Mr. Chris Dallin reports

ASEP MEDICAL ANNOUNCES CLOSING OF DEBT SETTLEMENT

Asep Medical Holdings Inc., further to its news release of Sept. 18, 2026, has closed an agreement to settle $288,250 of outstanding debt, effective Sept. 25, 2026, relating to fees payable to certain creditors, directors, officers and advisers of the company. The company issued 2,882,500 common shares to the debtors at a deemed price per share of 10 cents to settle the debt.

The issuance of the settlement shares is subject to the approval of the Canadian Securities Exchange. The settlement shares will be subject to a statutory hold period of four months and one day from the date of issuance, in accordance with applicable securities laws and the policies of the CSE.

The issuance of the settlement shares to the debtors constitutes a related party transaction under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions, as some debtors are insiders of the company. The company is exempt from the formal valuation requirement in Section 5.4 of MI 61-101 in reliance on Section 5.5(a) of MI 61-101 as the fair market value of the offering, insofar as it involves the insiders, is not more than 25 per cent of the company's market capitalization. Additionally, the company is exempt from the minority shareholder approval requirement in Section 5.6 of MI 61-101 in reliance on Section 5.7(a) as the fair market value of the offering, insofar as it involves the insiders, is not more than 25 per cnet of the company's market capitalization. The company did not file a material change report more than 21 days before the closing of the offering because the details of the insider participation were not finalized until closer to closing of the offering and the company wished to close the offering as soon as practicable for sound business reasons.

About Asep Medical Holdings Inc.

Asep Medical is an investment issuer focused on investing into biotechnology research and development assets and is based in Victoria, B.C., Canada. The company possesses a valuable portfolio of global patents for innovative diagnostic and therapeutic medical technologies. These technologies were developed over the past decade at the University of British Columbia under the guidance of Dr. Robert E.W. Hancock, one of the world's foremost microbiologists. Asep holds a significant interest in two private companies -- Sepset Biosciences (Asep's leading product, a sepsis diagnostic technology) and ABT Innovations (specializing in anti-biofilm technology). As the company's patented innovations address unmet medical needs, it presents a unique investment opportunity for both retail and institutional investors.

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