject to change after such date. However, Hemostemix expressly disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/301960 Newsfile Corp. June 17, 2026 - 2:22 PM PDT News by QuoteMedia www.quotemedia.com