Corporate Presentation May 1, 2019 TSX-V: ZENA TSXV: ZENA - - PowerPoint PPT Presentation

TSXV: ZENA

Corporate Presentation

May 1, 2019

TSX-V: ZENA

TSXV: ZENA

1

Disclaimers

IMPORTANT: YOU MUST READ THE FOLLOWING BEFORE CONTINUING. The information contained in this document has been prepared by Zenabis Global Inc. (“Zenabis” or the “Company”). The information contained in this document (a) is provided as at the date hereof and is subject to change without notice, (b) does not purport to contain all the information that may be necessary or desirable to fully and accurately evaluate an investment in the Company, including important disclosures relating to the terms of an investment and risk factors associated with an investment in the Company and (c) is not to be considered as a recommendation by the Company that any person make an investment in the Company. This presentation, and the information contained herein, is not for release, distribution or publication into or in the United States or any other jurisdiction where applicable laws prohibit its release, distribution or publication. This presentation (“Presentation”) is being issued by the Company for information purposes only. It is information in a summary form and does not purport to be complete. It is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any particular investor. Reliance on this Presentation for the purpose of engaging in any investment activity may expose an individual to significant risk of losing all of the property or other assets invested This Presentation is not a prospectus, offering memorandum or an advertisement and is being provided for information purposes only and does not constitute or form part of, and should not be construed as, an offer or invitation to sell or any solicitation of any offer to purchase or subscribe for any securities in Canada, the United States or any other jurisdiction. Neither this Presentation, nor any part of it, nor anything contained or referred to in it, nor the fact of its distribution, should form the basis of or be relied on in connection with or act as an inducement in relation to a decision to purchase or subscribe for or enter into any contract or make any other commitment whatsoever in relation to any securities of the Company. Recipients of this Presentation who are considering acquiring securities of the Company are reminded that any such purchase or subscription must not be made on the basis of the information contained in this Presentation but are referred to the entire body of publicly disclosed information regarding the Company. This Presentation is qualified in its entirety by reference to, and must be in read in conjunction with, the Company’s publicly disclosed information. Certain information contained herein includes market and industry data that has been obtained from or is based upon estimates derived from third party sources, including industry publications, reports and websites. Third party sources generally state that the information contained therein has been obtained from sources believed to be reliable, but there is no assurance or guarantee as to the accuracy or completeness of included data. Although the data is believed to be reliable, neither the Company nor its agents have independently verified the accuracy, currency or completeness of any of the information from third party sources referred to in this presentation or ascertained from the underlying economic assumptions relied upon by such sources. The Company and its agents hereby disclaim any responsibility or liability whatsoever in respect of any third party sources of market and industry data or information. This Presentation has not been independently verified and the information contained within may be subject to updating, revision, verification and further amendment. While the information contained herein has been prepared in good faith, except as otherwise provided for herein, neither the Company, its directors, officers, shareholders, agents, employees or advisors give, has given or has authority to give, any representations or warranties (express or implied) as to, or in relation to, the accuracy, reliability or completeness of the information in this Presentation, or any revision thereof, or of any other written or oral information made or to be made available to any interested party or its advisers and liability therefore is expressly disclaimed for any loss howsoever arising, directly or indirectly, from any use of such information or opinions or otherwise arising in connection therewith. Except as may be required by applicable law, in furnishing this Presentation, the Company does not undertake or agree to any obligation to provide the recipient with access to any additional information or to update this Presentation or to correct any inaccuracies or omissions. Information contained in this Presentation is the property of the Company and it is made available strictly for the purposes referred to above. CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION: This document includes information, statements, beliefs and opinions which are forward-looking, and which reflect current estimates, expectations and projections about future events, including, but not limited to the intended conversion, expansion and optimization of the Company’s facilities, the anticipated production capacity of the Company, the receipt

• f required licenses to operate, our harvest forecast for the remainder of 2019, and other statements that contain words such as "believe," "expect," "project," "should," "seek," "anticipate," "will," "intend," "positioned," "risk,"

"plan," "may," "estimate" or, in each case, their negative and words of similar meaning. By their nature, forward-looking statements involve a number of risks, uncertainties and assumptions that could cause actual results or events to differ materially from those expressed or implied by the forward-looking statements. These risks, uncertainties and assumptions could adversely affect the outcome and financial effects of the plans and events described herein. These factors and risks include, but are not limited to, those described in our Base Shelf Prospectus dated April 9, 2019, a copy of which is available on SEDAR at www.sedar.com, and could cause actual events or results to differ materially from those projected in any forward-looking statements. Forward-looking information contained in this Presentation is based on our current estimates, expectations and projections, which we believe are reasonable as of the current date. Such forward-looking information is provided for the purpose of providing information about management's current expectations and plans relating to the future. Investors are cautioned that reliance on such information may not be appropriate for other purposes, such as making investment decisions and/or management's good-faith belief with respect to future events and are subject to known

• r unknown risks, uncertainties, assumptions and other unpredictable factors, many of which are beyond the Company’s control. You should not place undue reliance on forward-looking statements, which are based on the

information available as of the date of this document and the Company disclaims any intention or obligation to update or revise any forward-looking information contained in this document, whether as a result of new information, future events or otherwise, unless required by applicable law. The forward-looking information included in this Presentation is expressly qualified in its entirety by this cautionary statement. Historical statements contained in this document regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. In this regard, certain financial information contained herein has been extracted from, or based upon, information available in the public domain and/or provided by the Company. In particular historical results of the Company should not be taken as a representation that such trends will be replicated in the future. No statement in this document is intended to be nor may be construed as a profit forecast. ELECTRONIC DISTRIBUTION: This document may have been sent to you in an electronic form. You are reminded that documents transmitted via this medium may be altered or changed during the process of electronic

• transmission. You are responsible for protecting against viruses and other destructive items. Your receipt of this document by electronic transmission is at your own risk and it is your responsibility to take precautions to

ensure that it is free from viruses and other items of a destructive nature. As a consequence of the above, neither the Company nor any director, officer, employee or agent of any of them or any affiliate of any such person accepts any liability or responsibility whatsoever in respect of any difference between the document distributed to you in electronic format and the hard copy version that is available to you.

TSXV: ZENA

1999 Purchased adjoining 72 acres of land 1986 2019

2

Zenabis was formed in January 2019 after the reverse-takeover of Bevo Agro Inc. by Sun Pharm Investments Ltd.

WHERE WE CAME FROM…

▪ Successful 30+ year growing history in British Columbia, Canada ▪ Specialized in the propagation of hundreds of unique crops at an industrial scale ▪ EBITDA grew at a compounded annual rate of ~20% from FY2011 to FY20181 ▪ EBITDA margins of ~24% in FY20181; strong margins in a competitive industry

1986 Purchased first 26 acres of land

Notes: 1) FY means the fiscal year ended June 30 of Bevo Agro Inc.

▪ Broad depth of experience ranging from successfully developing businesses in highly regulated industries to operating one of the largest fresh herb and produce companies in North America ▪ 100+ years combined experience in pharmaceuticals and agricultural consumer packaged goods

2000 Became a public company 1987 First 2.5 acre greenhouse was built 2014 Purchased a five acre greenhouse in Pitt Meadows 2014 Cannabis business formed as Zenabis Limited Partnership 2016 Received investments from Government of NB and the Listuguj First Nation 2016 Acquired Zenabis Stellarton through acquiring all shares of Vida Cannabis 2017 Obtained cultivation and processing licenses in Zenabis Delta and Zenabis Atholville 2019 Completed reverse take-over to form Zenabis Global Inc.

Bevo Sun Pharm Zenabis

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WHO WE ARE TODAY

Cultivation Expertise & Low-Cost Production

Existing cultivation cost of $1.10 per gram at Zenabis Atholville, outperforming expected cultivation yield by 9%, and forecast cultivation cost of $0.75 per gram at Zenabis Langley.

Facility Footprint & Licensing expertise

131,300kg of capacity expected by early Q3 20191, with three facilities currently licensed and one undergoing conversion.

Domestic Recreational Distribution

Supply agreements and arrangements2 with eight provinces and one territory.

Brands and Products Domestic Medical Distribution

Medical distribution through Shoppers and Pharmasave.

Notes: 1) If all facilities are fully built out and converted as planned. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR. 2) Supply arrangements do not contain purchase commitments or otherwise obligate the purchaser to buy a minimum volume of products from Zenabis.

Zenabis is a licensed cannabis producer with three existing licensed production facilities, significant existing capacity and domestic distribution, and a management team committed to completing facility conversion and developing an international business.

Our Values Excellence Responsibility Compliance Delivery of Stakeholder Value

3

Management Expertise

100+ years of combined experience in cultivation, pharmaceuticals, procurement, sales, distribution, and research and development.

Growing International Platform

Conditional approval to develop production and processing facility in Malta; non-binding plans for distribution in the EU and South America.

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OUR FACILITIES

Notes: 1) The greenhouse to the right of the Zenabis Langley photo is not part of Zenabis Langley. 2) If all facilities are fully built out and converted as planned. Additional details on facility conversion, including additional assumptions are

• utlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR.

▪ 25,000 sq. ft. indoor facility ▪ 100kg capacity by Q3 20192 ▪ 500kg design capacity if fully built out as planned ▪ Licensed for cultivation, processing, and sales

• 4. Zenabis Delta

Delta, British Columbia

• 2. Zenabis Atholville

Atholville, New Brunswick

▪ 2,100,000 sq. ft. greenhouse ▪ 96,100kg capacity by Q3 20192 ▪ 426,000kg design capacity if fully built out as planned ▪ Cultivation and industrial hemp license applications submitted

• 1. Zenabis Langley1

Langley, British Columbia

▪ 380,000 sq. ft. indoor facility ▪ 34,300kg capacity by Q3 20192 ▪ Licensed for cultivation, processing, and sales (including cannabis oil)

• 3. Zenabis Stellarton

Stellarton, Nova Scotia

▪ 255,000 sq. ft. indoor facility ▪ 800kg capacity by Q3 20192 ▪ 18,500kg design capacity if fully built out as planned ▪ Licensed for cultivation

Zenabis currently has run-rate cannabis production capacity of 10,200kg and expects this to increase to 131,300kg by early Q3 2019

▪ 218,000 sq. ft. greenhouse ▪ Used for propagation/floral business ▪ Application for industrial hemp license submitted with the intent to grow hemp on surplus land

Zenabis Pitt Meadows

Pitt Meadows, British Columbia

▪ 453,000 sq. ft. greenhouse ▪ Used for propagation/floral business ▪ Application for industrial hemp license submitted with the intent to grow hemp on surplus land

Zenabis Aldergrove

Aldergrove, British Columbia 1 4 2 3

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• 20

40 60 80 100 120 140 Mar-19 Apr-19 May-19 Jun-19 Jul-19 Aug-19 (000kg) Indoor Closed Greenhouse

5

INCREASING FUNDED PRODUCTION CAPACITY PROFILE

Q1 2019 Q2 2019 Q3 2019 April 2019 10,200kg Capacity May 2019 23,200kg Expected Capacity1

Zenabis Atholville Expansion (+13,000kg)

June 2019 83,250kg Expected Capacity1

Zenabis Atholville Complete (+12,000kg) Portion of Zenabis Langley Complete (+48,050kg)

Early Q3 2019 131,300kg Expected Capacity1

Zenabis Langley First 10 Acres Complete (+48,050kg)

Notes: 1 If all facilities are fully built out and converted as planned. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR.

Indoor Closed Greenhouse

Future 479,300kg Design Capacity1

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Zenabis Langley

Langley, BC

Zenabis Atholville

Atholville, NB

Zenabis Stellarton

Stellarton, NS

Zenabis Delta

Delta, BC

Zenabis Pitt Meadows

Pitt Meadows, BC

Zenabis Aldergrove

Aldergrove, BC

Parcel Size

4,279,000 sq. ft. 871,000 sq. ft. 547,000 sq. ft. 51,000 sq. ft. 871,000 sq. ft. 2,180,000 sq. ft.

Total Facility Space

2,100,000 sq. ft.1 380,000 sq. ft. 255,000 sq. ft. 25,000 sq. ft. 218,000 sq. ft. 453,000 sq. ft.

Expected Capacity by Early Q3 20192

96,000kg 34,300kg 800kg 100kg N/A N/A

Design Capacity

(if facilities fully built out and converted as planned) 426,000kg3 34,300kg 18,500kg 500kg N/A N/A

Extraction Design Capacity4

(if facilities fully built out and converted as planned) N/A 18,000kg N/A 165,600kg N/A N/A

Production Cost

$0.75/gram5 $1.10/gram6 $1.30/gram5 $2.80/gram6 N/A N/A

Utilization

Cannabis7 + Hemp8 + Propagation Cannabis Cannabis Cannabis Propagation + Floral + Hemp8 Propagation + Floral + Hemp8

Cultivation Format

6

PRODUCTION FOOTPRINT

G H Indoor Indoor Indoor

8.8m sq. ft. (2.4m sq. ft. available for hemp cultivation)

Total Available Land

0.7m / 2.8m / 3.5m sq. ft.

Total Max Development Indoor / GH / Total

479,300kg (excluding hemp production and 0.7m sq. ft. of greenhouse space for propagation)

Total Maximum Design Capacity Total Extraction Design Capacity

183,600kg

Notes: 1) Includes facility space under glass only; excludes additional warehouse space. 450,000 sq. ft. of Bevo’s existing greenhouses is expected to be initially converted to cannabis production space. The remainder is expected to continue to be used for Bevo’s propagation business, and may be converted into cannabis cultivation space on an as needed basis. 2) If all facilities are fully built out and converted as planned. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR. 3) Assuming full conversion of the 2.1m sq. ft. of available space. The design capacity of the 450,000 sq. ft. to be initially converted is 96,100kg per annum. 4) Extraction estimates are annual, based on 24 hours of operations per day and based on kilograms of input material. 5) Estimated cost per gram. 6) Historical average cost per gram. 7) Intended utilization after conversion to cannabis production. 8) Potential utilization subject to receipt of applicable licenses.

G H Outdoor G H Outdoor

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PRODUCTION – ATHOLVILLE

Note: 1) The Design Capacity Harvest Weight is based on the “design capacity” yield that Zenabis has disclosed to date. This figure was derived by converting the actual square footage of flower room space and the forecast canopy for each specific flower room into a kilograms per room per day figure (the “Design Capacity Yield Per Day”) based on Zenabis’ historical yield data at the Zenabis Atholville facility through September 2018. The Design Capacity Harvest Weight in the table above is the harvest weight that would have resulted if the Design Capacity Yield Per Day for a room was multiplied by the Effective Flower Room Equivalent Days, as defined on slide 33.

Between October 2018 and March 2019 Zenabis cultivated and dried a total of 2,293 kg of cannabis at Zenabis Atholville. Production increased month over month, and the amount harvested exceeded the design capacity of the flower rooms by 9% over the six-month period.

Historical Harvests – Atholville Oct 2018 Nov 2018 Dec 2018 Jan 2019 Feb 2019 Mar 2019 Total (Oct to Mar) Total (Jan to Mar) Actual Harvest Weight 237 kg 271 kg 313 kg 474 kg 480 kg 518 kg 2,293 kg 1,472 kg Design Capacity Harvest Weight1 290 kg 257 kg 236 kg 372 kg 495 kg 463 kg 2,113 kg 1,330 kg Difference (kg) (53 kg) 14 kg 77 kg 102 kg (15 kg) 55 kg 180 kg 142 kg Difference (%) (18.3%) 5.4% 32.6% 27.4% (3.0%) 11.9% 8.5% 10.7%

Actual Harvest Weight vs. Design Capacity Harvest Weight

(18.3%) +5.4% +32.6% +27.4% (3.0%) +11.9%

• 100

200 300 400 500 600 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 (kg) Design Capacity Harvest Weight Actual Harvest Weight

In Q1 2019, Zenabis began its transition to an alternative growing approach; the first harvest using the alternative approach outperformed design capacity by 47.6%

TSXV: ZENA

• 0.5

1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 Remaining Cronos Organigram Hexo TGOD Tilray Aphria Zenabis Aurora Canopy (000,000 sq. ft.)

• 0.2

0.4 0.6 0.8 1.0 1.2 1.4 Remaining TGOD Aphria Organigram Tilray Cronos Hexo Zenabis Aurora Canopy (000,000 sq. ft.) 8

AVAILABLE PRODUCTION SPACE

Zenabis has the potential to have one of the largest available global cannabis indoor and greenhouse production spaces, if all Zenabis available facilities are converted, optimized, and expanded as planned. 0.7m sq. ft.

Indoor Production Space1

2.8m sq. ft.

Greenhouse Production Space1

Notes: 1) If all Zenabis available facilities are converted, optimized and expanded. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR. Potential production space is defined as operating and in construction (excludes any facility where ground has not yet been broken) cannabis production facilities (excluding outdoor facilities due to the lack of comparability between indoor and outdoor grown production). Production space is allocated pro-rata for any JV or partial ownership. Options on future production space are excluded. All sources have been listed on slide 34. 2) Remaining includes Delta9, Aleafia, Emerald Health Therapeutics, The Flower Corporation, Harvest One, Invictus MD, MYM, Newstrike, CannTrust, Supreme, and WeedMD and may exclude some smaller producers; 3) TGOD square footage shown as greenhouse given it is a hybrid facility.

2 3 3 2

TSXV: ZENA

$3.8bn $2.2bn $4.1bn $1.5bn $2.4bn $1.0bn $6.8bn $0.5bn $12.2bn $19.8bn

• 4.0

8.0 12.0 16.0 20.0 24.0

• 100

200 300 400 500 600 Remaining Hexo Cronos Organigram Aphria TGOD Tilray Zenabis Aurora Canopy ($bn) (000 kg) Available Production Capacity Enterprise Value (RHS)

9

TARGET DESIGN CAPACITY

Zenabis has the potential to have one of the largest global cannabis production capacities1. 479,300kg2

Target Design Capacity

Notes: 1) If all Zenabis available facilities are converted, optimized and expanded. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR. Available production capacity is defined as operating and in construction (excludes any facility where ground has not yet been broken) cannabis production facilities (excluding outdoor facilities). Capacity is allocated pro-rata for any JV or partial ownership. Options on future capacity are excluded. All sources have been listed on slide 34. 2) If all facilities are fully built out and converted as planned. 3) Remaining includes Delta9, Aleafia, Emerald Health Therapeutics, The Flower Corporation, Harvest One, Invictus MD, MYM, Newstrike, CannTrust, Supreme, and WeedMD and may exclude some smaller producers; 4) Enterprise value as of market close on April 29, 2019. 5) The calculation of Zenabis’ enterprise value can be found on slide 30.

4 5 3

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BRANDS

Existing Brands

Type: Medical brand Sales Channels: Online Current Products: Dried cannabis Near-Term Products: Oils Future Products: Food products, hemp products Type: Premium recreational brand Sales Channels: Online and brick- and-mortar Current Products: N/A Near-Term Products: Dried cannabis, pre-rolls Future Products: TBD

Brands in Development

Type: Niche recreational brand Sales Channels: Online and brick- and-mortar Current Products: Pre-rolls Near-Term Products: N/A Future Products: Concentrates Type: Recreational brand Channels: Online and brick-and-mortar Expected Products: Dried cannabis, pre-rolls,

• ils, sprays, food products and beverages

Type: Niche recreational brand Channels: Online and brick-and-mortar Expected Products: Dried cannabis, pre-rolls, concentrates, food products

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PRODUCT PORTFOLIO

Current Products

Oils Dried Flower Softgel Capsules Tinctures and Sprays

Future Products1

Edibles Status: Working with strategic partner to develop Topicals Status: Being developed internally Health and Beauty Status: Intend to develop internally or with strategic partner Other Non-Alcoholic Beverages Status: Intend to develop internally or with strategic partner Kombucha Status: Developing with True Buch DIY Kits Status: Working with strategic partner to develop Vapes and Concentrates Status: Being developed internally Pre-Rolls Flavoured and Sparkling Water Status: Intend to develop internally or with strategic partner

Note: 1) Subject to Health Canada regulation.

Near-Term Products

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DOMESTIC PARTNERSHIPS AND DISTRIBUTION CHANNELS

Zenabis has developed a diverse set of partnerships and relationships with provinces1, distributors, pharmacies and First Nations.

Supply Arrangement BC Liquor Distribution Branch (“BCLDB”) Supply Agreement Alberta Gaming, Liquor & Cannabis (“AGLC”) Supply Arrangement Saskatchewan Wholesale Distributor Supply Arrangement Manitoba Liquor and Lotteries (“MBLL”) Definitive agreement primarily for oil Supply agreement for medical cannabis products Supply Arrangement Yukon Liquor Corporation (“YLC”) LOI Executed and Purchase Orders Received Société québécoise du cannabis (“SQDC”) Supply Agreement Alcool New Brunswick Liquor (“ANBL”) Supply Arrangement Nova Scotia Liquor Corporation (“NSLC”) Supply Arrangement PEI Cannabis Management Corporation Investment Investor Investor Opportunities NB Investor Investor Songhees Nation Listuguj Mi’gmaq Government Millbrook First Nation

Note: 1) Supply arrangements do not contain purchase commitments or otherwise obligate the purchaser to buy a minimum volume of products from Zenabis.

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GROWING INTERNATIONAL DISTRIBUTION

Malta

Zenabis has signed a non-binding letter of intent to supply cannabis to a chain of 15 pharmacies in Malta; Zenabis has also received conditional approval to develop a production and processing facility in Malta

Europe

Zenabis has signed a non-binding letter of intent with a European distributor to supply 2,400kg of dried cannabis equivalent per year with the potential to provide 6,000kg of dried cannabis equivalent per year starting in 2020

Germany

Zenabis has entered into a binding term sheet for a three-year supply arrangement with a German pharmaceutical company to receive biosynthetic CBD for sale in the Canadian market, and to provide medical cannabis for sale in Germany

Panama

Non-binding plans for a joint-venture in Panama to supply up to 6,000kg of dried cannabis equivalent per year once cannabis is legalized within the country

Paraguay

Non-binding plans with an entity in Paraguay to supply up to 180kg of cannabis oil per year, once legalized

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Recent Developments

Zenabis continues to deliver on its promises to investors by increasing its available capital, securing additional distribution channels, expanding its licensed production footprint, and achieving successes in cultivation. April 29

Released Operational Updates and Financial Statements

April 17

Closed $28.8m Public Offering

▪ Zenabis appointed Michael Smyth as its New Chief Financial Officer, effective April 29, 2019 ▪ Zenabis also announced it has filed a final short form base prospectus April 29

Binding Term Sheet with German Pharmaceutical Company

April 10

Appointed Michael Smyth as New CFO

▪ Zenabis entered into a binding term sheet for a three-year supply arrangement with Farmako ▪ Farmako will supply Zenabis with biosynthetic CBD isolate for the Canadian market, and Zenabis will supply EU GMP certified cannabis to Farmako for the German medical market April 23

Expanded Recreational Product Offerings

March 27

Closed $15.0m Convertible Debenture Issuance

▪ Zenabis expanded its recreational cannabis product offerings from purely dried flower to include pre-roll products and oil products ▪ The rollout of oil products represents what is expected to be a significant value driver for revenue growth ▪ Zenabis closed an offering of 12,777,777 Units

• f the Company for aggregate gross proceeds of

~$28.8m ▪ The completion of the offering provides financial flexibility to execute on the expansion of cannabis cultivation capacity to over 131,300kg by early Q3 2019 ▪ Zenabis closed a $15.0m bought deal private placement of convertible debentures ▪ Zenabis entered into an Investment Agreement with three institutional investors (who have agreed to purchase up to an additional $60.0m of convertible debentures, at Zenabis’ option) ▪ Zenabis outperformed cultivation design capacity by 9% over a six month period, and completed a harvest with an alternative growing approach that outperformed design capacity by 47% ▪ Zenabis announced that construction at Zenabis Atholville and Zenabis Langley is progressing on track to increase design capacity to 131,300kg by early Q3 2019

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Financing Milestones Licensing Milestones Corporate Development Milestones

H1 2018 H2 2018 Q1 2019 2017

Secured Cultivation & Processing License at Zenabis Atholville Secured Cultivation & Processing License at Zenabis Delta Signed LOI with Pharmasave Secured Medical Sales License at Zenabis Delta Harvested First Crop at Zenabis Atholville Secured Medical Sales License at Zenabis Atholville Signed Manufacturing Agreement with Capcium Secured Provincial Supply Arrangement with British Colombia Secured Recreational Sales License at Zenabis Atholville Announced Bevo/Sun Pharm RTO and Signed Definitive Agreement Secured Provincial Supply Arrangement with the Yukon Launched Recreational Brand Secured Provincial Supply Arrangement with Saskatchewan Wholesaler Invested $5.0m in NAC Secured Recreational Sales License at Zenabis Delta Received $2.1m Strategic Investment from True Buch Secured Oil Sales License at Zenabis Atholville Bevo and Sun Pharm RTO Completed to become Zenabis Secured Provincial Supply Arrangement with Manitoba Started Trading as ZENA Secured Provincial Supply Arrangement with PEI Secured $51.0m Credit Facility from BMO Appointed Andrew Grieve as CEO Acquired Topgro Greenhouse Acquired 51% of True Buch Executed Provincial Supply Agreement with Alberta Executed Supply Agreement with Shoppers Drug Mart Executed Provincial Supply LOI with Quebec Secured Cultivation License at Zenabis Stellarton Launched Zen Craft Grow and Founders Reserve Brand Entered European Pharmaceutical Cannabis Market Announced $75.0m Financing with Eight Capital and Closed $15.0m First Tranche Signed Provincial Supply MOU with New Brunswick Secured $57.0m of Financing Concurrent to the RTO Announcement Received $4.0m Loan from Government

• f New Brunswick

Closed $8.4m in Equity Financing Closed $13.4m in Equity Financing Secured Provincial Supply Agreement with Nova Scotia Signed Collaboration Agreement with the Listuguj Mi’gmaq Government

15

MAJOR ACHIEVEMENTS

Received Approvals for additional cultivation space at Zenabis Atholville

TSXV: ZENA Mike McGinty Chief Administrative Officer ▪ Extensive experience in large-scale coordination and planning ▪ Formerly a senior officer in the British Army and served overseas in Iraq and Afghanistan ▪ Remains an active member of the Canadian Armed Forces

16

MANAGEMENT | (1/2)

Mike Smyth Chief Financial Officer Andrew Grieve Chief Executive Officer Leo Benne Chief Growing Officer ▪ Experienced financial executive, entrepreneur and principal investor (>18 investments) ▪ Co-Founder and Co-Head of Advisory at Agentis Capital (>$20bn in deal experience) ▪ Advised on acquisition, financing, and project development transactions across a wide range

• f sectors (from infrastructure to technology)

▪ Officer in the Canadian Armed Forces for 15 years, and is currently a Major ▪ Extensive experience in corporate finance, treasury, finance administration and business strategy ▪ Formerly the interim CFO at a BC greenhouse grower where he initiated a cannabis growing relationship with a respected cannabis company ▪ Previously a Senior Manager at a global fund manager Lionhart Canada and the Treasurer for Bell Canada ▪ Formerly Vice President and Director of Bevo ▪ Gained advanced knowledge of modern horticultural methods at Rijks Middelbare Tuinbouwschool in Holland ▪ Provided oversight and management at Bevo in the propagation and floral business for nearly 30 years ▪ Experience in the application of computer technology to the production of plants David Lluncor Chief Revenue Officer ▪ Has more than 15 years of corporate sales experience working closely with large, national multi-chain accounts in the retail and consumer packaged goods industry ▪ Has helped companies capture market share and helped them develop their brands into category leaders

• Dr. Natasha Ryz, PhD

Chief Science Officer ▪ Over 15 years experience as a health and nutrition researcher, speaker and educator ▪ Has a PhD in Experimental Medicine from the University of British Columbia, a Master of Science degree, and a Bachelor of Science degree, specializing in Human Nutritional Sciences from the University of Manitoba

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• Dr. Oliver Corea, PhD

Head Scientist, Analytics and Extraction ▪ Over 12 years experience as a molecular biologist and biochemist studying specialized plant metabolic pathways ▪ Holds a MSc and PhD involving extensive research on production of aromatic compounds and terpenes, flavour and scent compounds prevalent in many plants, including cannabis

• Dr. Zeid Mohamedali, MD, PhD

Chief Medical Officer ▪ Over 20 years of experience in medical research and clinal practice ▪ Over eight years of experience with medical cannabis pain management, and is an active clinician with a large practice of patients ▪ Currently holds a position as a Clinical Assistant Professor at the University of British Columbia

• Dr. Kyle Boniface, PhD

Head Scientist, Extraction and Development ▪ Over eight years’ experience as a chemical researcher, speaker and educator ▪ He is an expert in supercritical CO2 cannabis extraction and cannabis product development ▪ Kyle has published multiple first author and several co-authored peer reviewed publications in internationally recognized scientific journals

17

MANAGEMENT | (2/2)

Kevin Coft Chief Facilities Officer ▪ An operational and supply chain professional with over 30 years of procurement, facility

• perations, and managerial experience

▪ Has covered a wide range of functions, including navigating Health Canada’s regulatory licensing, facility construction, and customer relationship management Laura DiFelice Director, People and Culture ▪ A highly skilled human resources professional with over 20 years of recruiting and people management experience ▪ Experienced in leading teams, assessing employee engagement, developing new managers, as well as coaching seasoned executives

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BOARD OF DIRECTORS

Adam Spears Independent Director ▪ Founder of ace148, an investment company ▪ Was a Principal and Portfolio Manager at Anson Funds where he managed multiple long-short equity hedge funds ▪ Also worked in private equity at ONCAP Management Partners, and in the investment banking group of Citigroup Global Markets Larry Van Wieren Independent Director ▪ President of Van Wieren Developments Ltd., a company focused on land development and international consulting services ▪ Was previously President of Van Wijnen Canada Ltd, a Canadian subsidiary of the Van Wijnen Group based in the Netherlands Daniel Burns Independent Director ▪ A lawyer, accountant and entrepreneur ▪ An experienced corporate director in the financial services, insurance and mining sectors ▪ Has served as chair of a number of significant

• rganizations in Canada and the United States

as well as chaired the audit committees of significant public and private institutions Andrew Grieve Chief Executive Officer and Director ▪ Experienced financial executive, entrepreneur and principal investor (>18 investments) ▪ Co-Founder and Co-Head of Advisory at Agentis Capital (>$20bn in deal experience) ▪ Has been an officer in the Canadian Armed Forces for 15 years, where he is currently a Major Monty Sikka Co-Founder, Director and Chairman ▪ Co-founder of Zenabis ▪ As President of the Monark Group, has grown the business into a multi-million-dollar, multi- faceted corporation ▪ Has extensive experience in e-commerce, marketing and finance sectors Leo Benne Chief Growing Officer and Director ▪ Formerly Vice President and Director of Bevo ▪ Gained advanced knowledge of modern horticultural methods at Rijks Middelbare Tuinbouwschool in Holland ▪ Provided oversight and management at Bevo in the propagation and floral business for nearly 30 years

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MANAGEMENT & KEY SHAREHOLDER ALIGNMENT

Security Holder Name Title Percentage of Basic3 Blue Samurai Medical Partnership Mark Catroppa Co-Founder – Zenabis 16.0% Bluecore Medical Partnership Monty Sikka Co-Founder, Director, and Chair – Zenabis 16.0% Brar Bioceutical Corp. Rick Brar Co-Founder – Zenabis 12.7% C.G.M Ventures Inc. and Benne Family Leo Benne, Jack Benne, John Hoekstra Founders – Bevo Farms 6.3% Nuovo Enterprises Kevin Coft Chief Facilities Officer – Zenabis 3.4% Other Key Shareholders N/A N/A 11.8% Total 66.2%

Notes: 1) Subject to a downward adjustment for net debt to adjust for the usage of debt to fund earnings. 2) EBITDA of $0.42 per share and earnings of $0.16 per share. 3) Zenabis had 203,304,681 shares outstanding as of April 29, 2019.

▪ CEO does not receive cash compensation unless two hurdles are met by the company: ‒ Earnings (as measured by EBITDA1 or EPS) are above a certain measure2 in 2020 ‒ Share price over the four quarters commencing June 2021 is greater than a certain hurdle ($4.90 per share by June 2021, and increasing thereafter) ▪ Founders and insiders own a total of 54% in Zenabis shares outstanding ▪ Key shareholders have entered into a voluntary pooling agreement covering 66% of Zenabis shares outstanding

Pooling Agreement Shares

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SELECTED FINANCIALS

Selected Financial Metrics Value Common Shares Outstanding 203,304,6811 Fully-Diluted Shares Outstanding 260,889,3261 Shares in Pooling Agreement 66.2%2 Insider Ownership 54.4%2 Common Shares in Escrow 5.7%2 Adjusted Cash $65m3 Adjusted Debt $114m3 Market Capitalization $438m4 Enterprise Value $462m4 Ownership Summary Value2 Insiders and Founders5 54.4% Other Investors 45.6% Total 100.0%

Notes: 1) As at April 29, 2019. 2) Share percentages on a non-diluted basis. 3) Debt is based on the adjusted amounts listed on slide 31. Cash balance of $24.2m as of February 28, 2019 as outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 has been adjusted to take into account the impact of the $13.8m net proceeds of convertible debentures issued on March 26, 2019 and $26.5m net proceeds of the public offering closed on April 17, 2019. 4) Market capitalization and enterprise value are calculated on a fully-diluted, in-the-money basis based as of April 29, 2019, as calculated on slide 30. 5) Insiders include founders of Zenabis.

54.4% 45.6%

Ownership Breakdown

Insiders & Founders Other Investors

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CORPORATE HIGHLIGHTS 100 Years of Industrial-Scale Cultivation Expertise Extensive Industry Expertise and Proven Execution Capabilities Relationships and Partnerships with Government and First Nations Low Production Costs at Scale Three Licenced Facilities Highly Recognizable Brands Extensive Domestic Distribution Network

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Contact Us

info@zenabis.com zenabis.com

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Appendix A – Facilities

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ZENABIS LANGLEY

Zenabis Langley is one of the largest greenhouses in Canada with advanced propagation technology. The facility is expected to produce 426,000kg1 of dried cannabis equivalent per year upon full buildout.

Facility Details Description Location Langley, British Columbia Type and Size 2.1m sq. ft.2 greenhouse cannabis Status Conversion ongoing (for the first 10 acres) Remaining Conversion Cost $146.3m3 Design Capacity 426,000kg1 Extraction Design Capacity N/A Current Licenses None Pending Licenses Cultivation, industrial hemp Capacity Milestones ▪ Current – Nil ▪ Q3 2019 – 96,100kg ▪ Full Buildout – 426,000kg1 Summary ▪ Initial cannabis conversion activities have commenced for the first 10 acres

• f greenhouse and is expected to be complete Q3 2019

‒ Zenabis expects construction of the first phase to be completed by the end of June 2019, and construction of all rooms substantially completed by the end of July 2019 ▪ Zenabis Langley’s cannabis conversion is based on a closed greenhouse design, where standard greenhouse venting does not occur ‒ Zenabis believes this will produce a higher quality, more consistent crop; mitigate the impact on the surrounding community; and better control pests and contaminants from entering the greenhouse ▪ The remaining 38 acres at Zenabis Langley is expected to be converted to cannabis cultivation by Q2 2020 ‒ This portion of greenhouse will continue to be used for Zenabis’ propagation business until conversion commences

Notes: 1) Assuming full conversion of the 2.1m sq. ft. of available space as planned. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR. The design capacity of the 450,000 sq. ft. to be initially converted is 96,100kg per annum. 2) 450,000 sq. ft. of Bevo’s existing greenhouses is expected to be initially converted to cannabis production space. The remainder is expected to continue to be used for Bevo’s propagation business, and may be converted into cannabis cultivation space on an as needed basis. 3) As of February 28, 2019.

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ZENABIS ATHOLVILLE

Zenabis Atholville is Zenabis’ largest indoor facility. This facility is expected to produce 34,300kg1 of dried cannabis equivalent per year upon full buildout.

Facility Details Description Location Atholville, New Brunswick Type and Size 380k sq. ft. indoor cannabis Status Partially operational/conversion ongoing Remaining Conversion Cost $47.6m2 Design Capacity 34,300kg1 Extraction Design Capacity 18,000kg3 Current Licenses Cultivation, processing, medical sales, recreational sales, oil sales Pending Licenses None Capacity Milestones1 ▪ Current – 9,300kg ▪ Q3 2019 – 34,300kg ▪ Full Buildout – 34,300kg Summary ▪ One of the largest indoor growing facility in Canada, Zenabis Atholville is Zenabis’ flagship indoor facility ▪ Zenabis Atholville is currently partially operational (9,300kg capacity) and

• ngoing conversion activities for the remainder of the facility

‒ License amendments for an additional 13,000kg of production capacity have been submitted to Health Canada ‒ Room construction is complete for the final phase of expansion; Zenabis intends to submit its final license amendment to Health Canada in June

• r July 2019

▪ Zenabis has worked closely with the Government of New Brunswick, which invested $4.0m in Zenabis, to construct Zenabis Atholville ▪ Zenabis Atholville expects to be a major employer in New Brunswick ‒ It currently employs over 300 workers and expects to employ approximately 450 at full buildout

Notes: 1) If all facilities are fully built out and converted as planned. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR. 2) As of February 28, 2019. 3) Extraction estimates are annual, based on 24 hours of operations per day and based on kilograms of input material.

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ZENABIS STELLARTON

Zenabis Stellarton is a licensed indoor facility located in Stellarton, Nova Scotia. The facility can produce 18,500kg1 of dried cannabis equivalent per year upon full buildout.

Facility Details Description Location Stellarton, Nova Scotia Type and Size 255k sq. ft. indoor cannabis Status Partially operational Remaining Conversion Cost N/A Design Capacity 18,500kg1 Extraction Design Capacity N/A Current Licenses Cultivation Pending Licenses None Capacity Milestones1 ▪ Current – 800kg ▪ Q3 2019 – 800kg ▪ Full Buildout – 18,500kg Summary ▪ Zenabis Stellarton is Zenabis’ second largest indoor facility situated on a 547,000 sq. ft. parcel of land ▪ The first phase of construction at Zenabis Stellarton is complete and the initial operational area was licensed in early March 2019 ‒ Zenabis Stellarton is currently partially operational (800kg capacity) and preparations for the full build out are underway

Note: 1) If all facilities are fully built out and converted as planned. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR.

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ZENABIS DELTA

Zenabis Delta is an indoor facility located in the Greater Vancouver Area. This facility is expected to be used primarily as a lab for extraction and R&D activities.

Facility Details Description Location Delta, British Columbia Type and Size 25k sq. ft. Indoor cannabis Status Partially operational/extraction and lab work ongoing Remaining Conversion Cost $1.6m1 Design Capacity 500kg2 Extraction Design Capacity 165,600kg3 Current Licenses Cultivation, processing, medical sales, recreational sales Pending Licenses Analytical testing Capacity Milestones2 ▪ Current – 100kg ▪ Q3 2019 – 100kg ▪ Full Buildout – 500kg Summary ▪ Zenabis Delta is an indoor facility strategically located near several urban centres and transportation terminals ▪ Zenabis Delta is currently partially operational (100kg capacity) and a portion of the remainder of the facility is intended to be used as an extraction lab ‒ Zenabis expects the extraction equipment to be installed and

• perational by Q3 2019

▪ Zenabis also intends to use a portion of the remainder of the facility as an analytical lab ▪ Zenabis Delta is currently in the EU GMP certification process

Notes: 1) As of February 28, 2019. 2) If all facilities are fully built out and converted as planned. Additional details on facility conversion, including additional assumptions are outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 and filed on SEDAR. 3) Extraction estimates are annual, based on 24 hours of operations per day and based on kilograms of input material.

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Forecast Harvest Schedule Apr 2019 May 2019 June 2019 July 2019 Aug 2019 Sept 2019 Oct 2019 Nov 2019 Dec 2019 Continuous Monthly Harvest Zenabis Atholville + Zenabis Stellarton (Existing Licensed Capacity) 495 kg 607 kg 668 kg 836 kg 781 kg 1,008 kg 495 kg 962 kg 993 kg 842 kg Zenabis Atholville + Zenabis Stellarton (Existing Licensed Capacity + Completion of Zenabis Atholville) 495 kg 607 kg 668 kg 836 kg 781 kg 1,627 kg 2,263 kg 2,702 kg 3,351 kg 2,925 kg

• 500

1,000 1,500 2,000 2,500 3,000 3,500 4,000 Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 (kg) Actual Harvests Forecast Harvests 28

INDOOR 2019 HARVEST SCHEDULE

Note: 1) This forward-looking estimate of future harvest results is based on the following material assumptions: i) Both Zenabis Atholville and Zenabis Stellarton operate at their published design capacity on a room by room basis, with this figure based on the assumption that the amount of dried cannabis cultivated per square foot of bench space at Zenabis Atholville and Zenabis Stellarton is consistent with historical output as of September 2018, on a per crop, per square foot of licensed bench space basis, at Zenabis Atholville as previously described in the Bevo management information circular dated November 23, 2018 (the “Management Information Circular”). Ii) There is one month of delay beyond the current forecast date for cultivation commencement at each of the phases 2A, 2B, and 2C at Atholville. iii) For each of phases 2A, 2B, and 2C at Atholville, three days of separation will occur between planting of each room at the point cultivation commences.

The following highlights the forecast harvest schedule for Zenabis’ existing licensed facilities1. This forecast excludes any production from Zenabis Langley and Zenabis Delta, and assumes Zenabis Atholville is fully licensed by August 2019.

Note: All forecasts exclude harvests from Zenabis Langley and Zenabis Delta. Zenabis intends to provide a forecast harvest schedule including Zenabis Langley upon receipt of a cultivation license at this facility. Zenabis Delta’s monthly harvest contribution is not meaningful.

13,330 kg production forecast from existing licensed facilities from April to December 2019 (excluding Zenabis Langley and Zenabis Delta)

Monthly Harvest Schedule for Existing Licensed Facilities

First Harvest from Phase 1D First Harvest from Phase 2A First Harvest from Phase 2B First Harvest from Phase 2C

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Appendix B – Financial Information

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CAPITALIZATION

The following outlines the capitalization of Zenabis.

Notes: 1) As of market close on April 29, 2019. 2) Debt includes all non-convertible financing and out-of-the-money convertible financing based on the adjusted amounts listed on slide 31. 3) Cash balance of $24.2m as of February 28, 2019 as outlined in the Zenabis Global Inc. Final Base Shelf Prospectus dated April 10, 2019 has been adjusted to take into account the impact of the $13.8m net proceeds of convertible debentures issued on March 27, 2019 and $26.5m net proceeds of the public offering

closed on April 17, 2019. The negative value indicates a subtracted value, rather than a negative cash balance.

Fully Diluted Shares Outstanding1 Value Basic Shares Outstanding 203,304,681 Plus: Options 16,746,320 Plus: Warrants 16,196,060 Plus: Convertible Note Conversion Shares 24,642,265 Equals: Fully-Diluted Shares Outstanding 260,889,326

Capitalization Enterprise Value

Enterprise Value Calculation Value Basic Shares Outstanding 203,304,681 Plus: ITM Options1 5,481,907 Plus: ITM Conversion Shares1 14,734,339 Equals: Fully-Diluted, ITM Shares Outstanding 223,520,927 Times: Zenabis Share Price1 $1.96 Equals: Fully-Diluted Market Capitalization $438m Add: Debt2 $89m Less: Cash3 ($65m) Equals: Enterprise Value $462m

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DEBT OUTSTANDING

The following outlines Zenabis’ debt outstanding.

Note: 1) The BMO facility amount is as of February 28, 2019. 2) $15.0m of Unsecured Convertible Debentures were issued on March 27, 2019. 3) Approximately $0.7m of the Secured Convertible Notes were converted into common shares at a price of ~$2.52 on March 18, 2019. Additional Zenabis shares convertible are based on the remaining principal outstanding of $24.9m.

Facility Principal Amount as of February 28, 2019 Adjusted Principal Amount as of March 18, 20191 Description Unsecured Convertible Debentures2 N/A $15.0m ▪ Unsecured convertible debentures with interest rate of 6.0% ▪ Convertible into Zenabis shares at $3.62 per share ▪ 825,000 warrants with exercise price of $3.62 ▪ Matures on September 27, 2021 BMO Financing $35.3m $35.3m ▪ $46.7m term credit facility, with interest payable quarterly at a rate of prime + applicable margin based on grid pricing; $11.4m was undrawn as of February 28, 2019 ▪ Matures on January 21, 2022 RDC Mortgage $2.0m $2.0m ▪ $2.0 mortgage on Zenabis Atholville with interest rate of 6.0% ▪ Matures on August 31, 2027 Secured Debentures $25.0m $25.0m ▪ Convertible senior debt financing with interest at a rate of prime + 9.0% ▪ $4.2m of the principal may be converted into Zenabis shares at $4.04 per share ▪ 2,593,283 warrants have been issued at an exercise price of $4.02 upon the remaining $20.8m being drawn (50% warrant coverage) ▪ Matures on October 17, 2019 Secured Convertible Note3 $25.6m $24.9m ▪ Subordinated financing with interest rate of 6.0% ▪ May be converted into Zenabis common shares at ~$1.69 per share (14,734,339 additional Zenabis shares2) ▪ Matures on October 17, 2019 Unsecured Convertible Note $11.9m $11.9m ▪ Subordinated financing with interest rate of 6.0% ▪ May be converted into Zenabis common shares at ~$2.52 per share (4,736,423 additional Zenabis shares) ▪ Matures on October 17, 2020 Total $99.8m $114.1m

Debt Summary

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Appendix C – Other Information

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PERFORMANCE RATIO CALCULATION DESCRIPTION

The following outlines the approach that Zenabis utilizes to calculate its performance relative to design capacity (the Performance Ratio defined below). ▪ Zenabis prepared the design capacity of each of its facilities, as disclosed in the Management Information Circular, based on the intended or existing

square footage of flower room space, and the intended or existing canopy for each specific flower room. These square footage figures were then converted into a kilograms per room per day figure (the “Design Capacity Yield Per Day”) based on Zenabis’ existing data at the time of preparation for yield per harvest, and expectation at the time of preparation for harvests per year. ▪ After each harvest, Zenabis calculates the dry weight cannabis output for each room (the “Total Output”). Zenabis then takes into account the amount of days in production through a combination of: (1) the amount of flower room days utilized (including turnaround time) for that room; and (2) the amount of flower-room equivalent days required from other flower rooms in support of that harvest (together the “Effective Flower Room Equivalent Days”). Zenabis then divides the Total Output by the Effective Flower Room Equivalent Days in order to produce the “Effective Yield Per Day” for each room. Zenabis then divides the Effective Yield Per Day by the Design Capacity Yield Per Day for each room in order to determine performance versus the Design Capacity Yield Per Day (the “Performance Ratio”). A sample calculation for one room is provided below: ▪ In order to provide results for each month, Zenabis completes the same calculation of the Performance Ratio, but first aggregates the Total Output for all rooms where a harvest was completed, and compares that to the Design Capacity Yield Per Day on a square-footage weighted basis. ▪ Zenabis believes that the Performance Ratio is currently the most effective measure of overall cultivation performance, as it measures cultivation output relative to two primary constraints: space and time. However, Zenabis may add additional cultivation performance measures over time. Zenabis intends to restate the design capacity of each of its facilities, if necessary, after: ‒ One full harvest has been completed from each room of each facility; and ‒ Again after the Performance Ratio stabilizes from month to month.

Design Capacity Estimate Value Room Canopy Size 2,269 sq. ft. Times: Yield Per Sq. Ft. Per Harvest 0.07 kg/sq. ft. Divided by: Days Per Harvest 85 days Equals: Design Capacity Yield Per Day 1.95 kg/day Sample Harvest Value Total Output 175 kg Divided by: Effective Flower Room Equivalent Days 84 days Equals: Sample Harvest Effective Yield Per Day 2.09 kg/day Performance Ratio Value Sample Harvest Effective Yield Per Day 2.09 kg/day Divided by: Design Capacity Yield Per Day 1.95 kg/day Equals: Performance Ratio 7.4%

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AVAILABLE PRODUCTION SPACE AND CAPACITY SOURCES

▪ Canopy. Canopy website (https://www.canopygrowth.com/international-footprint/); capacity from RBC Cannabis Initiation (December 2018). ▪ Aurora. Aurora Feb 2019 investor presentation (https://investor-site.cdn.prismic.io/investor-site%2Fa0fccc9e-3c3c-43bc-b0be- 4014b24700cb_02.06.2019_aurora_investor+presentation_final.pdf); Aurora Press Release Dated 12 Feb 2019 (https://investor.auroramj.com/#). ▪ Aphria. Aphria Q1 2019 investor presentation (https://aphria.ca/wp-content/uploads/2018/10/aphria-2019-Q1-investors-deck-2.pdf); Aphria Diamond Press Release (8 Jan 2018); Aphria Broken Coast Acquisition Press Release (15 Jan 2018); Aphria Press Release Dated 13 Mar 2018. ▪ MYM Nutraceuticals. MYM website (http://www.mym.ca/); MYM investor presentation (https://www.mym.ca/wp-content/uploads/MYM-Strategic- Plan-04-12-19-W.pdf) ▪ Tilray. Tilray Investor Presentation Dated Jan 2019 (https://ir.tilray.com/static-files/467c89e1-f3f9-44eb-ae92-fbaed95647a3). ▪ Emerald. Emerald Factsheet Dated 12 Feb 2019 (https://ir.emeraldhealth.ca/static-files/f0de3e59-3341-4fc2-99f9-80c3977d8d8b); March investor presentation (https://ir.emeraldhealth.ca/static-files/5fd41863-ed7d-41e0-ae39-2e4b41001463). ▪ Hydropothecary (“HEXO”). Hexo investor presentation (https://www.hexocorp.com/investors/). ▪ Cronos. Cronos Investor Presentation (https://thecronosgroup.com/wp-content/uploads/2018/12/Cronos-Presentation_Dec-2018-2.pdf); Cronos Press Release Dated 18 Jul 2018. ▪ CannTrust. CannTrust investor presentation (https://canntrustwebsite.blob.core.windows.net/wordpress/2017/05/CannTrust-Investor- Presentation-Jan-2019.pdf). ▪ WeedMD. WeedMD investor presentation (https://www.weedmd.com/investor-presentation/); fact sheet (https://www.weedmd.com/wp- content/uploads/2018/04/WeedMD-Investor-Factsheet-April2018.pdf). ▪ Invictus MD. Invictus investor presentation (http://invictus-md.com/_resources/presentations/corporate-presentation.pdf). ▪ OrganiGram. OrganiGram investor presentation (https://www.organigram.ca/investors/). ▪ Newstrike. Newstrike investor presentation (https://newstrike.ca/wp-content/uploads/2018/07/Newstrike-Investors-Q2-2018-July-10-2018.pdf); Newstrike CEO update to shareholders (https://www.newswire.ca/news-releases/newstrike-ceo-update-to-shareholders-693134491.html). ▪ Supreme. Supreme website (http://www.supreme.ca/7acres/default.aspx). ▪ Emblem. Emblem Corp Letter to Shareholders (https://globenewswire.com/news-release/2018/03/20/1443207/0/en/Emblem-Corp-Issues- President-s-Letter-to-Shareholders.html); Emblem Q2 2018 news release (https://globenewswire.com/news- release/2018/08/22/1554993/0/en/Emblem-Corp-Reports-Second-Quarter-2018-Financial-Results.html); Emblem Q3 Investor Presentation (https://emblem.blob.core.windows.net/content/2018/10/EM-IR-Deck-Oct-2018.pdf). ▪ Harvest One. Harvest One investor presentation (https://www.harvestone.com/_resources/presentations/corporate-presentation.pdf?v2). ▪ Delta 9. Delta9 investor presentation (https://cdn.shopify.com/s/files/1/0090/6438/2521/files/Delta9Cannabis-InvestorUpdate-Dec- 2018.pdf?2889819399377984048). ▪ Flowr. The Needle Corporation Filing Statement Dated 19 September 2018. ▪ TGOD. TGOD investor presentation (https://cdn.shopify.com/s/files/1/0068/5519/6735/files/TGOD_Investors_Deck_-_March_2019.pdf?8270).