$EAPH Announces Receipt of Preliminary Proposal

The preliminary proposal comes after many months of negotiations and contains an upfront financial consideration for the Mexican Marketing Authorization, which was received in September. The proposal was received from a major, multi-national pharmaceutical company who possess products and sales in over 90% of the markets throughout the world and who understands the sales growth opportunities in Mexico and other parts of Latin America, which are some of the fastest growing territories in the world. The proposal is for the distribution of Easton / BMV’s patented VagiSan (VS-Sense) women’s diagnostic test through OTC (over the counter) channels. VagiSense (VS-Sense) is the same product Bayer Pharmaceuticals had licensed and launched in late 2015 in Europe under its brand, Canestest. Prestige Distribution is currently selling throughout the US under its brand, Monistat, with multi-million dollars in sales and growing. Due to population and demographics, Easton and others believe sales in Mexico and other Latin American countries including its recently announced distribution agreement with Windsor Pharmaceuticals can match and possibly exceed current sales in Europe and North America. Easton is unable to disclose any names at this point in time until a definitive agreement is executed but will provide updates as they become available.

Other News Developments

Easton Pharmaceuticals is also pleased to announce it has moved to contract phase with a second large Pharmaceutical company for other products held by Easton / BMV, following negotiations had throughout the past year.

Easton will shortly disclose positive updates regarding its Paclitaxel and Docetaxel cancer drug licensing initiatives for Mexico and possibly other Latin American markets which it secured rights to last year.

Easton is also announcing it has initiated negotiations and will be forwarding a proposal to acquire an ownership interest in an Ontario, Canada based medical marijuana company who have received a letter to build and are in the late stages under the MMPR system in Canada. Medical Marijuana has taken a positive step forward after the federal liberal government in Canada recently announced plans to legalize recreational medical marijuana use throughout the country of Canada, which is expected to be implemented in the spring of 2017.

Products Portfolio Overview

VagiSense (VS-Sense): is the current brand name of the BV (Bacterial Vaginosis) patented diagnostic test, planned for launch in Mexico and other larger markets in Latin America, but may be renamed depending on the outcome of partner discussions with multi-national pharmaceutical companies, initiated in late 2015 and early 2016. VagiSense (VS-Sense) is the same product Bayer Pharmaceuticals had licensed and launched in late 2015 in Europe under its brand, Canestest. Prestige Distribution is currently selling in the US under its brand, Monistat, with multi-million dollars in sales and growing.

Gynofit: European-Union approved natural treatment for Bacterial Vaginosis (BV), potentially eliminating the use of antibiotics in women with BV and promoting optimal vaginal health. BV is expected to affect the vast majority of women at some point in their lives. Easton/BMV are working toward a January 2017 launch with a multi-national Pharma partner.

AmnioSense (Al-Sense): patented amniotic fluid leak test will be marketed in two presentations to capture maximum market, and is a unique Point-of-Care diagnostic panty liner for women in late-stage pregnancy able to distinguish between urine and amniotic fluid (breaking of water).

In parallel, Easton/BMV expects to finalize discussions for Mexican Sales & Distribution with a multinational Pharma Company specialized in Women’s Health for launch in January / February of 2017. The lucrative Mexican market alone is eight times that of Central America.