PetVivo Holdings Terminates VetStem License, Settles Dispute

What Happened
PetVivo Holdings, Inc. announced it entered into a Termination and Settlement Agreement with VetStem, Inc., terminating the Exclusive License and Supply Agreement effective July 24, 2026. Under the settlement, all exclusive rights granted to PetVivo reverted to VetStem, ownership of PetVivo’s remaining PrecisePRP® Canine and PrecisePRP® Equine inventory transferred to VetStem, and the parties mutually released most claims arising under the License Agreement through the effective date. The settlement eliminates the parties’ remaining financial obligations under the License Agreement except for specified payments under the Settlement Agreement.

Key Details

• Settlement effective date: July 24, 2026.
• Cash payments by PetVivo: $75,000 total ( $50,000 due within 14 days of the effective date; $25,000 due within 30 business days).
• Inventory transfer: PetVivo’s remaining PrecisePRP® Canine and Equine inventory transferred to VetStem; an inventory reconciliation may require PetVivo to pay an additional amount if transferred inventory is below agreed minimums (specific shortfall amount omitted from the filed exhibit).
• Warrant remains outstanding: the Common Stock Purchase Warrant issued to VetStem for 250,000 shares was not terminated or modified.
• Surviving provisions: confidentiality, IP ownership, dispute resolution and customary post-termination obligations survive the termination.
• The parties stated the Settlement Agreement "fully and finally" resolves disputes and extinguishes prior claimed financial obligations except those expressly preserved.

Why It Matters
For investors, the agreement removes ongoing legal and financial uncertainty tied to the previous exclusive license with VetStem and limits PetVivo’s remaining cash obligation to the specified settlement payments (plus any potential inventory-reconciliation payment). The company no longer holds exclusive rights under the prior License Agreement and has transferred its related inventory back to VetStem, which could affect PetVivo’s ability to commercialize those PrecisePRP® products going forward. The outstanding 250,000-share warrant to VetStem remains in place and could dilute shareholders if exercised. PetVivo also issued a press release on July 28, 2026 announcing the settlement (filed as an exhibit to the Form 8-K).