Acerus Engages Paradigm Capital to Pursue Cannabinoid Opportunities

TORONTO–(BUSINESS WIRE)–Acerus Pharmaceuticals Corporation (TSX:ASP) (“Acerus” or the “Company”)
today announced that it has engaged Paradigm Capital Inc. (“Paradigm”)
as its financial advisor to leverage its proprietary nasal delivery
technology in cannabinoid applications through licensing, partnership
agreements or other transactions with interested parties.

On December 11, 2018, Acerus had previously announced the results of its
Phase 1 clinical trial (the “trial”) testing a proprietary intranasal
formulation of a tetrahydrocannabinol (“THC”)-rich cannabis oil in
healthy volunteers. The results demonstrated the following:

• The nasal formulation was absorbed and resulted in extended PK profile
  with maximum peak levels (Tmax) occurring seven hours after
  administration, on average;
• Bioavailability of THC from the nasal formulation was approximately
  2.2 times better than oral dronabinol capsules as described in recent
  literature (see Oh et al., Clinical Pharmacology: Advances and
  Applications 2017, 9, 9); and
• A majority of subjects reported appreciation of several key features
  of the nasal product, including quick/easy use, consistent dosing,
  portability and absence of smoke.

“We believe that the combination of the nasal delivery technology as
well as the results of the trial creates an asset and opportunity of
sizeable value,” said Ed Gudaitis, President and Chief Executive Officer
of Acerus. “At the same time, we are currently not interested in
directly entering the Cannabis market or to become a licensed producer.
As a result, we are pleased to work with Paradigm to find a partner that
can monetize the value in this opportunity.”

About Paradigm

Paradigm Capital is an independent, research-focused investment dealer
with offices in Toronto, Calgary and Montreal. Founded in 1999, Paradigm
provides its clients with a full suite of services including capital
raising, mergers and acquisitions, advisory, and equity sales and
trading. Paradigm’s industry coverage includes healthcare, cannabis,
technology, consumer products, metals and mining, energy and special
situations. Paradigm is a member of the Toronto Stock Exchange, the TSX
Venture Exchange and the Investment Industry Regulatory Organization of
Canada.

About Acerus

Acerus Pharmaceuticals Corporation is a Canadian-based specialty
pharmaceutical company focused on the development, manufacture,
marketing and distribution of innovative, branded products that improve
patient experience, with a primary focus in the field of men’s and
women’s health. The Company commercializes its products via its own
salesforce in Canada, and through a global network of licensed
distributors in the U.S. and other territories.

Acerus’ shares trade on TSX under the symbol ASP. For more information,
visit www.aceruspharma.com
and follow us on Twitter
and LinkedIn.

Notice regarding forward-looking statements

Information in this press release that is not current or historical
factual information may constitute forward-looking information within
the meaning of securities laws. Implicit in this information are
assumptions regarding our future operational results. These assumptions,
although considered reasonable by the company at the time of
preparation, may prove to be incorrect. Readers are cautioned that
actual performance of the company is subject to a number of risks and
uncertainties, including with respect to Acerus finding a partner for
its cannabinoids technology or the eventual commercial success of such
cannabinoids technology, and could differ materially from what is
currently expected as set out above. For more exhaustive information on
these risks and uncertainties you should refer to our annual information
form dated March 4, 2019 that is available at www.sedar.com.
Forward-looking information contained in this press release is based on
our current estimates, expectations and projections, which we believe
are reasonable as of the current date. You should not place undue
importance on forward-looking information and should not rely upon this
information as of any other date. While we may elect to, we are under no
obligation and do not undertake to update this information at any
particular time, whether as a result of new information, future events
or otherwise, except as required by applicable securities laws.

Contacts

Acerus Pharmaceuticals Corporation
Ed Gudaitis
President Chief
Executive Officer
[email protected]
(905)
817-8194