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Nevada – TheNewswire - July 31, 2026 - Allied Corp. (“Allied” or the “Company”) is pleased to provide an update on recent corporate and operational developments.

Operational Update

Over the last 18 months, Allied has undergone a material business transformation. The Company has entered into multi-year commercial agreements, achieved CUMCS-GACP certification at its facility in Colombia and undertaken export activity to regulated markets, including Germany where products have now reached end pharmacies. Supported by key hires, the organization and its operations have also been streamlined into a leaner and execution-focused structure.

Allied has moved beyond the “greenfield” phase, with the foundations - certifications, quality systems, regulatory approvals, export channels, and early commercial traction - in place. The Company's near-term focus is on improving product quality and consistency, strengthening infrastructure and building the production capacity required to meet market demand for compliant product.

Market Update

The global medical cannabis market has entered a period of rapid growth with countries like Germany seeing imports surge from 72.85 tonnes in 2024 to 201 tonnes in 2025 according to the German Federal Institute for Drugs and Medical Devices (BfArM) 1 . Industry developments suggest increasing demand for cost-efficient and compliant production from jurisdictions such as Colombia, which offers year-round cultivation and scalable production.

Allied is directly experiencing this shift. The Company has received commercial interest and demand beyond its existing production capacity, with additional inbound requests the Company is unable to fulfil - underscoring the need for immediate capital to meet demand and scale consistent and compliant production. This remains subject to the risks described under "Financial Condition" and "Forward-Looking Statements" below.

Resignation of COO, interim CFO and Director and Change in Mailing Address

Mr. Paul Bullock, the interim CFO and COO of the Company has tendered his official resignation on 27 July 2026. The COO and interim CFO has not performed any services nor has been paid since the company made its last filings of its financial statements in January 2025. The Company has accepted his resignation and thanks him for his contributions to the Company. In the interim, the existing executive team and Board will continue to oversee the Company’s finance and operational functions.

Mr. Paul Bullock, Director of the Company, has also resigned as a Director, effective 27 July 2026. The Company has accepted his resignation and thanks him for his contributions to the Company.

To complete the termination of the Company’s connection to Canada, it has changed its mailing address to one in the United States and updated its SEDAR+ profile on December 8 th 2025 accordingly.  

Daily management of the Company continues to be conducted outside of Canada and with a focus on its Colombian asset.

Cease Trade Order

The British Columbia Securities Commission (the " BCSC ") has issued a cease trade order (the " CTO ") pursuant to Section 164 of the Securities Act (British Columbia) as a result of the Company's failure to file its: unaudited and consolidated interim financial statements for the interim period ended February 28, 2025 and management's discussion and analysis thereon. The Company has also subsequently failed to file its unaudited consolidated financial statements for the interim period ended May 31, 2025 and its audited consolidated financial statements for the year ended August 31, 2025 and, in each case, management's discussion and analysis thereon. The Company intends to make an application to the BCSC to revoke the CTO and grant an order that the Company cease to be a reporting issuer in British Columbia.

The CTO prohibits any trading in the Company’s securities until the Company has made the required filings and the Executive Director of the BCSC revokes the CTO.  The CTO however does not prevent the Company from trading its securities to persons outside of Canada, from outside of Canada.

Financial Condition

Despite cost reductions and deferred compensation implemented by management and the Board to preserve operations, liquidity and working capital today remain critically constrained. The Company continues to pursue financing and restructuring alternatives intended to address working capital requirements outside of Canada and from non-Canadian residents. The CTO issued by the BCSC remains in effect and the Company will comply with applicable securities laws.

Forward-Looking Statements

Certain statements in this news release contain “forward-looking statements” and “forward-looking information” within the meaning of applicable securities laws. Forward-looking statements generally can be identified by the fact that they do not relate strictly to historical or current facts and by the use of forward-looking words such as “expect,” “expectation,” “believe,” “anticipate,” “may,” “could,” “intend,” “belief,” “plan,” “estimate,” “target,” “predict,” “likely,” “seek,” “project,” “model,” “ongoing,” “will,” “should,” “forecast,” “outlook” or similar terminology.  In addition, any statements that refer to expectations, predictions, indications, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management’s expectations, estimates and projections regarding future events at the time those statements are made. Forward-looking information in this news release relating to the Company include, among other things, statements relating to the Company’s intention to make an application to the BCSC to revoke the CTO and grant an order that the Company cease to be a reporting issuer in British Columbia , the Company’s continued pursuit of financing and restructuring alternatives to address working capital requirements, the future of the global demand for medical cannabis, and the Company's strategic focus on long-term global growth .

These statements and other forward-looking information are based on opinions, assumptions and estimates made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that the Company believes are appropriate and reasonable in the circumstances, as of the date of this news release, including, without limitation, that the BCSC will revoke the CTO and order that the Company will cease to be a reporting issuer in British Columbia , that the global demand for medical cannabis will continue to grow as expected, that the Company will be able to raise sufficient capital to fund planned activities and maintain corporate capacity and that key employees will remain with the Company.

Forward-looking information is necessarily based on a number of opinions, assumptions and estimates that, while considered reasonable by the Company as of the date such statements are made, are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to the risk that the BCSC does not revoke the CTO or order that the Company cease to be a reporting issuer in British Columbia , the ability to retain key personnel, the ability to continue investing in infrastructure to support growth, the ability to obtain financing on acceptable terms, the continued quality of our products, customer experience and retention, the development of third party government and non-government consumer sales channels, management's estimates of consumer demand in jurisdictions where the Company exports, expectations of future results and expenses, the ability to expand and maintain distribution capabilities, the impact of competition, the general impact of financial market conditions, the yield from cannabis growing operations, changes in prices of required inputs, competition, and the possibility for changes in laws, rules, and regulations in the industry, epidemics, pandemics or other public health crises.

These factors and assumptions are not intended to represent a complete list of the factors and assumptions that could affect the Company. These factors and assumptions, however, should be considered carefully. Although the Company has attempted to identify factors that would cause actual actions, events or results to differ materially from those disclosed in the forward-looking information or information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Also, many of such factors are beyond the control of the Company. Accordingly, readers should not place undue reliance on forward-looking information. The forward-looking information is made as of the date of this news release, and the Company assumes no obligation to publicly update or revise such forward-looking information, except as required by applicable securities laws. All forward-looking information contained in this news release is qualified in its entirety by this cautionary statement.

1  Source: German Federal Institute for Drugs and Medical Devices (BfArM) import data, cited in International Cannabis Business Conference (ICBC), Germany Imported Over 201 Tonnes of Medical Cannabis in 2025

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