Helius Medical Technologies Announces Filing of Final MJDS Base Shelf Prospectus

NEWTOWN, PENNSYLVANIA--(Marketwired - Jan. 26, 2017) - Helius Medical Technologies, Inc. (TSX:HSM)(TSX:HSM.S)(TSX:HSM.WT.S)(OTCQB:HSDT) ("Helius" or the "Company") announced today that it has filed a final MJDS base shelf prospectus (the "Final Canadian Prospectus") with the securities commissions in each of the provinces of Canada. The Final Canadian Prospectus allows Helius, following the filing of a prospectus supplement, to issue various types of securities in Canada, including common stock, debt securities and/or warrants (collectively, the "Securities") or any combination thereof up to an aggregate amount of US$100 million.

"We are pleased to be positioned in both Canada and the United States to efficiently access various funding opportunities," said Phillippe Deschamps, Helius' CEO. "This mixed shelf prospectus supports the Company's business and growth objectives for 2017 including the completion of our registrational study in mild to moderate traumatic brain injury, pre-commercialization activities and research to broaden the potential indications for our technology."

This Canadian filing follows a registration statement on Form S-3, relating to the same securities, which has been filed with the United States Securities and Exchange Commission and has been made effective. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these Securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification. The Final Canadian Prospectus is available on the Company's profile on www.sedar.com.

About Helius Medical Technologies, Inc.

Helius Medical Technologies is a medical technology company focused on neurological wellness. Helius seeks to develop, license and acquire unique and non-invasive platform technologies that amplify the brain's ability to heal itself. Helius intends to file for FDA clearance for the PoNS™ device. For more information, please visit www.heliusmedical.com.

Cautionary Disclaimer Statement:

Certain statements in this news release are not based on historical facts and constitute forward-looking statements or forward-looking information within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and Canadian securities laws ("forward-looking statements").

All statements other than statements of historical fact included in this news release are forward-looking statements that involve risks and uncertainties. Such forward-looking statements include, among others, statements regarding ongoing or planned clinical research, expected future development timelines, regulatory approvals, business initiatives and objectives and use of proceeds from financings or other business initiatives.

Forward-looking statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions.

There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations include the failure of the Company to achieve its business objectives and other risks detailed from time to time in the filings made by the Company with securities regulators.

The reader is cautioned that assumptions used in the preparation of any forward-looking statements may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking statement. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. Risks and uncertainties about the Company's business are more fully discussed in the Company's disclosure materials, including its Annual Report on Form 10-K filed with the United States Securities and Exchange Commission and the Canadian securities regulators and which can be obtained from either at www.sec.gov or www.sedar.com.

The forward-looking statements contained in this news release are made as of the date of this news release and the Company assumes no obligation to update any forward-looking statement or to update the reasons why actual results could differ from such statements except to the extent required by law.