Mr. Boris Jordan reports

CURALEAF TO ACQUIRE NORTHERN GREEN CANADA TO BOLSTER EUROPEAN FLOWER SUPPLY

Curaleaf Holdings Inc. has signed a deal to acquire Northern Green Canada Inc. (NGC), a vertically integrated Canadian licensed cannabis producer focused primarily on expanding in the international market through its EU-GMP (European Union-good manufacturing practices) certification. NGC also partners with Canadian GACP (good agricultural and collecting practice) cultivators to produce and distribute finished cannabis products to both the domestic and global markets.

NGC is one of the few Canadian cultivators with EU-GMP certification. As such, NGC has consistently supplied high THC (tetrahydrocannabinol), non-irradiated flower to the German market, which is expected to see exponential growth following the recent removal of cannabis from the narcotics list. NGC is also increasingly supplying Australia and New Zealand, the world's fastest-growing cannabis markets.

Given NGC's longstanding role as a key supplier to Curaleaf's Four20 brand, this acquisition marks a significant milestone in Curaleaf's expansion strategy, particularly in Europe. By integrating NGC, Curaleaf can significantly increase its European margins while extending its global footprint across three continents: North America, Europe and Australasia (Australia/New Zealand). The deal provides Curaleaf International with secure and consistent, high-quality, indoor EU-GMP flower supply, ensuring the leading position in the growing German market during a critical juncture, while also allowing the company to maintain its leadership position in the United Kingdom and expand its first-mover advantage into Poland. Further, NGC's facility has both ample space and regulatory certification available for modular build-out of additional grow rooms, allowing for increased capacity.

Boris Jordan, executive chairman of Curaleaf, stated: "We expect the NGC acquisition to be a highly accretive deal that marks Curaleaf's first step into the Australasian markets, creating a true global cannabis company with global brands. It allows Curaleaf to safeguard our position in Europe, enhancing our supply chain while increasing our margins. The opportunity in Germany alone cannot be understated, and we continue to prepare strategically for that moment and beyond. We are committed to delivering the highest-quality flower in every market we operate, and we are thrilled to welcome the NGC team to the Curaleaf International family."

Juan Martinez, head of Curaleaf International, added: "The NGC deal complements our Portuguese cultivation and processing assets, which we continue to expand and develop. With the addition of NGC's indoor non-irradiated flower, coupled with existing production from Portugal that can be quintupled as demand dictates, Curaleaf will have ample high-quality GMP supply and future expansion capacity to meet growing market needs. We anticipate other EU countries to follow Germany's lead in advancing their medical cannabis programs to increase patient access."

Lisa McCormack, president and chief executive officer of Northern Green Canada, said: "The NGC team is excited to become a part of the Curaleaf family. As their long-standing commercial partner, we believe we can help accelerate Curaleaf's growth in global markets. We are committed to providing high-quality GMP products under the umbrella of the largest global cannabis company in the world."

The deal is expected to close in the second quarter of 2024, pending all regulatory approvals.

About Curaleaf Holdings Inc.

Curaleaf Holdings is a leading international provider of consumer products in cannabis with a mission to enhance lives by cultivating, sharing and celebrating the power of the plant. As a high-growth cannabis company known for quality, expertise and reliability, the company and its brands, including Curaleaf, Select, Grassroots, JAMS, Find and Zero Proof, provide industry-leading service, product selection and accessibility across the medical and adult-use markets. In the United States, its brands are sold in 17 states with operations encompassing 145 dispensaries. Curaleaf International is the largest vertically integrated cannabis company in Europe with a unique supply and distribution network throughout the European market, bringing together pioneering science and research with cutting-edge cultivation, extraction and production.

About Northern Green Canada Inc.

Northern Green Canada is a federally licensed, EU-GMP-certified producer of medical cannabis, focused on providing cannabis medications for a better quality of life. Its experienced team of experts operates in an EU-GMP-certified, 2,500-square-metre (27,000-square-foot) indoor growing and 25-ton processing facility, with a 4,275-square-metre (46,000-square-foot) expansion capability. NGC was the first privately owned Canadian licensed producer of cannabis to have EU-GMP certification and, in 2023, over 95 per cent of its revenue was attributed to international markets.

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