INVESTOR PRESENTATION February 2016 DISCLAIMER This presentation - - PowerPoint PPT Presentation

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INVESTOR PRESENTATION February 2016 DISCLAIMER This presentation - - PowerPoint PPT Presentation

INVESTOR PRESENTATION February 2016 DISCLAIMER This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.


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February 2016

INVESTOR PRESENTATION

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DISCLAIMER

This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements which are not historical facts are forward-looking statements. The Company makes forward-looking public statements concerning its expected future financial position, results of operations, cash flows, financing plans, business strategy, products and services, evaluation

  • f medical marijuana projects, alternative health projects or products, and cannabidiol-fortified products or services

for participation and/or financing, competitive positions, growth opportunities, plans and objectives of management for future

  • perations, including statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect,"

"intend," "may," "could," "should," "will," and other similar expressions that are forward-looking statements. Such forward- looking statements are estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements including, without limitation, foreign exchange and other financial markets; changes of the

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forward-looking statements including, without limitation, foreign exchange and other financial markets; changes of the interest rates on borrowings; whether or not the Company will be successful in executing its business plan in whole or in part; hedging activities; changes in commodity prices; changes in the marketing or capital project expenditure levels; litigation; legislation; environmental, judicial, regulatory, political and competitive developments in areas in which Lexaria

  • Corp. operates.

These and other risks and uncertainties are more fully described in our periodic reports and other disclosure documents filed by Lexaria Corp. from time to time with regulatory authorities available on SEDAR at www.sedar.com and on EDGAR at www.sec.gov, and the reader is encouraged to review these documents. Planned dates stated herein are estimates only, based on best information available. Dates are not assured and are subject to revision without notice. The Company assumes no obligation, except as required by law, to update any forward-looking statement, whether as a result of new information, future events or otherwise. This presentation is not an offer to sell or a solicitation of an offer to buy securities of Lexaria Corp. It is a short summary of certain information for introductory purposes only and is not to be relied upon for investment purposes. No statement within has been evaluated by the Food and Drug Administration, and no product or service is intended to diagnose, treat, cure or prevent any disease.

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PROBLEM

100%

in…

Edible cannabinoids are the most popular method of consumption by consumers, but they are poorly absorbed by our system(1) 3

(1) Karschner et al. (2011) Clin. Chem. 57:66-75

94%+

...out

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SOLUTION

Our PATENT-PENDING LIPID-BASED DELIVERY TECHNOLOGY FOR EDIBLES allows for maximum absorption of cannabinoids through the convenience of edibles

We combine cannabinoids with fatty acids at a molecular level AND use a proprietary process

Flavor masking effects when ingested

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AND use a proprietary process for enhanced palatability and bioabsorption in the intestines

Fatty acids are well absorbed in small intestine

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  • We are a food biosciences and consumer goods company
  • We use our scientifically proven, patent-pending

technology to enable improved intestinal bioabsorption of cannabinoids like cannabidiol (CBD) and

OUR FOCUS

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cannabinoids like cannabidiol (CBD) and tetrahydrocannabinol (THC); also applicable to a host of

  • ther bioactive substances
  • We are currently focused on the development and sale of

CBD-rich, hemp-oil infused foods and beverages; federally legal for sale nationwide in the U.S. and many other countries

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Our Patents Pending Cover:

  • Coffee & Tea
  • Hot Chocolate
  • Meats
  • Gum Arabic

For the Delivery of:

  • CBD & THC
  • Vitamins
  • Acetaminophen
  • Ibuprofen

SIX PATENTS PENDING

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  • Gum Arabic
  • Cookies, Breads, etc
  • Fruits & Nuts
  • Carbonated beverages
  • Fruit & Dairy beverages
  • Tapioca Starch
  • …and more
  • Ibuprofen
  • Acetylsalicylic acid (ASA)
  • Diclofenac, Indomethacin
  • Piroxicam
  • NICOTINE
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PRODUCT PORTFOLIO

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ViPova™ CBD-Infused Hot Beverages Lexaria Energy CBD-Infused Protein-Energy Bars

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  • Potent activator of human endocannabinoid system
  • Relieves pain and inflammation
  • Combats anxiety / promotes better focus and

THERE ARE MANY MEDICINAL BENEFITS OF CANNABIDIOL

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  • Combats anxiety / promotes better focus and

concentration

  • Enhances vascular blood flow and performance
  • Potent antioxidant
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  • In vitro study
  • Third-party laboratory
  • Human small intestine

tissues

ss Tissue Membrane

325% 499%

CANNABIDIOL HUMAN INTESTINAL BIOABSORPTION STUDY

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  • Matching CBD content

per group

  • Simulated intestinal

fluid buffer applied to all groups

% Permeability Across ViPova™ CBD-Infused Black Tea CBD Black Tea Control Group 2 CBD Water Control Group 1

325% Improvement 499% Improvement

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  • Recent study demonstrated potent CBD

bioabsorption in human subjects using nitric oxide salivary biomarker test

  • Tested ViPova™ Teas, Coffee and Hot

Chocolate, as well as Lexaria Energy Foods HUMAN CLINICAL NITRIC OXIDE INDUCTION STUDY

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Chocolate, as well as Lexaria Energy Foods Protein Bars

  • All subjects demonstrated rapid, significant

and sustained increase in salivary nitric

  • xide levels following product ingestion
  • Findings have significant implications for

health and fitness consumers

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  • 1998 Nobel Prize discovery that nitric
  • xide is responsible for dilation of

blood vessels (vasodilation)

  • In theory, consumption of a Lexaria

food products utilizing our technology

  • Involved in neurodegenerative

disorders such as dementia

  • Utilized by white blood cells as a

weapon against bacteria, fungi, parasites and more NITRIC OXIDE MEDICINAL RELEVANCE

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food products utilizing our technology will allow for more open blood vessels, delivering more nutrients and

  • xygen to muscles and organs;

MARKETING ADVANTAGE for fitness consumers parasites and more

  • Involved in intestinal peristalsis;

insulin signaling, bone remodeling, respiratory function, and more

  • Can reduce blood pressure
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Launched ViPova™ CBD-Black Tea Wholesale Sales Efforts Begin Added Six New ViPova™ Tea Flavors ViPova™ CBD-Coffee and Cocoa Launch Distribution Agreements Initiated

KEY MILESTONES

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Q1, 2015 Q2, 2015 Q3, 2015 Q4, 2015 Lexaria Energy Protein Bar Launch Q1, 2016 Q2, 2016 Begin Chain Purchasing Manager Outreach

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WA MN PA NY MA MI

GROWING NATIONWIDE SALES

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SC GA AL MS TX CO AZ NV CA FL NC TN KY IL PA OH MD

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U.S. GROWTH TARGET EXAMPLES

70,000+ Pharmacies

168,000+ Gas Stations 40,000+ Fitness Centers

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150,000+ Convenience Stores 53,000+ Coffee Shops 15,000+ Wellness Stores

….and more…..

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  • Each Lexaria sales channel is different and demands unique

strategies / generates unique returns.

  • Hemp oil-inclusive food products are federally legal and easily

distributed.

  • Many “convenience foods” such as standard protein bars sell $50

Up To 650,000 Existing Retail Stores Could Carry Our Products

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  • Many “convenience foods” such as standard protein bars sell $50
  • $75 per location, per week.
  • Our goal is to have our products available in 10% of them within 5

years.

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Telluride Coffee-House distribution to over 100 Colorado locations began February 2016

DISTRIBUTION AGREEMENTS INITIATED

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began February 2016 Other distribution partnerships under development in U.S. and internationally

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OUT-LICENSING OPPORTUNITIES

  • Evaluating license partners for our technology
  • For example: THC edible companies
  • Plan to perform in vitro / in vivo analysis on the molecules

named below, to enhance value of potential licensing /

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named below, to enhance value of potential licensing / partnering

  • Other compounds named in patent filings beyond

cannabinoids:

  • Nicotine
  • NSAIDs (e.g., ASA, ibuprofen, etc.)
  • Vitamins (e.g., vitamin E)
  • Current markets for these compounds = $1 trillion
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Debt or Equity

  • Equity with warrant
  • 4-5 year convertible

debenture with varied future

Use of Proceeds

  • Expand distribution and sales
  • Increase production
  • Develop additional I.P. through

CAPITAL REQUIREMENTS

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conversion price, with floor

proprietary R&D

  • Perform new product

development

  • Perform additional in vitro /

in vivo testing

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  • Chairman & CEO

Chairman & CEO: : Chris Bunka Chris Bunka -

  • 20+ years Entrepreneur

20+ years Entrepreneur

  • President:

President: John Docherty, John Docherty, MSc MSc -

  • BioPharma

BioPharma Executive Executive

  • CFO:

CFO: Bal Bhullar, Bal Bhullar, CPA, CGA CPA, CGA, CRM , CRM -

  • 20+ years Risk

20+ years Risk

THE RIGHT PEOPLE

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  • CFO:

CFO: Bal Bhullar, Bal Bhullar, CPA, CGA CPA, CGA, CRM , CRM -

  • 20+ years Risk

20+ years Risk Management Management

  • Executive VP:

Executive VP: Tom Tom Ihrke Ihrke, MBA , MBA -

  • Banking, Finance Expert

Banking, Finance Expert

  • Director:

Director: Ted Ted McKechnie McKechnie - Past President $3 Billion Maple Past President $3 Billion Maple Leaf Foods, Kraft, PepsiCo. Leaf Foods, Kraft, PepsiCo.

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SHARE STRUCTURE AND PERFORMANCE

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950, 1130 W. Pender St. Vancouver, BC V6E 4A4 604 602 1675 Chris Bunka

Contact Information

Chris Bunka 250 765 6424 bossbunka@gmail.com

www.LexariaEnergy.com