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Early Warning Report Issued Pursuant to National Instrument 62-103

Hemostemix Inc. (“Hemostemix” or the “Company”) (TSX VENTURE:HEM)(OTCQB:HMTXF) – Dr. Elmar Burchardt, President and Chief Executive Officer of Hemostemix, reports that Lyle Wunderlich (“Mr. Wunderlich”), who previously acquired ownership of a $1M convertible debenture and $180,000 convertible promissory note on September 2, 2016 (collectively referred to as the “Convertible Securities”), has filed an early warning report in accordance with National Instrument 62-103. The terms of the Convertible Securities were previously disclosed in the Company’s news release issued on September 2, 2016.

As a result of the acquisition of the Convertible Securities, and assuming conversion in full and exercise of the underlying warrants, Mr. Wunderlich would hold 10,500,000 Common Shares, representing approximately 13.5% of the issued and outstanding Common Shares after giving effect to such conversion. Together with the 2,586,133 Common Shares previously acquired by Mr. Wunderlich, the acquisition of the Convertible Securities increases the total number of Common Shares owned or deemed to be owned by Mr. Wunderlich to 13,086,133, representing approximately 16.2% of the issued and outstanding common shares of the Company.

The securities acquired by Mr. Wunderlich are held for investment purposes. In the future, Mr. Wunderlich may increase or decrease his respective ownership of securities of the Company from time to time depending upon the business and future market conditions.

A copy of the early warning report filed pursuant to National Instrument 62-103 may be obtained on SEDAR.

ABOUT HEMOSTEMIX INC.

Hemostemix is a public clinical-stage biotechnology company that develops innovative blood-derived cell therapies for medical conditions not adequately addressed by current treatments. It is the first clinical-stage biotech company to test a stem-cell therapy in an international, multicenter, phase 2 clinical trial for patients with critical limb ischemia (CLI), a severe form of peripheral artery disease (PAD) caused by reduced blood flow to the legs. The phase 2 trial targets a participant’s diseased tissue with proprietary cells grown from his or her blood that are capable of supporting the formation of new blood vessels. The Company has received FDA clearance to commence clinical trials in the United States. Hemostemix Inc. is traded on the TSX Venture Exchange under the trading symbol HEM and on the OTCQX® Best Market under the trading symbol HMTXF.

For more information, visit  hemostemix.com or email  office@hemostemix.com.

Contact: David Berman, Chief Financial Officer –  dberman@hemostemix.com, (416) 274-2160

Neither the TSX Venture Exchange Inc. nor its Regulation Service Provider (as that term is defined under the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

FORWARD-LOOKING STATEMENTS

This release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects,” “plans,” “anticipates,” “believes,” “intends,” “estimates,” “projects,” “potential,” and similar expressions, or that events or conditions “will,” “would,” “may,” “could,” or “should” occur. Although Hemostemix believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Forward-looking statements are based on the beliefs, estimates, and opinions of Hemostemix management on the date such statements were made. Hemostemix expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise.

 




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