Acquisition of assets from Universal Pharmacy Ltd

MedPal AI (AIM: MPAL), a UK-based digital health and artificial intelligence ("AI") company focused on wellness management, announces the acquisition, through its wholly owned subsidiary, MedPal Limited, of key assets from Universal Pharmacy Limited ("Universal") (in administration) for £45,000 in cash (the "Acquisition"). The assets acquired include a leasehold property, goodwill, certain equipment and stock and Universal's NHS Pharmacy Contract which is a UK Distance Selling Pharmacy (DSP) licence. The Directors consider this licence to be strategically important as it will enable MedPal AI (via its subsidiary Medpal Limited) to provide regulated online and mail-order pharmaceutical services. Completion of the Acquisition is conditional, inter alia, upon Medpal Limited's successful application to NHS England for approval on its fitness to practice and change of ownership in respect of the NHS Pharmacy Contract previously held by Universal. The consideration is payable as to £15,000 on signing the agreement and £30,000 on completion, once the licence application has been approved.

In conjunction with the Acquisition, MedPal AI announces the appointment of Mike Rudin as Director of Online Pharmacy. Mike was formerly employed by Tesco Limited as Director of Pharmacy and Superintendent Pharmacist where he led the establishment of the UK's largest in-store pharmacy chain, spanning 200 outlets with annual turnover over £200 million. His expertise will drive MedPal AI's online pharmacy operations. More recently he has held senior management positions or directorships in business services, financial, pharmaceutical and wholesale companies.

MedPal AI's AI-powered app aggregates health data for personalised recommendations, including support for weight management. The Acquisition strategically positions MedPal AI in the rapidly growing GLP-1 agonist market for obesity treatment, including drugs such as semaglutide (eg. Ozempic and Mounjaro). As of September 2025, approximately 2.2 million UK adults (4.1% of the adult population)1 use GLP-1 drugs, with an average monthly cost of £200 per patient2, representing a target market opportunity exceeding £440 million in monthly revenue.

The Acquisition and appointment of Mike Rudin underscore MedPal AI's commitment to innovative, AI-enhanced healthcare.

Jason Drummond, Chief Executive Officer of MedPal AI, said:

"We are delighted to have been able to make this opportunistic yet strategically important acquisition. We will be making an investment into the business both to support its modernisation with the latest technology and to enable it to grow revenues rapidly. We also warmly welcome Mike Rudin as our new Director of Online Pharmacy. As one of the experienced senior superintendent pharmacists in the UK, Mike will be a major asset to MedPal AI and his expertise will be instrumental in driving our online pharmacy operations and revenues."

The Directors of the Company take responsibility for the contents of this announcement.