Mr. Ken d'Entremont reports

MEDEXUS ANNOUNCES US$51.0 MILLION IN NEW CREDIT FACILITIES AND INTENTION TO COMMENCE NORMAL COURSE ISSUER BID, OR NCIB, FOR ITS COMMON SHARES

Medexus Pharmaceuticals Inc. today entered into a new senior secured credit agreement with National Bank of Canada as administrative agent. The credit agreement provides for a $21.0-million (U.S.) term loan facility and a $5.0-million (U.S.) revolving loan facility. The term loan facility benefits from an additional $10.0-million (U.S.) delayed draw feature, intended to finance future licensing and acquisition transactions, and a $15.0-million (U.S.) uncommitted accordion feature. The new facilities will mature on Nov. 17, 2029, being four years from the date of the credit agreement.

"We are pleased to announce this long term, non-dilutive financing, which demonstrates our access to capital on competitive terms," commented Brendon Buschman, chief financial officer of Medexus. "Medexus has demonstrated an improving financial and operating profile since the launch of Grafapex (treosulfan) for injection in February, 2025, and we are pleased that our new partners at National Bank of Canada have recognized the strength and potential of our business, including as we look beyond the Grafapex launch."

Medexus used the net proceeds of the new term loan facility to satisfy its obligations under Medexus's existing senior secured credit facilities which otherwise would have matured in March, 2026. Borrowings under the new term loan facility bear interest at a rate of adjusted term SOFR (secured overnight financing rate) (or other customary base rate, depending on the type of borrowing) plus a margin determined quarterly based on Medexus's consolidated net leverage ratio. The weighted average interest rate will initially be 6.74 per cent. This rate compares favourably with Medexus's now-repaid term loan and revolving loan facilities, which had a weighted average interest rate of 6.95 per cent as of the repayment date.

In furtherance of Medexus's capital allocation strategy, Medexus also intends to commence a normal course issuer bid, or NCIB, for its common shares, subject to the approval of the Toronto Stock Exchange (TSX). If approved by the TSX, Medexus would be permitted to purchase for cancellation, through facilities of the TSX or such other permitted means, up to 10 per cent of the public float (calculated in accordance with TSX rules) of Medexus's issued and outstanding common shares during the 12 months following any such TSX acceptance at prevailing market prices or as otherwise permitted in accordance with TSX rules. The actual number of common shares, if any, that Medexus may elect to purchase under the NCIB, and the timing of any such purchases, will be determined by Medexus, subject to applicable terms and limitations of the NCIB, including any related automatic share purchase plan. There cannot be any assurance as to how many common shares, if any, Medexus will ultimately purchase under the NCIB.

"An NCIB adds an important lever to our capital allocation strategy," Mr Buschman said. "Purchases under this new NCIB, if approved by the TSX, could be an appropriate use of our available cash flow from operating activities, where we believe the market price of the common shares may be undervalued. Any such purchases we make will benefit the company and its investors by seeking to uphold a liquid, stable and orderly market for our common shares."

About Medexus Pharmaceuticals Inc.

Medexus is a leading specialty pharmaceutical company with a strong North American commercial platform and a growing portfolio of innovative and rare disease treatment solutions. Medexus's current focus is on the therapeutic areas of hematology and hematology-oncology and rheumatology and allergy.

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