Mr. Nicholas Kadysh reports

PHARMALA PARTNERS WITH CLARITI STRATEGIC ADVISORS(TM)

Pharmala Biotech Holdings Inc. has signed an exclusive long-term agreement with Clariti Strategic Advisors Inc. of Toronto, pursuant to which Clariti will provide strategic advisory and investment banking services to the company.

Clariti will provide advice to help Pharmala ensure that its long-term value to its stakeholders is at all times being considered and optimized. Clariti, its subsidiaries and subagents will also advise as needed on (i) the raising of capital through strategic investments at the corporate or subsidiary/joint venture level, (ii) significant/strategic investments by Pharmala, (iii) joint venture arrangements, (iv) mergers and acquisitions, and (v) the negotiation of strategic customer licensing or supply agreements.

"As Pharmala develops the market for MDMA and our novel patented analogues in a number of different countries around the world, we need strong advisers who understand the global capital markets and M&A environment. We are proud to work with Clariti as our exclusive strategic advisor and investment banking partner moving forward," said Nick Kadysh, chief executive officer, Pharmala. "We believe this partnership will create significant opportunities for the company as we expand and grow."

"It's a privilege and honour for us to be selected as Pharmala's exclusive long-term adviser," said Rahul Suri, founder and managing partner of Clariti. "Under Nick Kadysh's leadership, Pharmala is well on the way to become a best-in-class developer and manufacturer of novel MDXX-class molecules and we look forward to helping the company create and enhance value for its stakeholders."

In connection with Clariti's engagement, the company has issued Clariti (i) 2.3 million stock options; and (ii) 2.3 million restricted share units (RSU), pursuant to the company's option plan and RSU plan, respectively.

Each option is exercisable at a price of 17.5 cents per common share, expires 10 years from the date of grant and vests only if there is, and prior to, a liquidity event (as such term is defined in the partnership agreement and excludes smaller capital raises).

Each RSU expires 10 years from the date of grant and vests only (i) if there is, and prior to, a liquidity event (as such term is defined the partnership agreement and excludes smaller capital raises), and (ii) upon the company receiving shareholder approval for the creation of the RSU plan and shareholders ratifying this RSU grant at the next meeting of shareholders of the company.

About Pharmala Biotech Holdings Inc.

Pharmala is a biotechnology company focused on the research, development and manufacturing of MDXX-class molecules, including MDMA. Pharmala was founded with a dual focus: alleviating the global backlog of generic, clinical-grade MDMA to enable clinical trials and to develop novel drugs in the same class.

We seek Safe Harbor.