Zelira Therapeutics Ltd. provides an update to the enhanced distillate capture and dissolution matrix (EDCDM) Technology license agreement with DRCN Holdings LLC (DRCN) (Agreement), announced on 3 November 2021. On 10 January 2022, Zelira announced it had received $250,000 of the $1,000,000 upfront, non-refundable, non-contingent licensing fee due from DRCN. Zelira announced a resolution of its ongoing discussions with DRCN regarding the outstanding balance of $750,000 due from DRCN.

Zelira has now received an additional $250,000 payment from DRCN, for a total receipt of upfront, non-refundable, non- contingent licensing fee from DRCN of $500,000. The parties have mutual agreed to terminate the licensing agreement. Zelira confirms that DRCN did not receive or gain access to any aspect of Zelira's EDCDM technology.