WGRX News & Events

Wellgistics Health announced that it has entered into a non-exclusive, non-binding Letter of Intent, LOI, to evaluate a potential acquisition of Neuritek Therapeutics, a neuroscience-focused research organization. The proposed all stock transaction, if completed, is intended to enhance Wellgistics existing revenue-generating healthcare platform by expanding capabilities adjacent to its core technology-enabled pharmacy distribution and services business. Through its integrated ecosystem spanning prescription fulfillment, wholesale distribution, and AI-driven patient access solutions, Wellgistics connects manufacturers, providers, and a nationwide network of independent pharmacies. The Company believes that adding a research-focused organization could strengthen alignment between drug development and commercialization, enabling earlier engagement with pharmaceutical partners, improving pipeline visibility, and supporting incremental revenue opportunities while enhancing long-term shareholder value through a more integrated and differentiated platform.

Wellgistics Health, announced that its President and Interim Chief Executive Officer, Prashant Patel, together with an additional participant from the Company's Board of Directors, entered into agreements with the Company to convert an aggregate of approximately $2.0 million of accrued compensation into shares of the Company's common stock at a conversion price of $0.20 per share, representing a premium to the Company's recent trading price. In connection with the conversion, the Company will issue approximately 10,000,000 shares of common stock. In addition, the Company issued an aggregate of 10,000,000 warrants to purchase shares of common stock at an exercise price of $0.01 per share, which were issued as additional consideration in connection with the conversion. The Warrants are exercisable immediately, have a term of 5 years from issuance, and are subject to customary anti-dilution adjustments. This conversion, which was approved by the disinterested directors of the Board, reflects Mr. Patel's confidence in the Company's strategic direction and his commitment to creating long-term shareholder value. Further reinforcing Mr. Patel's belief in the Company's long-term success, the newly issued shares of the Company's common stock are subject to a lock-up agreement restricting transfers for a period of 6 months, subject to customary exceptions. The structure of the transaction, including the issuance of Warrants, was designed to align management and director incentives with long-term shareholder value creation.

Wellgistics Interim-CEO Prashant Patel released a letter to shareholders, which read in part, "The prescription drug and broader healthcare landscapes in the United States are rapidly changing. From the direct involvement of the federal government in providing discount cards for prescription drugs via to direct to consumers online platform TrumpRx, to major pharmaceutical manufacturers offering prescription obesity drugs DTC through their own online pharmacies, to increasing percentages of patients receiving prescriptions for obesity and other drugs from physicians through telemedicine, it is clear that technology is rapidly changing how Americans engage with the healthcare system. This emerging shift in the healthcare market that gained significant momentum during the height of the COVID-19 pandemic has significant long-term consequences for independent pharmacies and providers throughout the country. Here at Wellgistics Health, we have been evaluating how best to leverage our pharmaceutical distribution businesses and deep healthcare relationships to position ourselves for the healthcare system tomorrow. After thorough review, we have determined that the best path forward for us is to transition our focus towards becoming a seller of prescription drugs and related services directly to patients via the Company's online pharmacy, and to leverage our relationships with independent pharmacies and other more local service providers to coordinate patient care with a view towards expanding the scope of our industry-leading EinsteinRx artificial intelligence hub platform to enable its use in areas beyond prescription drug dispensing optimization, towards optimization of patient outcomes. To this end, we have been strategically expanding marketing and healthcare technology relationships in preparation for this new direction. Our emerging partnership with NFL Alumni Health is set to provide us with access to a uniquely positioned group of influencers with unparalleled brand awareness and trust, capable of generating deep consumer engagement that we believe will help us elevate our new message to consumers throughout the United States in the second half of the year as football season kicks into gear. We have exclusively licensed technology from DataVault AI in preparation for the deployment of the Company's proprietary drug serialization solution PharmacyChain that will allow us not only to tokenize prescription drug data, but also data of each data aspect required for a prescription drug to be dispensed - which includes the aggregation of electronic patient records data such as prior diagnoses, diagnostic testing results and other key data. We recently gained access to a proprietary lower-cost eligibility and benefits verification tool sufficiently attractive to compete for pharmacy and partner verification business in anticipation of the deployment of PharmacyChain so that there is an immediate incentive for partners to work with us as we begin to expand our healthcare ecosystem beyond pharmacy. We are also leveraging our deep understanding of pharmacy science to position ourselves on the side of patients with respect to mitigating the side effects of prescription drugs in rapidly growing and large underserved medical conditions. To this end, the Company's partnership with Tollo Health has positioned us to target two large chronic conditions that currently experience incomplete outcomes and/or side effects from currently approved prescription drug solutions with the over 36 million+ & growing diabetic and/or obese patients currently on GLP-1 medication via medical food Forzet and the over 18 million+ suffering from Long COVID via 3CL protease cleansing dietary supplement Tollovid. Additionally, Tollo has natural medical food product Galectovid that is targeted towards the 6-10 annual viral infections each American contracts, the vast majority of which are left untreated and have been increasingly linked to later-in-life chronic diseases such as cancer, Alzheimer's disease and multiple sclerosis. While we have made strides in this new direction, with the longer-term and medium terms outlook shaping up nicely, we are now preparing to focus on the immediate term execution phase that will position us to be able to complete this shift. To this end, we are actively preparing our telemedicine and diagnostic testing strategies, aiming to develop a closed-loop ecosystem that pharmaceutical manufacturing and other partners will be attracted to as a result of the marketing power, data generation and patient flow capabilities that will build value for their brands. We are also engaged with payers who have expressed a strong interest in being able to help shape our PharmacyChain solution to help solve key inefficiencies that currently plague the US healthcare system and result in higher costs with poor outcomes and expect to secure relationships that will allow us to begin to deploy our emerging solutions in a stepwise fashion, initially around mitigating GLP-1 related muscle loss."

Wellgistics Health has secured contractual rights to preferred pricing for medical insurance eligibility and benefits verification that enables PharmacyChain for providers, partners and pharmacies in order to facilitate its faster adoption into the US healthcare ecosystem. EBV is crucial because it allows companies that engage in the distribution of medical products and services to know whether a particular product or service is covered by a patient's insurance carrier and the level of coverage that patient has. This information is paramount to understand provider reimbursement levels and out-of-pocket costs for patients. Each time a provider requests EBV information, they must pay an out-of-pocket fee. Wellgistcs is making preferred pricing on this service available to providers, partners and its Wellgistics Pharmacy Network immediately through its EinsteinRx AI hub platform in preparation for integration into PharmacyChain later this year.