Victory Square Technologies Inc. provides a corporate update as it begins 2026, outlining developments across its digital health, biotech, pet health, diagnostics, and immersive technology platforms.

Victory Square Technologies Inc. (CSE: VST) (FSE: 6F6) (OTC Pink: VSQTF) ("Victory Square" or the "Company") provides a corporate update as it enters 2026 across its digital health, biotech, pet health, diagnostics, and immersive technology platforms.

"Our portfolio companies continue to advance their respective operating and regulatory initiatives," said Shafin Diamond Tejani, Chairman & CEO of Victory Square. "We are concentrating in healthcare - one of the largest and most fragmented industries in North America - where compliance and execution create structural barriers to entry."

2026 Strategic Focus: Scaling Healthcare Infrastructure

Victory Square's 2026 focus centers on healthcare infrastructure - the regulated rails enabling compliant care at national scale.

According to the Centers for Medicare & Medicaid Services (CMS), U.S. healthcare spending is projected to exceed $7.2 trillion by 2031. U.S. healthcare remains structurally fragmented, with state-specific physician licensing requirements, CPOM restrictions, multi-state telehealth regulation, complex pharmacy oversight, and elevated administrative costs.

Industry research, including Deloitte's 2023 U.S. Healthcare Outlook and the Kaiser Family Foundation's (KFF) 2022 Health Care Debt Survey, indicates that structural inefficiencies and cost-related access barriers remain present within parts of the system.

Management believes that regulatory complexity, while challenging, creates structural barriers to entry that favor operators capable of building compliant, multi-state infrastructure. Building and coordinating these frameworks requires sustained regulatory navigation, operational oversight, and integrated systems.

Within the Victory Square ecosystem, this infrastructure includes coordinated physician and medical director networks, pharmacy relationships, nurse and clinic partnerships, telehealth and software platforms, laboratory integration, and legal and compliance frameworks structured for multi-state operation. Management views this integrated approach as foundational to supporting scalable healthcare programs across multiple therapeutic categories.

The $10M Digital Health Accelerator

In January 2025, Hydreight and Victory Square launched a $10 million Digital Health Accelerator to scale emerging healthcare brands onto the VSDHOne platform.

The program targets U.S.-based operators generating at least $750,000 in annual revenue seeking national scale without rebuilding compliance infrastructure.

Participants receive:

50-state telehealth rails

Physician network integration

Pharmacy enablement

Workflow automation

Marketing and regulatory support

Since launch, the accelerator has increased engagement with healthcare operators across multiple verticals, including metabolic health, peptides, sexual health, skincare, genetics, longevity, and preventative care. The program has also contributed to the identification of prospective licensees and healthcare brands that may integrate into the broader VSDHOne ecosystem.

The objective is to align qualified operators with existing regulated infrastructure and support scalable healthcare delivery models.

Hydreight Technologies (TSXV: NURS)

Hydreight is Victory Square's largest operating subsidiary, and its financial results are consolidated within Victory Square's financial statements. Victory Square holds a majority ownership position in Hydreight and participates in an additional 10% profit share associated with the VSDHOne platform.

Hydreight operates a vertically integrated healthcare infrastructure platform supporting compliant multi-state care delivery.

Hydreight has publicly issued fiscal 2026 revenue guidance of approximately $150 million, with Q1 2026 revenue expected between $25-$28 million.¹

The guidance assumes no material increase in fixed operating costs relative to late-2025 levels. Based on current planning assumptions, Hydreight has indicated an expected Adjusted EBITDA margin of approximately 15-17%, reflecting anticipated operating leverage as transaction volumes scale. Actual results may vary depending on transaction volumes, partner mix, audit outcomes, and revenue recognition treatment.

Readers are referred to Hydreight's public filings for complete financial disclosure, including gross margin, expenses, and net income information.

Healthcare Infrastructure Thesis: Hydreight + Insu

Hydreight and Insu operate at complementary layers of the same ecosystem.

Hydreight provides the national compliance and distribution layer - regulated patient access, medical oversight, and pharmacy fulfillment.

Insu Therapeutics advances its novel oral peptide delivery platform, addressing one of the most significant bottlenecks in peptide therapy administration; enabling effective non-injectable administration.

Insu completed a milestone pre-clinical evaluation of its buccal Semaglutide program, utilizing Semaglutide manufactured by Novo Nordisk, innovator behind Ozempic®. The Company has received Research Ethics Board approval from the University of British Columbia to initiate Phase a more advanced animal study program which will be essential to prepare for human studies.

Semaglutide represents one of the most commercially and clinically significant GLP-1 receptor agonists globally. Demonstrating Insu's buccal delivery feasibility with Semaglutide provides important translational validation of Insu's peptide delivery platform.

The proprietary formulation is engineered to:

Facilitate transmucosal absorption of peptide therapeutics across the buccal epithelium (Transmucosal is administration of medication directly through the mucous membranes such as in the mouth)

Circumvent gastrointestinal enzymatic degradation of peptide medicines like Insulin

Avoid hepatic first-pass metabolism associated with enteral delivery, ensuring a fast onset of action

Stable formulation that doesn't require refrigeration like most peptides

The IP strategy positions Insu as a potential delivery enabler across multiple injectable peptide therapies beyond insulin and semaglutide.

For VST shareholders, this provides exposure across both the regulated distribution layer and the therapeutic innovation layer of expanding peptide markets.

"Our strategy extends beyond any one product," said Tejani. "We are building the operational and regulatory infrastructure required to operate effectively in a complex healthcare landscape. With the right compliance, clinical oversight, and commercialization channels in place, this platform can enable the expansion of multiple therapies in the future"

Pawsible Ventures - Pet Health Infrastructure Platform

Pawsible Ventures continues executing on its strategy to build infrastructure for emerging pet health companies.

Backed by Victory Square, Pawsible has launched:

A $10 million venture fund

A venture studio model

An inaugural incubator program supporting early-stage founders in pet diagnostics, veterinary software, AI-enabled tools, and personalized wellness

The incubator will support a focused cohort of companies beginning in March 2026, with structured programming across validation, regulatory navigation, commercialization, and investor readiness.

Victory Square will be hosting an investor webinar featuring Alex Chieng, Founder & CEO of Pawsible.VC, providing deeper visibility into the platform strategy and roadmap. The webinar will take place on February 19, 2026 at 1:15 PM.

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