Mr. Igal Sudman reports

AYURCANN OBTAINS CREDITOR PROTECTION TO PURSUE RESTRUCTURING AND SALES PROCESS

Ayurcann Holdings Corp. and its subsidiary Ayurcann Inc. have been granted creditor protection under the Companies' Creditors Arrangement Act pursuant to an order of the Ontario Superior Court of Justice (Commercial List). Pursuant to the initial order, the court has appointed Alvarez & Marsal Canada Inc. as the monitor of the applicants to oversee the CCAA proceedings.

After careful consideration of all reasonably available alternatives, the board of directors of each member of the Ayurcann Group determined that it was in the best interest of the Ayurcann Group and its stakeholders to seek creditor protection under the CCAA.

The initial order provides for, among other things, a stay of creditor claims and proceedings in favour of the applicants for an initial period of 10 days, subject to extension thereafter as the court deems appropriate. The CCAA proceedings and the stay of proceedings will provide the Ayurcann Group with the time and stability required to continue operating in the ordinary course while considering potential restructuring alternatives with a view to maximizing value for the benefit of its creditors and other stakeholders.

In that regard, the Ayurcann Group intends to seek court approval to launch a sale process for their business and assets (the sale process) as part of the CCAA proceedings. The sale process is expected to be administered by the Ayurcann Group and the monitor. Additional details in respect of the sale process will be disclosed on the monitor's website (as defined below) in the course of the CCAA proceedings.

The business operations of the Ayurcann Group are not anticipated to be interrupted as a result of the CCAA proceedings. It is expected that the Ayurcann Group will emerge from creditor protection as a stronger company with a healthier balance sheet. To help finance the CCAA proceedings, the Ayurcann Group intends to seek approval of debtor-in-possession financing at a subsequent hearing.

Trading of Ayurcann's common shares on the Canadian Securities Exchange (the CSE) may be halted for a period of time and, as a result of having filed for protection under the CCAA, Ayurcann may be suspended or delisted by the CSE.

A copy of the initial order and additional information regarding the CCAA proceedings -- including all of the court materials filed in the CCAA proceedings -- may be found at the monitor's website.

About Ayurcann Holdings Corp.

Ayurcann is a cannabis-licensed producer concentrating on the recreational market in Canada with proprietary products and formulations including vape carts, prerolls, concentrates, and extracts.

We seek Safe Harbor.