Sanara MedTech Inc. Announces the Purchase of Certain Assets from Rochal Industries, LLC FORT WORTH, TX / ACCESSWIRE /

Sanara MedTech Inc. Announces the Purchase of Certain Assets from

Rochal Industries, LLC

FORT WORTH, TX / ACCESSWIRE / July 19, 2021 / Sanara MedTech

Based in Fort Worth, Texas, Sanara MedTech Inc.

( Sanara, the Company, we,

our or us ) (NASDAQ: SMTI), a provider

of surgical and chronic wound care products dedicated to improving

patient outcomes, announced today the acquisition

of certain assets of

Rochal Industries, LLC ( Rochal ).

Ron Nixon, Sanara's Executive Chairman, stated, As

part of our comprehensive wound and skin strategy, Sanara is

committed to commercializing innovative products that improve

outcomes at a lower overall cost. We believe the addition of the

Rochal team, with their extensive experience in commercializing

technology innovations, is a key component to helping us achieve

that strategy. Through this acquisition, Sanara gained a dedicated

research and development team, led by Dr. Rebecca McMahon, that we

believe can develop products uniquely suited to address our

patients' wound and skin conditions. This team also

strengthens our expertise in areas of regulatory, manufacturing,

and quality control and aligns the long-term interests of both

Ann Beal Salamone, Rochal's Chairman, added, Rochal

has enjoyed a fruitful relationship with Sanara since 2019 and is

looking forward to the continuing success of its products under

Sanara's leadership.

Sanara acquired certain assets of Rochal, including, among others,

intellectual property, four FDA 510(k) clearances, rights to

license certain products and technologies currently under

development, equipment, and supplies. In addition, Sanara has hired

all Rochal personnel. Rochal retained certain license agreements

for products already licensed to Sanara, one silicone FDA 510(k)

cleared product, and rights to certain products and technologies

currently under development.

The purchase price for the Rochal assets was approximately $1.0

million, consisting of $0.5 million in Sanara common stock and

approximately $0.5 million in cash. Sanara believes that by

acquiring these assets, it will incur approximately $1.2 million to

$1.5 million in additional operating expenses in the first 12

months following the acquisition, but some of this expense could be

offset by future grants and outside contract revenue that may be

received by the Company as a result of the

About Rochal Industries, LLC

Rochal Industries, LLC, established in 1986, is a global leader in

commercializing technology innovations in natural and synthetic

polymers, antimicrobials, and biological systems. As a company

focused on wound and skin care, Rochal created the field of

non-stinging liquid bandages in the 1990's and has continued

to develop next generation products in that category.

About Sanara MedTech Inc.

With a focus on improving patient outcomes through evidence-based

healing solutions, Sanara MedTech Inc. markets, distributes, and

develops wound and skincare products for use by physicians and

clinicians in hospitals, clinics, and all post-acute care settings

and is seeking to offer wound care and dermatology virtual

consultation services via telemedicine. Sanara's products are

primarily sold in the North American advanced wound care and

surgical tissue repair markets. Sanara MedTech markets and

distributes CellerateRX

to the surgical markets as

well as the following products to the wound care market:

BIAK S Antimicrobial Skin and Wound Cleanser,

BIAK S Antimicrobial Wound Gel, BIAK S

Antimicrobial Skin and Wound Irrigation Solution and HYCOL

Hydrolyzed Collagen. Through the Rochal asset acquisition,

Sanara's pipeline now contains potentially transformative

product candidates for mitigation of opportunistic pathogens and

biofilm, wound re-epithelialization and closure, necrotic tissue

debridement, and cell compatible substrates. The Company believes

it has acquired the ability to drive its pipeline from concept to

preclinical and clinical development while meeting quality and

regulatory requirements. Sanara is constantly seeking long-term

strategic partnerships with a focus on products that improve

outcomes at a lower overall cost. In addition, Sanara is actively

seeking to expand within its six focus areas of wound and skincare

for the acute, post-acute, and surgical markets. The focus areas

are debridement, biofilm removal, hydrolyzed collagen, advanced

biologics, negative pressure wound therapy adjunct products, and

the oxygen delivery system segment of the healthcare industry. For

more information, visit SanaraMedTech.com.

Information about Forward-Looking Statements

The statements in this press release that do not constitute

historical facts are forward-looking statements,

within the meaning of and subject to the safe harbor created by the

Private Securities Litigation Reform Act of 1995. These statements

may be identified by terms such as anticipate,

believes, contemplates,

preliminary, project,

seek, should, target,

will, or would, or the negatives of

these terms, variations of these terms or other similar

expressions. These forward-looking statements include statements

regarding anticipated costs and expenses to be incurred as a result

of the acquisition, the development of new products and expansion

of the Company's business in telehealth and wound care. These

items involve risks, contingencies and uncertainties such as

Sanara's ability to successfully integrate the acquired

business and operations of Rochal, including Sanara's ability

to retain key employees following the acquisition, unexpected costs

or expenses that may result from the acquisition, uncertainties