AQS Aequus Pharmaceuticals Inc

Aequus Pharmaceuticals Inc. (TSX-V: AQS, OTCQB: AQSZF) (“Aequus” or the “Company”), a specialty pharmaceutical company announced today that it has expanded its partnership with Medicom Healthcare (“Medicom”) to include an additional formulation in the Evolve® preservative free dry eye product line. Aequus has submitted an application for this new product with Health Canada for processing of a New Medical Device License (“MDL”).

The new Evolve® product added to the existing Agreement is a unique preservative free formulation. The product formulation combines Hyaluronate and Carbomer 980 for the treatment of patients with more intense dry eye symptoms.

With the addition of this product to the Health Canada submission, Aequus plans to launch a full range of products designed to treat patients suffering from mild to more intensive forms of dry eye disease, later in 2020.

“In preparation for launch, we have engaged Canadian eyecare professionals by creating advisory boards and research groups, built B2B relationships with clinic networks, added specialized personnel to our commercial team, and planned branded marketing campaigns to targeted customer segments,” said Doug Janzen, CEO and Chairman of Aequus Pharmaceuticals. “Our team has a deep understanding of ophthalmology and years of operational experience. We see our new product launches as being the perfect fit for Canadian patients who have been wanting a wider range of options for dry eye treatments. We are more than ready now, for the anticipated approval of these three Evolve products in Canada, that will be launching into a $90 million dry eye market”

Aequus has now submitted three new products for Health Canada approval. As with the previous submissions, the additional Evolve® product was submitted for approval with Health Canada as a Class II medical device. According to Health Canada, the target review time for a Class II MDL application is typically 20 days. Aequus is moving ahead with plans in accordance with this timeline but acknowledges that review timing may be affected by factors out of our control such as backlogs caused by COVID-19.

ABOUT AEQUUS PHARMACEUTICALS INC.

Aequus Pharmaceuticals Inc. (TSX-V: AQS, OTCQB: AQSZF) is a growing specialty pharmaceutical company focused on developing and commercializing high quality, differentiated products. Aequus has grown its sales and marketing efforts to include several commercial products in ophthalmology and transplant. Aequus plans to build on its Canadian commercial platform through the launch of additional products that are either created internally or brought in through an acquisition or license; remaining focused on highly specialized therapeutic areas. For further information, please visit www.aequuspharma.ca.

ABOUT EVOLVE

Launched in 2015 in Europe, the Evolve® brand has grown to 5 products across 35 countries. With an array of products, the brand can address the various symptoms involved with dry eye disease and blepharitis including discomfort, stinging, burning, and dryness. Currently in Canada, the dry eye market is estimated at over $90M, which includes both prescription and over-the-counter products. Aequus and Medicom entered into a license agreement in March 2019, granting Aequus exclusive rights to commercialize the Evolve® product line in Canada.

FORWARD-LOOKING STATEMENT DISCLAIMER

This release may contain forward-looking statements or forward-looking information under applicable Canadian securities legislation that may not be based on historical fact, including, without limitation, statements containing the words “believe”, “may”, “plan”, “will”, “estimate”, “continue”, “anticipate”, “intend”, “expect”, “potential” and similar expressions. Forward- looking statements are necessarily based on estimates and assumptions made by us in light of our experience and perception of historical trends, current conditions and expected future developments, as well as the factors we believe are appropriate. Forward-looking statements include but are not limited to statements relating to: the implementation of our business model and strategic plans; revenue growth trends into the future; expected timing for product launch; the Company’s expected revenues; the regulatory approval of the Evolve line of products expected in 2020. Such statements reflect our current views with respect to future events and are subject to risks and uncertainties and are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Aequus, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors could cause our actual results, performance or achievements to be materially different from any future results, performance, or achievements that may be expressed or implied by such forward-looking statements. In making the forward looking statements included in this release, the Company has made various material assumptions, including, but not limited to: obtaining positive results of clinical trials; obtaining regulatory approvals; general business and economic conditions; the Company’s ability to successfully out license or sell its current products and in-license and develop new products; the assumption that the Company’s current good relationships with its manufacturer and other third parties will be maintained; the availability of financing on reasonable terms; the Company’s ability to attract and retain skilled staff; market competition; the products and technology offered by the Company’s competitors; and the Company’s ability to protect patents and proprietary rights. In evaluating forward looking statements, current and prospective shareholders should specifically consider various factors set out herein and under the heading “Risk Factors” in the Company’s Annual Information Form dated April 28, 2020, a copy of which is available on Aequus’ profile on the SEDAR website at www.sedar.com, and as otherwise disclosed from time to time on Aequus’ SEDAR profile. Should one or more of these risks or uncertainties, or a risk that is not currently known to us materialize, or should assumptions underlying those forward-looking statements prove incorrect, actual results may vary materially from those described herein. These forward-looking statements are made as of the date of this release and we do not intend, and do not assume any obligation, to update these forward-looking statements, except as required by applicable securities laws. Investors are cautioned that forward-looking statements are not guarantees of future performance and are inherently uncertain. Accordingly, investors are cautioned not to put undue reliance on forward looking statements.

CONTACT INFORMATION Aequus Investor Relations Email: investors@aequuspharma.ca Phone: 604-336-7906