Mr. Ilan Sobel reports

BIOHARVEST SCIENCES ISSUES CLARIFICATION TO FEBRUARY 15, 2024 NEWS RELEASE ANNOUNCING ENGAGEMENT WITH IR FIRM

Bioharvest Sciences Inc. has issued this news release to expand on and clarify its news release issued Feb. 15, 2024, regarding engagement of MZ Group, at the request of CIRO (Canadian Investment Regulatory Organization).

Additional information to original release

Under the terms of the agreement with MZ Group dated Feb. 13, 2024, the company will pay monthly cash payments to MZ Group. In addition, consultant options will be granted to persons at MZ Group performing the services within the limits permitted by the Canadian Securities Exchange listing rules.

The agreement is for an initial term of three months, commencing Feb. 13, 2024, and may be extended beyond that period. MZ may also be entitled to receive certain cash bonuses for performance based on criteria that does not relate to market volume or price.

The services to be performed under the agreement include:

• Investor relation services such as creating Powerpoint investor presentations, managing investor conference invitations and managing road show events;
• Investment awareness outreach -- the consultant will make introductions to global investors, including equity brokers, analysts, portfolio managers/institutions, high-net-worth investors and family offices, utilizing a proprietary, robust database;
• Financial media relations -- the consultant will target media opportunities that highlight Bioharvest Sciences' strategy, growth objectives, board of directors, developments and milestones related to its business.

MZ Group reports that it has over 250 employees, with the following persons at MZ Group to be the primary contacts co-ordinating the provision of these services:

• Luke Zimmerman -- luke.zimmerman@mzgroup.us or 949-259-4987;
• Greg Falesnik -- greg.falesnik@mzgroup.us or 949-385-6449;
• Edward John Haberfield -- thaberfield@mzgroup.us or 760-755-2716.

The company also clarifies the following statements from the original release.

The company estimate of 125-per-cent year-over-year revenue growth and $12.4-million in revenue is a conservative estimate based on the actual numbers for the period. It is characterized as an estimate because the audit of the period is still under way although Bioharvest does not expect the 2023 audited number to vary much from this estimate. The $12.4-million revenue estimate should be understood in the context that the projected full-year net loss will be between $6-million and $8.5-million based on results from the previous three quarters. Gross profit margins for 2023 are estimated to be between 40 per cent and 45 per cent. The company has estimated based on the current rate of revenue growth that it will be profitable in the third quarter of 2024; however, this is a company estimate only and is based on continuation of the current growth, stability of cost estimates and acceptance of the company's coffee and other functional food products in the pipeline by consumers. Readers should not place undue reliance on estimates.

The health and wellness industry has been estimated by Mckinsey.com at $1.5-trillion with annual growth of 5 per cent to 10 per cent.

Although the Bioharvest technology has application to the many areas of the market, including nutraceuticals, pharmaceutical and traditional medicine, functional foods, and cosmetics, the company is currently only offering products in the nutraceutical and functional food areas. Those markets are estimated by Grandview Research to be $317.2-billion (2023) and $280.7-billion (2021) respectively.

This amended release has been reviewed and approved by Ilan Sobel, chief executive officer, who accepts responsibility for its contents.

About Bioharvest Sciences Inc.

Bioharvest Sciences is a leader in botanical synthesis, leveraging its patented technology platform to grow the active ingredients in plants without the need to grow the underlying plant. Bioharvest is currently focused on leveraging its botanical synthesis technology to develop the next generation of science-based and clinically proven therapeutic solutions, within two major business verticals -- nutraceutical health and wellness products, which include dietary supplements; and the development of plant cell-based active pharmaceutical ingredients (APIs) that focus on specific medical indications.

We seek Safe Harbor.