The Brace Shop, LLC agreed to acquire VeriTeQ Corporation (OTCPK:VTEQ) in a reverse merger transaction on November 25, 2015. VeriTeQ has paid $0.125 million in cash and will pay $0.125 million within four business days after the closing of the transaction. VeriTeQ will also pay one unit of the Company's to be established Series E preferred stock which is convertible into 84.9% of the issued and outstanding shares of common stock and a golden share in the form of a warrant exercisable for that number of shares of common stock required to insure that the Series E preferred stock issued as part of the purchase price is convertible into 84.9% of the issued and outstanding shares of common stock.

The purchase price was financed by the sale of a senior secured convertible promissory note of $0.15. The transaction is subject to regulatory approval and the conversion of debt to equity. The transaction is expected to close in January 2016.

Ali Panjwani of Pryor Cashman LLP acted as legal advisor to The Brace Shop, LLC and Lawrence G. Nusbaum of Gusrae Kaplan Nusbaum PLLC acted as legal advisor to VeriTeQ.