Else Prepares to Enter The $52B Global Kids Nutrition Market with Ready-To-Drink Kids Nutritional Shakes - Seite 2

Like their powdered counterparts, these new RTD Kids Nutritional Shakes are Clean Label Project Purity certified, free from chemicals of concern, as well as industrial and environmental toxins, including heavy metals. They're free of gluten, dairy, soy, corn syrup, and GMOs, packed with protein, healthy carbs, healthy fats, and over 20 essential nutrients. Notably, they contain significantly less sugar than leading brands, illustrating Else Nutrition's commitment to clean, minimally processed nutrition.

After their unveiling at Natural Products Expo East (booth #2238 from September 21 to 23), the shakes will be available across the US. Notably, Else Nutrition Kids Shakes powdered products have been approved for US federal insurance billing, making them more accessible to families nationwide.

To learn more about Else Nutrition and its range of products, visit www.elsenutrition.com

Additionally, the Company announces that it has extended the vesting deadline for an aggregate of 31,801,492 performance warrants (the “Performance Warrants”) by two years to June 12, 2027.

The Performance Warrants were issued to certain key members of management of the Company in connection with the completion of the Company’s qualifying transaction on June 12, 2019. Each Performance Warrant entitles the holder to receive one common share of the Company, with vesting of the Performance Warrants occurring in stages upon achieving certain business milestones. The vesting deadline for the Performance Warrants was previously extended to June 12, 2025, in 2021 due to industry delays resulting from COVID-19. As amended, all Performance Warrants that have not been vested by June 12, 2027, will expire.

The extension of the Performance Warrants was approved by shareholder vote, excluding the votes of the holders of the Performance Warrants, at the Company’s shareholder meeting held on June 29, 2023. A description of the business milestones is provided in the meeting materials sent to shareholders and is available on SEDAR. The Company has also received conditional approval of the Toronto Stock Exchange to the extension of the vesting deadline of the Performance Warrants.

The amendment of Performance Warrants constitutes a “related party transaction” as contemplated by Multilateral Instrument 61-101 Protection of Minority Shareholders in Special Transactions (“MI 61-101”). The amendment is exempt from the valuation requirement under section 5.5(a) of MI 61-101 as the amendment represents less than 25% of the market capitalization of the Company.