REPEAT

AgraFlora Organics Awarded Health Canada Research License at GMP-Certified Toronto, Ontario Bottling Facility and Increases Convertible Debenture Offering - Seite 2

With annualized throughput of up to 30 million bottles, the Toronto Bottling Facility is equipped with custom-made bottling equipment, configured to conduct rapid production runs, with minimal downtime for production line changeovers. Fully operational, the Company’s Toronto Bottling Facility has been granted the following industry certifications:

• Good manufacturing practices (“GMP”);
• Canadian organic standards;
• Certified vegan;
• Fair trade certification (“ISO 17065”); and,
• Kosher facility status.

Brandon Boddy, Chairman and Chief Executive Officer of AgraFlora stated: “The award of a Health Canada Research License at our GMP-certified Toronto Bottling Facility again places us at the nexus of a lucrative cannabis 2.0 vertical - cannabinoid-infused adult use and functional beverages. The functional beverage category is increasingly becoming the popular choice among consumers who are seeking low-calorie, nutrient-dense options as a healthy alternative to traditional beverages.

Our GMP-certified Toronto Bottling Facility, coupled with exclusive access to a suite of established cannabinoid-infused product formulation recipes already proven to garner considerable attention in mature U.S. marketplaces such as Colorado, further reinforces our position as a leader in the next phase of Canadian cannabis normalization.

The marketing and eventual distribution of our beverage products will follow additional testing, and will be subject to necessary approvals and licences to be granted by Health Canada and regulatory authorities in other territories."

Further to the Company’s news release dated November 25, 2019, AgraFlora has entered into signed subscription agreements for a non-brokered private placement offering consisting of 30,000 unsecured convertible debentures with an aggregate face value of $1,000 for increased gross aggregate proceeds of $30 million. The debentures shall mature on March 12, 2021.

Proceeds from the placement will be used as general working capital and to continue the Company's continuing capital expenditures at its 2.2-million-square-foot Delta greenhouse complex as well as its 51,500-square-foot Winnipeg edibles facility and for investment purposes.

About AgraFlora Organics International Inc.

AgraFlora Organics International Inc. is a growth oriented and diversified company focused on the international cannabis industry. It owns an indoor cultivation operation in London, ON and is a joint venture partner in Propagation Services Canada Inc. and its large-scale 2,200,000 sq. ft. greenhouse complex in Delta, BC. The Company is also retrofitting a 51,500-square-foot good manufacturing practice (“GMP”) edibles manufacturing facility in Winnipeg, Manitoba. AgraFlora has a successful record of creating shareholder value and is actively pursuing other opportunities within the cannabis industry. For more information please visit: www.agraflora.com.