BioLite, Inc., an ABVC BioPharma Subsidiary, Receives $230,000 Milestone Payment from AiBtl, Advancing Botanical Drug Licensing Collaboration

August 27, 2025 -  ABVC BioPharma, Inc. (NASDAQ: ABVC) ("Company"), a clinical-stage biopharmaceutical company developing therapeutic solutions in ophthalmology, CNS (central nervous systems), and oncologyhematology, today announced that one of its subsidiaries, BioLite, Inc., received an additional $230,000 milestone payment from AiBtl BioPharma, Inc. ("AiBtl") under the strategic licensing agreement for ABV-1504 and ABV-1505, two botanical-derived drug candidates being developed for Major Depressive Disorder (MDD) and Attention-DeficitHyperactivity Disorder (ADHD).

Strong Financial Impact

Including this latest payment, BioLite has received a cumulative $230,000 from AiBtl. Under the same licensing agreement, BioLite remains eligible to receive up to $7,000,000 in future cash milestone and licensing payments, subject to the achievement of specified milestones.

ABVC, as BioLite's majority owner and co-licensor, has separately received $350,000 to date and remains eligible for up to $6,650,000 in additional milestone and licensing payments, also subject to milestones. Thus, on a consolidated basis, the ABVC group could benefit from up to $13,420,000 in future cash payments, if all conditions are met.

In addition to the cash component, the licensing agreement includes equity consideration in which AiBtl issued 46,000,000 common shares, with 23,000,000 shares allocated to ABVC and 23,000,000 shares allocated to BioLite. When combining the total milestone payments, equity stakes, and potential future royalties, the transaction could represent approximately $667 million in potential value, based on internal valuations and assumptions.

Licensing Payment and Equity Summary

Unlocking Market Potential in CNS Botanical Drugs

Botanical-derived therapies for psychiatric disorders represent a growing global market opportunity.

• The anxiety and depression treatment market was valued at approximately US$15.4 billion in 2024 and is projected to reach US$19.3 billion by 2030 (CAGR 3.8%).[1]
• The ADHD therapeutics market was valued at approximately US$14.3 billion in 2023 and is expected to grow to US$18.6 billion by 2030 (CAGR 3.7%).[2]

In addition, major health organizations highlight the continued unmet medical needs:

• The World Health Organization (WHO) reports that depression is one of the leading causes of disability worldwide, affecting more than 380 million people globally.[3]
• The Centers for Disease Control and Prevention (CDC) identifies ADHD as one of the most common neurodevelopmental disorders in children, with a prevalence rate of 9.8% among U.S. children.[4]

These figures demonstrate the scale of the unmet needs in psychiatric care and the potential role that innovative botanical-based therapies may play.

Management Commentary

Dr. Uttam Patil, ABVC's Chief Executive Officer, stated:
 "This milestone payment to BioLite underscores the progress of our collaboration with AiBtl. While future payments remain contingent on milestone achievements, the combined structure of cash and equity can provide both companies with an important foundation to advance development. Depression and ADHD represent major global health challenges, and our continued work with AiBtl aims to explore safe and effective botanical-based treatment options that may expand therapeutic choices for patients."

Forward-Looking Outlook

We believe the licensing partnership with AiBtl has the potential to put ABVC in a unique position to become a frontrunner in the emerging field of botanical CNS therapies. By combining potential cash inflows, equity stakes, and a multi-billion-dollar market opportunity,[5] ABVC believes it will be able to strengthen its balance sheet and hopefully unlock transformational long-term value for shareholders. Based on the total potential proceeds at stake in this partnership, we believe ABVC is strategically set to capture both financial and clinical upside – reaffirming its trajectory toward becoming a global leader in botanical-derived psychiatric treatments.

About ABVC BioPharma & Its Industry

ABVC BioPharma is a clinical-stage biopharmaceutical company with an active pipeline of six drugs and one medical device (ABV-1701/Vitargus®) under development. For its drug products, the Company utilizes in-licensed technology from its network of world-renowned research institutions to conduct proof-of-concept trials through Phase II of clinical development. The Company's network of research institutions includes Stanford University, University of California at San Francisco, and Cedars-Sinai Medical Center. For Vitargus®, the Company intends to conduct pivotal clinical trials (Phase III) through global partnerships.

Forward-Looking Statements

This press release contains "forward-looking statements." Such statements may be preceded by the words "intends," "may," "will," "plans," "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential," or similar words. Forward-looking statements are not guarantees of future performance, are based on certain assumptions, and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company's control, and cannot be predicted or quantified, and, consequently, actual results may differ materially from those expressed or implied by such forward-looking statements. None of the outcomes expressed herein are guaranteed. Such risks and uncertainties include, without limitation, risks and uncertainties associated with (i) our inability to manufacture our product candidates on a commercial scale on our own, or in collaboration with third parties; (ii) difficulties in obtaining financing on commercially reasonable terms; (iii) changes in the size and nature of our competition; (iv) loss of one or more key executives or scientists; and (v) difficulties in securing regulatory approval to proceed to the next level of the clinical trials or to market our product candidates. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the Securities and Exchange Commission (SEC), including the Company's Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q. Investors are urged to read these documents free of charge on the SEC's website at http://www.sec.gov. The Company assumes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise.

This press release does not constitute an offer to sell, or the solicitation of an offer to buy any of the Company's securities, nor shall such securities be offered or sold in the United States absent registration or an applicable exemption from registration, nor shall there be any offer, solicitation or sale of any of the Company's securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.

Contact:

Uttam Patil

Email: uttam@ambrivis.com