PharmaDrug Inc.: Correction to News Release Dated July 30, 2025

Core Viewpoint - PharmaDrug Inc. has issued a correction to its previous news release regarding the acquisition of an equity interest in Canurta Inc., clarifying the number of shares to be issued in the transaction [1][3][4]. Company Overview - PharmaDrug Inc. is a specialty pharmaceutical company focused on the research, development, and commercialization of natural medicines and controlled substances [22]. - Canurta Inc. is a pre-revenue biotechnology company dedicated to developing botanical therapeutics for inflammatory and neurodegenerative diseases, with its lead candidate, CNR-401, advancing towards Phase 2 clinical trials [11][14]. Transaction Details - PharmaDrug has entered into a non-binding Letter of Intent (LOI) to acquire up to a 40% equity interest in Canurta, structured in two tranches of 19.9% and 20.1% [3][4]. - The corrected figures for the share issuance are 25,980,000 shares for the first tranche and 57,665,316 shares for the second tranche, totaling 83,645,316 shares [1][4]. - Upon completion, Canurta will own approximately 44% of PharmaDrug's shares on a pro forma basis [4]. Financial Contributions - Canurta will contribute a minimum of $85,000 to PharmaDrug at the closing of each tranche via a non-interest-bearing promissory note [6]. Governance Changes - Akeem Gardner, Founder and CEO of Canurta, will be appointed to the Board of Directors of PharmaDrug, expected to enhance PharmaDrug's biotechnology pipeline and capital market initiatives [8]. Conditions for Completion - The completion of the transaction is subject to various conditions, including the execution of a Definitive Agreement, satisfactory due diligence, and regulatory approvals [10]. Strategic Rationale - The transaction aims to combine PharmaDrug's public market resources with Canurta's innovative research and technologies, particularly in developing CNR-401 for ALS [18][19].