Oculus Innovative Sciences Announces Completion of Agreements Required for IPO by Company's Subsidiary, Ruthigen, Inc.

Oculus Innovative Sciences Announces Completion of Agreements Required for IPO
by Company's Subsidiary, Ruthigen, Inc.

PETALUMA, Calif., Feb. 6, 2014 (GLOBE NEWSWIRE) -- Oculus Innovative Sciences,
Inc. (Nasdaq:OCLS), today announced that as of January 31, 2014, Oculus has
entered into certain new and amended agreements with its wholly owned
subsidiary, Ruthigen Inc., which are required for Ruthigen's continued IPO
process.

A new financing agreement between Oculus and Ruthigen governs the terms of
certain additional financing. Oculus has agreed to continue to fund Ruthigen
for a total of up to, but not greater than, $760,000 to allow the subsidiary
to proceed with its intended initial public offering. Any funds provided by
Oculus pursuant to this funding agreement will be repaid by Ruthigen at the
time of the closing of the Ruthigen initial public offering, if and when that
occurs.

"We are committed to the Ruthigen IPO process because of the benefits to
Oculus, first in the form of reduced Oculus expenses post-separation;
secondly, the balance sheet benefits from our equity ownership in a separate
Ruthigen; thirdly, the immediate payback of IPO-related expenses and finally
the creation of strong, separate boards dedicated to their respective
shareholders and teams," said Jim Schutz, Oculus CEO. "But like any prudent
investor, we have essentially put a stop-loss into place via a final capped
budget, which we think minimizes our downside risk."

Other agreements amended and signed include a separation agreement, a license
and supply agreement and a shared services agreement. Additional information
concerning these agreements can be found in form 8-K filed by Oculus with the
SEC on February 6, 2014.

About Oculus Innovative Sciences

Oculus Innovative Science is a global healthcare company that designs,
manufactures and markets prescription and non-prescription products in 31
countries. The company's products are used to treat patients in
surgical/advanced wound management, dermatology, women's health and animal
health; addressing the unmet medical needs of these markets, while raising the
standard of patient care and lowering overall healthcare costs. The company's
headquarters are in Petaluma, California, with manufacturing operations in the
United States and Latin America. More information can be found at
www.oculusis.com

Forward-Looking Statements

Except for historical information herein, matters set forth in this press
release are forward-looking within the meaning of the "safe harbor" provisions
of the Private Securities Litigation Reform Act of 1995, including statements
about the commercial and technology progress and future financial performance
of Oculus Innovative Sciences, Inc. and its subsidiaries (the "Company").
These forward-looking statements are identified by the use of words such as
"anticipates," "believes," "expects," "may," "plans," and "will," among
others. Forward-looking statements in this press release are subject to
certain risks and uncertainties inherent in the Company's business that could
cause actual results to vary, including such risks that regulatory clinical
and guideline developments may change, scientific data may not be sufficient
to meet regulatory standards or receipt of required regulatory clearances or
approvals, clinical results may not be replicated in actual patient
settings,protection offered bythe Company'spatents and patent applications
may be challenged, invalidated or circumvented by its competitors,the
available market fortheCompany'sproducts will not be as large as
expected,the Company'sproducts will not be able to penetrate one or more
targeted markets,revenues will not be sufficient to fund further development
and clinical studies, the Company may not meet itsfuture capital needs, the
Company may not be able to obtain additional funding, as well as uncertainties
relative to varying product formulations and a multitude of diverse regulatory
and marketing requirements in different countries and municipalities, the
uncertainties associated with an initial public offering of a separate public
company, and other risks detailed from time to time in the Company's filings
with the Securities and Exchange Commission including its annual report on
Form 10-K for theyear ended March 31, 2013. The Company disclaims any
obligation to update these forward-looking statements, except as required by
law.

Oculus and Microcyn® Technology are trademarks or registered trademarks of
Oculus Innovative Sciences, Inc. All other trademarks and service marks are
the property of their respective owners.

CONTACT: Media and Investor Contact:
         Oculus Innovative Sciences, Inc.
         Dan McFadden
         VP of Public and Investor Relations
         (425) 753-2105
         dmcfadden@oculusis.com
 
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