LSL LSL Pharma Group Inc

LSL PHARMA GROUP INC. (TSXV: LSL) (the "Corporation" or "LSL Pharma "), a Canadian integrated pharmaceutical company, today announced the launch of a non-brokered private placement financing of Units (as defined hereinafter) for minimum gross proceeds of $2.5 million and a maximum of $3.5 million (the “Financing”) and that it is conducting discussions with certain creditors to settle debts in Units for an aggregate amount ranging from a minimum of $2.5 million and a maximum of $4.5 million (the “Units for Debts”).

The Units for Debts is conducted in parallel to the Financing to strengthen the Corporation’s balance sheet and to dedicate the proceeds from the Financing mainly to further expand production capacity at each of the LSL Laboratories and Steri-Med Pharma plants and for general working capital purposes.

Each Unit to be issued pursuant to the Financing and the Units for Debts will be at a price of $0.40 per unit (the “Units”) and will consist of one (1) class A share of the Corporation (a “Common Share”) and one (1) Common Share purchase warrant (a “Warrant”). Each Warrant will entitle the holder, subject to adjustments in certain cases, to purchase one (1) Common Share (a “Warrant Share”) at a price of $0.70 for a period of 36 months following the closing of the Financing.

Although the Financing is non-brokered, the Corporation may pay finders’ fees of up to 5% of the gross proceeds raised from investors introduced to the Corporation by a finder, payable in cash; and finders’ warrants of up to 5% of the number of Units issued to investors introduced to the Corporation by a finder. Each Finder’s Warrant will entitle the holder, subject to adjustments in certain cases, to purchase one (1) Common Share at a price of $0.70 for a period of 18 months following the closing of the Financing (the “Finder’s Warrants”).

Each issued Unit, Common Share, Warrant, Warrant Share, Finder’s Warrant and Common Share issued upon the exercise of the Finder’s Warrant will be subject to a four month hold period under the applicable securities laws. The Financing and the Units for Debts are subject to the regulatory approvals, including the TSX Venture Exchange.

The Corporation also confirms that the previously announced $5 million convertible debenture offering launched on September 21, 2023, is hereby terminated.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS

This press release may contain forward-looking statements as defined under applicable Canadian securities legislation. Forward-looking statements can generally be identified by the use of forward-looking terminology such as "may", "will", "expect", "intend", "estimate", "continue" or similar expressions. Forward-looking statements are based on a number of assumptions and are subject to various known and unknown risks and uncertainties, many of which are beyond the Corporation's ability to control or predict, that could cause actual results or performance to differ materially from those expressed or implied in such forward-looking statements. These risks and uncertainties include, but are not limited to, those identified in the Corporation's filings with Canadian securities regulatory authorities, such as legislative or regulatory developments, increased competition, technological change and general economic conditions. All forward-looking statements made herein should be read in conjunction with such documents.

Readers are cautioned not to place undue reliance on forward-looking statements. No assurance can be given that any of the events referred to in the forward-looking statements will transpire, and if any of them do, the actual results, performance or achievements of the Corporation may differ materially from those expressed or implied by the forward-looking statements. All forward-looking statements contained in this press release speak only as of the date of this press release. The Corporation does not undertake to update these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

ABOUT LSL PHARMA GROUP INC.

LSL Pharma is an integrated Canadian pharmaceutical company specializing in the development, manufacturing and commercialization of high-quality sterile ophthalmic pharmaceuticals, as well as natural health products in solid dosage forms. For further information, please visit the following websites www.groupelslpharma.com, www.laboratoirelsl.com and www.sterimedpharma.com.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

CONTACT :

François Roberge, President and Chief Executive Officer Telephone: (514) 664-7700E-mail: Investors@groupelslpharma.com