LXG Lexagene Holdings Inc

LexaGene Holdings, Inc., (OTCQB: LXXGF; TSX-V: LXG) (“LexaGene” or the “Company”), an innovative, molecular diagnostics company that has commercialized the MiQLab® System for automated, genetic testing, is pleased to announce the large biopharma company (>$100B Market Cap) that previously purchased a MiQLab System has engaged LexaGene in a second statement of work (“SOW”) that builds off of the previously completed SOW.

Dr. Jack Regan, LexaGene’s CEO and Founder commented, “In the biopharma industry, adventitious agents can be inadvertently introduced into biological systems. Configuring our MiQLab System to maximize its sensitivity in the bioprocess industry for microbial contaminant monitoring is paramount. We are fortunate that our microfluidic system can be easily configured to boost sensitivity for targets that are of the greatest concern. The signed SOW focuses on maximizing our sensitivity for Mycoplasma, providing additional predictive analysis on our Mycoplasma tests, and incorporating a Mycoplasma factory standard curve into our software such that we can report genetic results in colony-forming-units per milliliter (CFU/mL), which is the unit commonly accepted in the industry.”

Dr. Regan continued, “We are pleased to have the opportunity to demonstrate the power of the MiQLab System to this large biopharma company. It is standard in the industry for companies interested in a new technology, like the MiQLab System, to complete feasibility studies to confirm certain performance requirements are met prior to any broad-reaching decision on incorporating the new technology into their manufacturing processes. In a single manufacturing plant, there are often multiple unit operations, each of which can produce product worth as much as $20M in value. We envision configuring 4 – 5 MiQLab Systems per unit operation. These MiQLab Systems would be used to regularly test samples across the entire manufacturing process, including the final product formulation. To achieve the highest level of confidence in screening for contaminants, we anticipate configuring these MiQLab Systems for three different purposes such as broad-spectrum bacterial detection, viral and fungal detection, and Mycoplasma detection at extreme sensitivity. We are excited that this biopharma customer sees the value in our technology and wants this feasibility work completed in a timely manner.”

As an update to LexaGene’s announcement on December 7, 2022 that it intended to reprice certain common share purchase warrants held by Meridian LGH Holdings, LCC, LexaGene confirms that it will no longer reprice the warrants. Dr. Regan commented, “The Company originally pursued repricing Meridian warrants as an inexpensive and fast way to provide operating cash to the Company. LexaGene and Meridian’s management are sensitive to shareholders’ concern that the acceleration clause associated with the repricing may have the unintended consequence of limiting the possibility of LexaGene’s stock to appreciate. To avoid such a scenario, LexaGene and Meridian have mutually agreed to cancel the repricing and will seek alternative paths to capitalize the company.”

For more information about LexaGene and the MiQLab System, please visit www.lexagene.com or follow us on Twitter and LinkedIn.

About LexaGene Holdings Inc.LexaGene is a molecular diagnostics company that has commercialized the MiQLab System for fast and easy detection of biological contaminants, pathogens and other molecular markers. The System is designed for on-site usage and uses real-time PCR chemistry. Our customers include biopharmaceutical companies and veterinary hospitals. The MiQLab System delivers excellent sensitivity, specificity, and breadth of detection.

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Except for statements of historical fact, this news release contains certain "forward-looking information" or "forward-looking statements" (collectively, "forward-looking information") within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur and include statements relating to our expectations regarding future results. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information.

Forward-looking information is based on the opinions and estimates of management at the date the statements are made, including assumptions with respect to American economic growth, demand for the Company's products, the Company's ability to produce and sell its products, sufficiency of our budgeted capital and operating expenditures, the satisfaction by our strategic partners of their obligations under our commercial agreements, our ability to realize upon our business plans and cost control efforts and the impact of COVID-19 on our business, results and financial condition.

Our forward-looking information is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors that could cause the results to differ materially from those expressed in the forward-looking information include, but are not limited to: uncertainty as to whether our strategies and business plans will yield the expected benefits; uncertainty as to the timing and results of development work and verification and validation studies; uncertainty as to the timing and results of commercialization efforts; uncertainty as to our ability to supply products in response to customer demand; uncertainty as to the likelihood and timing of any required regulatory approvals, and the availability and cost of capital; the ability to identify and develop and achieve commercial success for new products and technologies; competition from related products; the level of expenditures necessary to maintain and improve the quality of products and services; changes in technology and changes in laws and regulations; our ability to secure and maintain strategic relationships; intellectual property infringement risks, risks relating to any required regulatory approvals, risks relating to the safety and efficacy of our products, the use of our products, intellectual property protection, risks related to the COVID-19 pandemic and its impact upon our business operations generally, including our ability to develop and commercialize our products, and the other risk factors disclosed in our filings with the SEC and under our profile on SEDAR at www.sedar.com. Readers are cautioned that this list of risk factors should not be construed as exhaustive.

The forward-looking information contained in this news release is expressly qualified by this cautionary statement. We undertake no duty to update any of the forward-looking information to conform such information to actual results or to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned not to place undue reliance on forward-looking information.

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