Mr. Greg Hunter reports

MEDIPHARM LABS POSITIONED TO SERVE GROWING U.S. PHARMACEUTICAL AND CLINICAL RESEARCH DEMAND FOLLOWING CANNABIS RESCHEDULING

Medipharm Labs Corp. has welcomed the implementation of the U.S. final order rescheduling certain cannabis products from Schedule I to Schedule III of the Controlled Substances Act. The order took effect April 22, 2026. It recognizes the medical use of cannabis, and is anticipated to materially reduce barriers to U.S. clinical research and pharmaceutical development.

Medipharm Labs is well positioned to benefit from this change through its Food and Drug Administration site registration, DEL, proven experience supplying clinical trial materials to the United States and established presence in the world's most regulated medical cannabis markets.

"Medipharm Labs is not approaching the U.S. market for the first time," said Greg Hunter, interim chief executive officer and chief financial officer of Medipharm Labs. "Since 2023, we have shipped pharmaceutical-grade cannabis product into the United States multiple times under Schedule I conditions. We also supply medical cannabis into some of the most demanding regulatory environments in the world, including Germany, the United Kingdom, Australia, France and Brazil. This order takes U.S. cannabis policy from anticipation to reality, and Medipharm Labs has the track record to support U.S. researchers and pharmaceutical companies evaluating compliant API and clinical trial supply partners."

Rescheduling will accelerate U.S. cannabis clinical research and pharmaceutical development

Reclassifying cannabis to Schedule III removes barriers that have long limited U.S. clinical trials. Researchers publish thousands of peer-reviewed cannabis studies annually, yet full clinical trials have remained scarce due to Schedule I restrictions and the lack of federally compliant cannabis supply.

The order is expected to accelerate U.S. research by enabling access to standardized medical-grade cannabis from registered suppliers. For Medipharm Labs, this could mean an expanded pipeline of U.S. researchers and pharmaceutical companies advancing clinical trials and evaluating compliant active pharmaceutical ingredient suppliers. The order also creates a clearer regulatory pathway for FDA-approved drug products containing cannabis, which is directly aligned with Medipharm Labs pharmaceutical manufacturing strategy.

Medipharm Labs has already shipped pharmaceutical cannabis product into the United States

Medipharm Labs completed its first shipment of pharmaceutical cannabis product to the United States in 2023 and has made additional shipments in subsequent years. These shipments were completed under Schedule I classification, which required the company to navigate the most restrictive federal controls applied to any substance under U.S. law, leveraging its U.S. Food and Drug Administration site registration and U.S. DEA import permits.

Medipharm Labs has supplied product for over 10 active clinical trials, including the U.S. National Institutes of Health-funded LiBBY study with the Keck School of Medicine of University of Southern California. To the company's knowledge, this was the first phase 2 clinical trial of its kind with active pharmaceutical ingredients sourced from a Canadian cannabis producer. With Schedule now in effect, the regulatory pathway Medipharm Labs has already navigated may become less restrictive for future U.S. shipments.

Institutional pharmaceutical and biotech investment potential

With Schedule III in effect for FDA-approved cannabis drug products and state-licensed medical cannabis, institutional investors who were previously restricted by Schedule I trafficking clauses may be able to consider research-oriented cannabis companies. This could result in increased interest in pharmaceutical cannabis companies, including Medipharm Labs, as regulatory barriers evolve. There could also be renewed interest in research investments from pharmaceutical firms that previously avoided cannabis due to its previously higher-risk classification.

About Medipharm Labs Corp.

Founded in 2015, Medipharm Labs specializes in the development and manufacture of purified, pharmaceutical-quality cannabis concentrates, active pharmaceutical ingredients and advanced derivative products utilizing a good manufacturing practices certified facility with ISO standard-built clean rooms. Medipharm Labs has invested in an expert, research-driven team, state-of-the-art technology, downstream purification methodologies, and purpose-built facilities for delivery of pure, trusted and precision-dosed cannabis products for its customers. Medipharm Labs develops, formulates, processes, packages and distributes cannabis and advanced cannabinoid-based products to domestic and international medical markets.

In 2021, Medipharm Labs received a pharmaceutical drug establishment licence from Health Canada, becoming the only company in North America to hold a commercial scale domestic good manufacturing licence for the extraction of multiple natural cannabinoids. The company carries out its operations in compliance with all applicable laws in the countries in which it operates.

In 2023, Medipharm Labs acquired Vivo Cannabis Inc., which expanded Medipharm Lab's reach to medical patients in Canada through Canna Farms' medical e-commerce platform, and in Australia and Germany through Beacon Medical Pty. and Beacon Medical GmbH. This acquisition also included Harvest Medical Clinics in Canada, which provides medical cannabis patients with physician consultations for medical cannabis education and prescriptions.

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