Predictmedix AI Announces Closing of $100,000 Third Tranche with Strong Insider Participation and Launch of Smart Health AI Stations

Rhea-AI Summary

Predictmedix AI (CSE: PMED, OTC: PMEDF) has successfully closed the third and final tranche of its non-brokered private placement, raising $100,000 CAD. The placement saw strong insider participation, with $90,000 subscribed by insiders Sheldon Kales and Dr. Rahul Kushwah ($45,000 each).

The company issued 5,000,000 units at $0.02 per unit, with each unit comprising one common share and one purchase warrant. Warrants are exercisable at $0.05 per share for 24 months, with an acceleration clause if share prices exceed $0.10 for ten consecutive trading days.

Additionally, Predictmedix has begun fabrication of fifteen Smart Health AI Stations for strategic deployment, primarily targeting the United States market. The proceeds will support market expansion, with a focus on U.S. enterprise and government sectors.

Positive

• Strong insider confidence demonstrated through 90% participation in private placement
• Manufacturing commenced for 15 Smart Health AI Stations
• Strategic expansion into U.S. enterprise and government sectors

Negative

• Low-price unit offering at $0.02 indicates potential share dilution
• Small capital raise of only $100,000 may limit growth potential

TORONTO--(BUSINESS WIRE)-- Predictmedix AI Inc. (CSE: PMED) (OTC: PMEDF) (FRA: 3QP) ("Predictmedix" or the "Company"), a leading provider in AI-powered health screening solutions, is pleased to announce the successful closing of the third and the final tranche of its non-brokered private placement, raising total gross proceeds of $100,000 CAD. Notably, $90,000 of the tranche was subscribed by insiders, with Sheldon Kales and Dr. Rahul Kushwah each participating for $45,000, highlighting strong internal confidence in Predictmedix’s future growth and innovation.

The Company issued 5,000,000 units (“Units”) at a price of $0.02 per Unit, raising $100,000 in this tranche. Each Unit consists of one common share of Predictmedix and one common share purchase warrant. Each full warrant (“Warrant”) entitles the holder to acquire an additional common share at $0.05 per share for a period of 24 months. However, if the volume-weighted average trading price of Predictmedix’s common shares on the CSE exceeds $0.10 for ten consecutive trading days (starting four months and one day after closing), the Company reserves the right to accelerate the warrant expiry date to no less than 30 days from the date of notice.

Additionally, Predictmedix is pleased to announce that fabrication of fifteen Smart Health AI Stations has commenced, with units planned for strategic deployment. These stations are set for strategic deployment, with a primary focus on the United States, where they will be showcased to targeted customers to accelerate market penetration and demonstrate the efficacy of Predictmedix’s AI-driven health management solutions. While the primary emphasis is on the U.S. market, the company may also deploy units in other regions as opportunities arise. Proceeds from the placement will be used to expand market opportunities, prioritizing growth in the U.S. across enterprise and government sectors.

Insiders’ participation in the Private Placement constitutes a “related party transaction” pursuant to Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Company is relying on the exemption from the valuation and minority shareholder approval requirements under MI 61-101, as the fair market value of the Insiders’ participation in the Private Placement does not exceed 25% of the market capitalization of the Company.

All securities issued in connection with the private placement are subject to a statutory hold period of four months and one day from the date of issuance.

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About Predictmedix AI Inc.
Predictmedix AI Inc. (CSE: PMED) (OTC: PMEDF) (FRA:3QP) is an emerging provider of rapid health screening and remote patient care solutions globally. The Company’s Smart Health AI Stations – powered by a proprietary artificial intelligence (AI) – use multispectral cameras to analyze physiological data patterns and predict a variety of health issues including 19 physiological vital parameters, impairment by drugs or alcohol, fatigue, or various mental illnesses. Predictmedix AI’s proprietary remote patient care platform empowers medical professionals with a suite of AI-powered tools to improve patient health outcomes. To learn more, please visit our website at www.Predictmedix.com or follow us on Twitter, Instagram or LinkedIn.

Caution Regarding Forward-Looking Information:
This news release may contain forward-looking statements and information based on current expectations. These statements should not be read as guarantees of future performance or results of the Company. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements. Although such statements are based on management’s reasonable assumptions, there can be no assurance that such assumptions will prove to be correct. We assume no responsibility to update or revise them to reflect new events or circumstances. The Company’s securities have not been registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”), or applicable state securities laws, and may not be offered or sold to, or for the account or benefit of, persons in the United States or “U.S. Persons”, as such term is defined in Regulations under the U.S. Securities Act, absent registration or an applicable exemption from such registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in the United States or any jurisdiction in which such offer, solicitation or sale would be unlawful. Additionally, there are known and unknown risk factors which could cause the Company’s actual results, performance or achievements to be materially different from any Page 4 of 4 future results, performance or achievements expressed or implied by the forward-looking information contained herein, such as, but not limited to dependence on obtaining regulatory approvals; the ability to obtain intellectual property rights related to its technology; limited operating history; general business, economic, competitive, political, regulatory and social uncertainties, and in particular, uncertainties related to COVID-19; risks related to factors beyond the control of the Company, including risks related to COVID-19; risks related to the Company’s shares, including price volatility due to events that may or may not be within such party’s control; reliance on management; and the emergency of additional competitors in the industry.

All forward-looking information herein is qualified in its entirety by this cautionary statement, and the Company disclaims any obligation to revise or update any such forward-looking information or to publicly announce the result of any revisions to any of the forward-looking information contained herein to reflect future results, events or developments, except required by law.

Disclaimer: The Company is not making any express or implied claims that its product has the ability to diagnose, eliminate, cure or contain the COVID-19 (or SARS-2 Coronavirus) at this time.

THE CANADIAN SECURITIES EXCHANGE HAS NOT REVIEWED NOR DOES IT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250401558602/en/

Dr. Rahul Kushwah, COO

rahul@predictmedix.com

(647) 889 6916

Source: Predictmedix AI Inc.

FAQ

How much did Predictmedix AI (PMEDF) raise in its third tranche private placement?

Predictmedix AI raised $100,000 CAD in the third tranche, with $90,000 coming from insider participation.

What are the terms of PMEDF's warrant offering in the private placement?

Each warrant allows purchase of one common share at $0.05 for 24 months, with acceleration if share price exceeds $0.10 for 10 consecutive trading days.

How many Smart Health AI Stations is PMEDF manufacturing and where will they be deployed?

Predictmedix is manufacturing fifteen Smart Health AI Stations, primarily targeting deployment in the United States market.

What is the level of insider participation in PMEDF's recent private placement?

Insiders contributed $90,000 of the $100,000 raised, with Sheldon Kales and Dr. Rahul Kushwah each investing $45,000.