Cheelcare Announces Medicare and Medicaid Services Reimbursement Approval for Companion Power Assist Device, Expanding U.S. Market Access

Investment Highlights:

• U.S. Medicare and Medicaid reimbursement eligibility achieved:
  The Company has received Pricing, Data Analysis, and Coding (“PDAC”) verification, enabling U.S. Medicare and Medicaid reimbursement for its Companion power assist device. Companion is a best-in-class, front-mounted add-on for manual wheelchairs that provides motorized assistance, helping users enable a higher quality of life.

• Medicare and Medicaid funding removes a key barrier to customer adoption:
  Medicare reimbursement supports broader clinical recommendation of Companion and improves accessibility for wheelchair users by reducing reliance on private-pay funding.

• Builds on existing U.S. sales momentum:
  Prior to Medicare and Medicaid reimbursement, Companion sales in the U.S. gained traction through Veterans Affairs, Workers’ Compensation, and private-pay channels, with recent periods of record sales indicating strong demand ahead of broader insurance coverage.

• U.S. distribution and manufacturing scale in place:
  With 300+ authorized dealers across the United States and operations now live at its new, 16,000 sq. ft. manufacturing facility (October 2025), Cheelcare is well positioned to support increased sales volumes.

• Foundation for more predictable revenue growth:
  Insurance-funded purchases are expected to accelerate adoption, improve revenue visibility, and support the Company’s path to profitability as adoption expands within the U.S. market.

Markham, Ontario–(Newsfile Corp. – January 26, 2026) – Cheelcare Inc. (TSXV: CHER) (“Cheelcare” or the “Company”), a Canadian innovator in advanced mobility solutions, announces that it has received Pricing, Data Analysis, and Coding (PDAC) verification for the Companion power assist device, confirming reimbursement eligibility.

Cheelcare currently is represented by a growing network of over three hundred authorized dealers throughout the United States. Historically, adoption of Companion within this network has been primarily concentrated within Veterans Affairs (VA), Vocational Rehab, and Workers Compensation (WC) programs, due to the absence of Medicare and Medicaid reimbursement. This reimbursement represents a significantly larger addressable market, and the Company expects this approval to accelerate sales activity across its existing U.S. dealer footprint.

“PDAC approval of a product is a critical step that most DME dealers require,” said Allan Boyd, Cheelcare’s Vice President of Growth. “This approval confirms that dealers may bill Medicare for Companion under HCPCS code E0986, which is expected to reduce financial barriers to providing medically necessary equipment for users who would otherwise be required to pay out of pocket. This makes our technology more accessible to end-users who need it and gives therapists the ability to prescribe it without funding-related constraints.”

“This approval marks an important milestone for Cheelcare,” said Eugene Cherny, Chief Executive Officer of Cheelcare Inc. “We believe we have a best-in-class product, have built a strong U.S. dealer network, and have invested ahead of this milestone to enhance our product, strengthen our quality systems, and expand manufacturing capacity at our new 16,000-square-foot facility. Together, these efforts position us well to capitalize on the growth and demand we expect to see as a result of this major development.”

The Company also noted recent commercial momentum for Companion, with record assisted-device sales achieved in November and December 2025, reflecting growing demand within the U.S. market ahead of broader Medicare and Medicaid reimbursement availability.

About Cheelcare Inc.
Cheelcare designs and manufactures innovative mobility solutions that empower independence for people with disabilities. From the Companion power assist devices to the groundbreaking Curio robotic complex-rehab power wheelchair, Cheelcare combines engineering excellence with human-centered design to improve quality of life. For more information, please visit: www.cheelcare.ca.

This news release may contain forward-looking statements. Forward-looking statements are based on current expectations and involve known and unknown risks, uncertainties, and other factors that may cause actual results or events to differ materially from those expressed or implied. Such factors include, but are not limited to, general economic conditions, market demand, supply chain disruptions, and regulatory approvals. Any forward-looking statements are made as of the date of this news release, and the Company does not undertake to update any forward-looking statements except in accordance with applicable securities laws.

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