LSL PHARMA GROUP CLOSES A $2.275M NON-BROKERED PRIVATE PLACEMENT

BOUCHERVILLE, QC, Sept. 2, 2025 /CNW/ – LSL PHARMA GROUP INC. (TSXV: LSL) (TSXV: LSL.DB) (the “Corporation” or “LSL Pharma“), a Canadian integrated pharmaceutical company, announced today that it has closed a non-brokered private placement for gross proceeds of $2,275,000 (the “Financing”).

Pursuant to the Financing, the Corporation has issued 5,687,500 units (the “Units”) at a price of $0.40 per Unit. Each Unit consists of one class A share of the Corporation (a “Common Share”) and one Common Share purchase warrant (a “Warrant”). Each Warrant entitles 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 24 months following the closing of the Financing. The proceeds of the Financing will be used (i) to accelerate the development of the Eye-care product portfolio for the Canadian and Int’l markets, (ii) to complete the installation and validation of the 2nd ointment production line at Steri-Med, (ii) to acquire additional manufacturing equipment for the CMO division to support increased demand, (iv) for potential M&A opportunities and (v) for general working capital purposes.

In connection with this Financing, LSL Pharma paid to a finder dealing at arm’s length with the Corporation, finder’s fees for a total of $23,750 in cash and issued 59,375 finder’s warrants. Each Finder’s Warrant entitles the holder to purchase one (1) Common Share at a price of $0.70 for a period of 12 months following the closing of the Financing.

Each 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 is subject to the regulatory approval of the TSX Venture Exchange.

Mr. François Roberge, President and CEO and Mario Paradis, a director of the Corporation (the “Insiders”), have subscribed for 187,500 Units and 125,000 Units respectively pursuant to the Financing. The board of directors of the Corporation has considered the issuance of the Units to the Insiders as a related party transaction subject to Regulation 61-101 respecting Protection of Minority Security Holders in Special Transactions (“Regulation 61-101”) and has unanimously approved the issuance, with the abstention of the Insiders. This transaction is exempt from the formal valuation and minority shareholder approval requirements of Regulation 61-101 as the Corporation is listed on the TSX Venture Exchange and the fair market value of any security issued to, or the consideration paid, does not exceed 25% of the Corporation’s market capitalization. LSL Pharma did not file a material change report pertaining to the Insider’s interest more than 21 days prior to the date of the closing of the Financing, as such interest was not determined at that time. The board members of the Corporation, but excluding Insiders, reviewed its financial conditions and the state of the financial market and unanimously determined that the terms and conditions of the Financing, including the issuance to the Insider, were fair and equitable and represented the best strategic option available. In addition, neither the Corporation nor the Insider have knowledge of any material information concerning the Corporation or its securities that has not been generally disclosed.

Caution regarding forward-looking statements

This press release may contain forward-looking statements as defined under applicable Canadian securities legislation. Forward looking statements include estimates and statements that describe the Corporation’s future plans, objectives or goals, including words to the effect that the Corporation or management expects a stated condition, belief, estimate or opinion, or result to occur. Forward-looking statements may be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “intend”, “estimate”, “believe”, “aim”, “plan” “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 Group Inc. is a Canadian integrated pharmaceutical company specializing in the development, manufacturing and commercialization of high-quality sterile ophthalmic pharmaceutical products, as well as pharmaceutical, cosmetic and natural health products in solid, semi-solid and liquid dosage forms. Companies forming part of LSL Pharma Group include Steri-Med Pharma Inc., LSL Laboratory Inc., Virage Santé Inc. and Dermolab Pharma Ltd. For further information, please visit our website at www.groupelslpharma.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.

SOURCE Groupe LSL PHARMA INC.