FSD Pharma and Solarvest Enhance Commitment to CBD Research Project

FSD Pharma Inc. (NASDAQ: HUGE) (CSE: HUGE) (FRA: 0K9A) (“FSD Pharma”) and Solarvest BioEnergy Inc. (TSX-V: SVS) (“Solarvest”) (collectively, the “Parties”), are pleased to announce that, further to their press release of May 7, 2019, the Parties have agreed to amendments to the Collaborative Research and Development Agreement (the “Research Agreement”) designed to accelerate progress of the research project that Solarvest is carrying out (the “CBD Research Project”). Under the amended Research Agreement, FSD Pharma has agreed to issue additional class B subordinate voting shares (“FSD Shares”) to Solarvest, which will enable Solarvest to fund the CBD Research Project. In addition, Solarvest has appointed Dr. Edward J. Brennan, Jr., M.D., FACS (“Dr. Brennan”), currently the President of FSD Pharma’s BioSciences Division, to the board of directors of Solarvest.

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The CBD Research Project involves Solarvest utilizing its algae expression platform to modify algae for the production of pharmaceutical-grade cannabinoids (“Project Cannabinoids”). The Solarvest project is progressing on track and has made progress towards this objective. Since this is a cost-intensive project, and, to enable Solarvest to accelerate the pace of the research, FSD Pharma has issued an additional 225,371 FSD Shares to Solarvest.

The Parties have also mutually agreed that Solarvest would benefit from the additional oversight of Dr. Brennan, who brings with him over 25 years of experience in leadership roles at major pharmaceutical companies and clinical research organizations and has a proven track record in drug development.

FSD Pharma may realize substantial benefits if the CBD Research Project is successful, as Solarvest is required to grant FSD Pharma an exclusive, worldwide license to develop and commercialize prescription drugs that can treat diseases affecting the central nervous system, and Solarvest will additionally provide FSD Pharma with a royalty fee on the sale or licensing of certain products derived from the Project Cannabinoids.

About FSD Pharma

FSD Pharma is a specialty biotech pharmaceutical R&D company focused on developing over time a robust pipeline of FDA-approved synthetic compounds targeting the endocannabinoid system of the human body to treat certain diseases of the central nervous system and autoimmune disorders of the skin, GI tract, and the musculoskeletal system.