Small Pharma Enters Into Automatic Share Purchase Plan

Small Pharma Inc. (TSXV: DMT | OTCQB: DMTTF), a biotechnology company focused on short-acting psychedelic-assisted therapies for mental health conditions, today announced that it has entered into an automatic share purchase plan with Eight Capital in order to facilitate repurchases of the Company’s common shares under its previously announced normal course issuer bid. The ASPP has been approved by the TSX Venture Exchange and is expected to be implemented effective as of September 13, 2022.

Under the ASPP, the Broker may purchase Shares under the NCIB at times when the Company would ordinarily not be permitted to do so due to regulatory restrictions or self-imposed blackout periods. Such repurchases will be carried out by the Broker based on trading parameters established by the Company prior to the commencement of the restricted trading period in accordance with the terms of the ASPP, applicable securities laws and the rules and policies of the TSXV. Outside of these restricted trading periods, the Company may at its discretion effect repurchases of the Shares through the Broker under the NCIB.

The NCIB commenced as of August 19, 2022. Pursuant to the NCIB, the Company may, if considered advisable, purchase up to a maximum of 5,000,000 Shares for cancellation through the facilities of the TSXV in open market transactions or by such other means as may be permitted under applicable securities laws and the policies of the TSXV, from time to time until the earlier of: (a) August 18, 2023; and (b) the date on which the maximum number of Shares purchasable under the NCIB have been acquired by the Company.

Small Pharma is a biotechnology company progressing a pipeline of short-acting psychedelics with therapy for the treatment of mental health conditions, with a current focus on depression. Small Pharma initiated a clinical program into N,N-dimethyltryptamine (“DMT”) assisted psychotherapy in February 2021. This program includes a Phase I/IIa trial on the Company’s lead candidate alongside the development of a pipeline of proprietary preclinical assets.

DMT is a naturally occurring psychedelic tryptamine found in plants and in the brain of mammals. Scientific evidence suggests DMT offers the potential for rapid-acting and long-lasting antidepressant effects. DMT is differentiated by its short psychedelic experience (< 30 mins), which allows for short treatment sessions and offers the potential for convenient supervised treatments within patient clinics.