Contract Extension from AAH Pharmaceuticals

Quantum Pharma Plc

(the "Group")

Award of Contract Extension from AAH Pharmaceuticals

Quantum Pharma Plc (AIM:QP.), the growing, service-led niche pharmaceutical manufacturer, developer and supplier to the health and care sectors, is pleased to announce that Quantum Pharmaceutical Limited ("Quantum"), the largest business unit in the Group's Specials division, has signed a new five-year contract extension with AAH Pharmaceuticals Limited ("AAH"). AAH is the UK's leading wholesaler and distributor of pharmaceutical and healthcare products and services to pharmacy, hospitals and dispensing doctors.  AAH is a division of Celesio UK which owns Lloyds Pharmacy and has a growing presence in the UK retail pharmacy sector.

Quantum is the UK's leading manufacturer and supplier of unlicensed medicines and special obtain products and has had a successful relationship with AAH since 2008. Under the terms of the new contract extension, Quantum will continue to be the exclusive supplier of specials1 and special obtains2 to AAH for the next five years, together with the provisions of certain order handling, procurement and distribution services in connection with such supply. AAH serves Lloyds Pharmacy and other pharmacies in the Celesio UK Group. Quantum will also provide outsourced third party management for AAH's own specials offering, AAH Specials.

Andrew Scaife, Chief Executive of Quantum Pharma Plc, commented: "We are delighted to have signed this contract extension with AAH, a long term partner with whom Quantum has built a strong relationship.

"Not only is this partnership with AAH important for the Group financially, such strategic relationships with our Specials division also provide a further route to market for our licensed products and medical devices from our Niche Pharmaceutical division as well as potential partners for Biodose Connect® in our Medication Adherence division.

"We believe that no other specials supplier in the UK can rival what Quantum offers in relation to breadth of manufactured range, obtains procurement, capacity and delivery times; all backed by high levels of service and support."

1 a special is an unlicensed medicine which is prescribed to a patient when the licensed form of a drug does not meet their specific clinical need, or when there is no licensed form of drug available on the market suitable to treat their condition. Specials are requested and prescribed for treatment by appropriately qualified doctors under their own authority.

2 a special obtain is a hard-to-source medicine or ancillary product that is not available from main pharmaceutical wholesalers, including specialist foods such as gluten-free breads, branded generics and vitamins, dressings, made-to-measure compression hosiery and dermatology products.

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Notes to Editors

Quantum Pharma is a service-led, niche pharmaceutical manufacturer, developer and supplier to the retail pharmacy, pharmaceutical wholesale, hospital, homecare and care home markets. Quantum Pharma operates through three divisions, offering a portfolio of innovative and complementary products and services.

Specials:

Comprising four business units:

Quantum Pharmaceutical manufactures and supplies specials and special obtains for pharmacy chains, pharmaceutical wholesalers, hospitals and independent pharmacies in the UK.

UL Medicines sources and supplies unlicensed imported medicines, batch-made and bespoke specials to hospitals, community pharmacies and wholesalers in the UK and overseas.

NuPharm offers outsourced manufacture for solid and liquid dose batch-made specials and niche licensed medicines, product development as well as clinical trials product manufacture.

Quantum Aseptic Services manufactures aseptically prepared, sterile intravenous products, either individually, for named patients or in batches for supply to private and NHS hospitals and homecare patients.

Niche Pharmaceuticals

Comprising three business units:

Colonis® is a product development business, which takes niche pharmaceutical products through the regulatory pathway to achieve licensed and/or regulated status.

Lamda is a full-service contract development specialist with customers across Europe. It specialises in creating added-value products with distinct advantages for patients and health care providers. It also provides full services for the entire development chain - from inception to registration; to post-approval, finished product supply and regulatory support.

PERN Consumer Products, owner of the Dermacool brand - a range of menthol in aqueous creams.

Medication Adherence

Comprises two business units:

Biodose® a medicines delivery system that accommodates liquid and solid medication, supporting medicines administration and adherence, for patients, their carers and clinicians. Biodose Connect® - A telehealth version with the ability to remotely monitor medication adherence is in live testing.

Biodose Services® assembles and delivers pre-prepared medication regimes to homecare patients, incorporating Biodose® as appropriate.

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