Ms. Chelsie Hodge reports

BLENDER BITES CLOSES FIRST TRANCHE OF PREVIOUSLY ANNOUNCED BROKERED FINANCING

Blender Bites Ltd. has closed the first tranche of its previously announced brokered private placement financing, as described in its press releases of May 30, 2023, and June 14, 2023, resulting in the issuance of 443,072 units of the company at a price of $3.50 per unit for aggregate gross proceeds of $1,550,752.

Each unit comprised one common share in the capital of the company and one-half of one common share purchase warrant. Each unit warrant entitles the holder thereof to purchase one common share at a price of $4.55 for a period of 36 months following the date of closing, subject to adjustment in certain events. Units in the first tranche offering were offered for sale to purchasers resident in Canada (except Quebec) pursuant to the listed issuer financing exemption under Part 5A of National Instrument 45-106 (Prospectus Exemptions) and will not be subject to any statutory hold period in accordance with applicable Canadian securities laws. The company may close additional tranches of the offering.

The company intends to use the net proceeds of the first tranche offering for the expansion of operations, raw material purchases, product related marketing and advertising, and to provide general working capital to support operations.

In connection with the closing of the first tranche offering, Canaccord Genuity Corp., as agent, received a cash commission of $108,553, as well as 31,015 broker warrants and a corporate finance fee consisting of 13,292 common shares. Each agent warrant is exercisable to acquire one unit for $3.50 and exercisable at any time prior to the date that is 24 months from the closing date of the first tranche offering. The company also issued 8,861 common shares to Amalfi Corporate Services Ltd. for its assistance with the first tranche offering. The agent warrants (and underlying securities thereof), the corporate finance fee shares and the admin fee shares are subject to a statutory hold period of four months and one day.

There is an amended and restated offering document dated June 14, 2023, related to the offering that can be accessed under the company's profile on SEDAR and on the company's website. Prospective investors should read this offering document before making an investment decision. The company intends to use the net proceeds for general working capital purposes, as more particularly described in the offering document. The offering document amends and restates the offering document filed by the company on May 30, 2023, and now includes a minimum offering amount required to meet the company's business objectives and liquidity requirements for a period of 12 months.

Multilateral Instrument 61-101 disclosure

Amalfi, a private company controlled by Geoff Balderson, chief financial officer of the company, will receive an aggregate total of 8,861 admin fee shares in consideration for administrative services rendered in connection with the offering. The issuance of the admin fee shares to Amalfi is considered to be a related-party transaction as defined under Multilateral Instrument 61-101. The company is relying on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, as the fair market value of the issuance of the admin fee shares issued to Amalfi do not exceed 25 per cent of the market capitalization of the company, as determined in accordance with MI 61-101.

About Blender Bites Ltd.

Blender Bites is an award-winning Canadian company involved in the development and marketing of a line of premium frozen food products with a focus on functionality. Blender Bites was founded in 2016 and was first to market in Western Canada with a preportioned easy smoothie product that is free of any unnecessary inner plastic packaging.

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