Mr. John McMullen reports

LGC CAPITAL ANNOUNCES CONDITIONAL APPROVAL OF AN AMENDED PRIVATE PLACEMENT FINANCING OF $10,400,000 WITH ARLINGTON CAPITAL LP

LGC Capital Ltd. has obtained conditional approval from the TSX Venture Exchange for its previously announced financing with Arlington Capital (please refer to LGC's press release dated Jan. 24, 2019). Since that announcement, both parties have agreed to increase the financing to $10.4-million from the previously announced $8-million. Pursuant to the private placement, Arlington Capital will subscribe for a total of 104 million common shares of LGC at a price of 10 cents per share. As a result of this private placement, Arlington Capital will, on closing, become LGC's largest shareholder, holding 19.97 per cent of LGC's issued and outstanding common shares. There are no warrants with this financing. Use of proceeds are to accelerate LGC's group of companies' business plan for the current calendar year. As previously announced, on closing of the private placement, LGC will pay a 3-per-cent finder's fee to an arm's-length third party, and Arlington Capital will be entitled to appoint a representative to LGC's board of directors.

Closing of this transaction is expected within the next week.

About LGC Capital Ltd.

Through its partners and assuming pending transactions under review by the TSX-V are approved, LGC presently will have interests in over 450,000 square feet of planted cannabis in Jamaica, Switzerland, Italy and Australia. That is expected to increase to over 2.1 million square feet by 2021, as its portfolio companies execute their expansion plans, in addition to the anticipated licensing of Tricho-Med's operations in Quebec.