Empower Clinics Provides Corporate Update

VANCOUVER, BC / ACCESSWIRE / August 18, 2023 / EMPOWER CLINICS INC (CSE:EPW)(OTC PINK:EPWCF) ("Empower" or the "Company") an integrated healthcare company with a developing research and clinical trials division announces various corporate updates.

CEASE TRADE ORDER

On August 15^th, 2023 the British Columbia Securities Commission ("BCSC") issued a bulletin announcing Empower is suspended pursuant to CSE Policy 3. The suspensions are considered Regulatory Halts as defined in National Instrument 23-101 Trading Rules and accordingly a Cease Trade Order has been put in place on the Canadian Securities Exchange.

The Regulatory Halt is a result of the Company currently being late to file its adjusted year end financials as at March 31, 2023.

ACCOUNTING AND AUDIT STATUS

Audit procedures commenced at the conclusion of the adjusted year end for the Company. In recent weeks while the Company was arranging for additional working capital, our external accounting group and auditors had to pause certain portions of the audit procedures until such time as payment of professional fees could resume. With new budgets established audit processes have recommenced.

Steven McAuley, Chairman & CEO of Empower commented, "We have all been aware of the broader market challenges many issuers have been facing, and we at Empower have been impacted throughout our divisions and in corporate operations. He continues, "I am personally extremely disappointed to be in this position having to overcome audit challenges that directly impact shareholders ability to trade. We have no choice but to work diligently on the requirements and get the cease trade order lifted as soon as we can. We are committed to provide regular updates on our progress, and I thank all shareholders and followers for your patience."

KAI MEDICAL LABORATORY LLC

The Company previously announced Kai Medical Laboratory LLC ("Kai") has ceased operations at its facility in Dallas, TX. and filed a Chapter 7 bankruptcy filing in the United States Bankruptcy Court Northern District of Texas on May 3, 2023. The Company recently received the Trustee's Report of No Distribution confirming liabilities scheduled to be discharged without payment in the amount of $2,389,757.27 USD.

The Company also announces that it entered into a debt settlement agreement with creditors on August 14^th, 2023 for the settlement of debt in the aggregate amount of $80,000 CAD, which was settled through the issuance of an aggregate of 2,000,000 common shares in the capital of the Company (each, a "Share") at a deemed issue price of $0.04 per Share considered (the "Debt Settlement").