M Pharmaceutical Announces Final Closing of Private Placement

Not for Release in the United States

Vancouver, BC (FSCwire) - M Pharmaceutical, Inc. (CSE:MQ, OTCQB: MPHMF, FWB:T3F2 ), (the "Company" or “M Pharma”), announced that it has completed its final closing of its recently announced non-brokered private placement of convertible debentures resulting in a total of $2,013,100 of debentures being issued. The debentures bear interest of 10% per annum for a term of 3 years, and be convertible into common shares of the Company at a conversion price of $0.075 per share. Interest on the debentures will be pre-paid by the issuance of units (“Prepaid Interest Units”) at a price of $0.08 per unit, each unit consisting of one common share and one common share purchase warrant entitling the holder to acquire one additional common share for $0.08 for a period of two years. In connection with both closings, 8,052,400 common shares and warrants were issued as prepaid interest. In addition, finders fees of $115,560 and 110,360 broker warrants, which have the same terms as the warrants issued as part of the Prepaid Interest Units, were issued. All securities issued on the second closing are restricted from trading until January 21, 2017.

Proceeds will be used to arrange manufacturing and testing of the Companies reformulated orlistat drug, starting the regulatory process around the same, and for general administrative expenses.

About M Pharmaceutical Inc.

Formed in early 2015, M Pharmaceutical Inc. is a clinical-stage company developing innovative technologies for obesity and weight management. In addition to its recent acquisition of C-103, a reformulation of orlistat from Chelatexx, LLC, the Company will focus on the development of its Trimeo capsules, temporary controllable pseudobezoars for non-invasive gastric volume reduction for the treatment of obesity, for which it has exclusive rights.

M Pharmaceutical trades on the Canadian Securities Exchange (CSE) under the ticker symbol “MQ” as well as on the OTCQB as “MPHMF” and FWB (Frankfurt Stock Exchange) as “T3F2.”

For more information contact:

Investor Relations

Phone: +1 604 428 0511

info@m-pharma.ca

www.m-pharma.ca

Notice regarding Forward Looking Statements: This news release contains forward-looking statements. The use of any of the words "anticipate", "continue", "estimate", "expect", "may", "will", "project", "should", "believe" and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. This news release includes forward-looking statements with respect to the commercialization of the rights to its biomedical technologies. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These statements speak only as of the date of this news release. Actual results could differ materially from those currently anticipated due to a number of factors and risks including various risk factors discussed in the Company's disclosure documents which can be found under the Company's profile on www.sedar.com and the Company’s filings to the CSE at www.cnsx.ca. Such risk factors may cause the inability of the Company to successfully commercialize any of its biomedical technologies.

To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/MPharma09202016.pdf

Source: M Pharmaceutical Inc. (CSE:MQ, OTCQB:MPHMF, FWB:T3F2.F)

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