Xtant Medical Receives Approval of Compliance Plan from

Xtant Medical Receives Approval of Compliance Plan

BELGRADE, Mont., Nov. 01, 2016 (GLOBE NEWSWIRE) -- Xtant Medical

Holdings, Inc. (NYSE MKT:XTNT), a leader in the development, manufacturing and marketing of orthopedic products for domestic and

international markets, today announced that the NYSE MKT LLC (the "Exchange") notified the Company that it accepted

the Company's plan to regain compliance with the continued listing requirements of the Exchange.

On August 19, 2016, the Company received notice that they are not

in compliance with NYSE MKT LLC continued listing standards. Specifically, the company is not in compliance with section 1003(a)(i)

and 1003 (a)(ii) and section 1003(a)(iii) of the NYSE MKT Company Guide since it reported stockholder's equity deficit of $496,000

as of June 30, 2016, and net losses in its five most recent fiscal years ended December 31, 2015.

The Company submitted its plan of compliance on September 13, 2016,

and on November 1, 2016, the Exchange notified the Company that it accepted the Company's plan of compliance and granted the Company

an extension until February 15, 2018 to regain compliance with the continued listing standards. The Company will be subject to

periodic review by Exchange Staff during the extension period.

About Xtant Medical Holdings

Xtant Medical Holdings, Inc. (NYSE MKT:XTNT) develops, manufactures

and markets class-leading regenerative medicine products and medical devices for domestic and international markets. Xtant products

serve the specialized needs of orthopedic and neurological surgeons, including orthobiologics for the promotion of bone healing,

implants and instrumentation for the treatment of spinal disease, tissue grafts for the treatment of orthopedic disorders, and

biologics to promote healing following cranial, and foot and ankle surgeries. With core competencies in both biologic and non-biologic

surgical technologies, Xtant can leverage its resources to successfully compete in global neurological and orthopedic surgery markets.

For further information, please visit www.xtantmedical.com.

Important Cautions Regarding Forward-looking Statements

This press release contains certain disclosures that may be deemed

forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to significant

risks and uncertainties. Forward-looking statements include statements that are predictive in nature, that depend upon or refer

to future events or conditions, or that include words such as "continue," "efforts," "expects," "anticipates,"

"intends," "plans," "believes," "estimates," "projects," "forecasts,"

"strategy," "will," "goal," "target," "prospects," "potential," "optimistic,"

"confident," "likely," "probable" or similar expressions or the negative thereof.

Statements of historical fact also may be deemed to be forward-looking

statements. We caution that these statements by their nature involve risks and uncertainties, and actual results may differ materially

depending on a variety of important factors, including, among others: our ability to integrate the acquisition of X-spine Systems,

Inc. and any other business combinations or acquisitions successfully; our ability to remain listed on the NYSE MKT; our ability

to obtain financing on reasonable terms; our ability to increase revenue; our ability to comply with the covenants in our credit

facility; our ability to maintain sufficient liquidity to fund our operations; the ability of our sales force to achieve expected

results; our ability to remain competitive; government regulations; our ability to innovate and develop new products; our ability

to obtain donor cadavers for our products; our ability to engage and retain qualified technical personnel and

members of our management team; the availability of our facilities; government and third-party coverage and reimbursement

for our products; our ability to obtain regulatory approvals; our ability to successfully integrate recent and future business

combinations or acquisitions; our ability to use our net operating loss carry-forwards to offset future taxable income; our ability

to deduct all or a portion of the interest payments on the notes for U.S. federal income tax purposes; our ability to service

our debt; product liability claims and other litigation to which we may be subjected; product recalls and defects; timing and

results of clinical studies; our ability to obtain and protect our intellectual property and proprietary rights; infringement

and ownership of intellectual property; our ability to remain accredited with the American

Association of Tissue Banks; influence by our management; our ability to pay dividends; our ability to issue preferred stock;

Additional risk factors are listed in the Company's Annual Report

on Form 10-K and Quarterly Reports on Form 10-Q under the heading "Risk Factors." You should carefully consider the trends,

risks and uncertainties described in this document, the Form 10-K and other reports filed with or furnished to the SEC before making

any investment decision with respect to our securities. If any of these trends, risks or uncertainties actually occurs or continues,

our business, financial condition or operating results could be materially adversely affected, the trading prices of our securities

could decline, and you could lose all or part of your investment. The Company undertakes no obligation to release publicly any

revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence

of unanticipated events, except as required by law. All forward-looking statements attributable to us or persons acting on our

behalf are expressly qualified in their entirety by this cautionary statement.