Mr. Sean Black reports

HAPPY BELLY FOOD GROUP'S HEAL WELLNESS SIGNS BINDING AGREEMENT FOR 150 HEAL WELLNESS FRANCHISE UNITS ACROSS THE STATE OF TEXAS, USA

Happy Belly Food Group Inc.'s largest franchise development agreement in company history, with the signing of a binding 150 Heal Wellness restaurants in the state of Texas with the company's existing multiunit operator, The Curative Group. Heal is a quick-service restaurant (QSR) brand specializing in fresh smoothie bowls, acai bowls and smoothies.

The agreement provides for 150 Heal Wellness locations to be opened across the state of Texas, including the group's first location, which opened on Oct. 3, 2026, in Lubbock, and its second, expected in early 2027. Led by Kendall Howard and Paul Fioroni, The Curative Group brings extensive experience owning and operating multiple franchise brands, combining proven multiunit operating capabilities with local market knowledge to support Heal Wellness's expansion across Texas. As locations open, the development is expected to generate measurable growth in Happy Belly's operating restaurant count, system-wide sales and recurring royalty revenue, with the full 150-location rollout representing a substantial expansion of its U.S. footprint. Texas is the first of many states Happy Belly intends to develop for Heal Wellness.

"Signing a 150-unit binding agreement for Texas is the largest and most impactful development agreement Happy Belly has ever signed, marking our most significant step toward building Heal Wellness into North America's leading smoothie bowl brand," said Sean Black, chief executive officer of Happy Belly.

"Our franchise partners have already opened Heal's first U.S. location in Lubbock and are preparing to open their second in early 2027. Expanding our relationship with an experienced group that owns and operates several successful franchised brands in Texas gives us a proven local partner with the operational capabilities and market knowledge to execute this rollout. The group's first Heal Wellness restaurant is located at 1113 University Avenue in Lubbock, directly across from Texas Tech University. The opening established Heal's first operating location in the United States and provides an initial base for building brand awareness and operating experience in the Texas market.

"Our approach is to pair the right brand with experienced operators who understand their markets and have the capabilities to support sustained growth," added Mr. Black. "The Curative Group brings hands on experience constructing and managing brands across Texas, along with firsthand knowledge of operating Heal in Texas. We believe that combination provides a strong foundation for a disciplined rollout as we identify suitable real estate, build local teams, maintain consistent operating standards and grow the brand's presence across the state while delivering a consistent guest experience."

This 150 multiunit agreement expands Heal's Texas development commitment from the previously announced 10 locations to 150 locations in total. It builds on the company's June, 2025, announcement of its initial Texas development agreement and subsequent announcements securing the first two U.S. locations in Lubbock. Management believes the state of Texas offers an attractive market for Heal's business model and menu mix, with opportunities to serve students, families, professionals and active consumers seeking convenient, better-for-you food options on the go. Future development will follow Happy Belly's franchise growth model, with site selections already under way.

The company's first Texas opening was an important milestone. This agreement gives the company a framework to build upon that opening with a partner that shares the company's long-term vision for Heal. Happy Belly remains focused on translating its development pipeline into operating restaurants and creating long-term value for its shareholders.

"Building on the three-year, 45-unit agreement announced on June 15th with a group led by Alex Rechichi, former chairman of Happy Belly's board, and Bedford Park Capital, today's 150-unit agreement with The Curative Group, led by Kendall Howard and Paul Fioroni, further demonstrates the tremendous franchisee appetite for the Heal Wellness brand. With 460 units now in its development pipeline under signed development agreements, Heal has a substantial foundation for continued growth across Canada and the United States. This expansion across Texas adds to a strong year of growth for Heal, which began 2026 with 30 locations and now has 54 open. With 60 locations expected to be open and operating by year-end, Heal is on track to double its restaurant footprint in 2026."

"We are just getting started," added Mr. Black.

About Heal Wellness

Heal Wellness was founded with a passion and mission to provide quick, fresh wellness foods that support a busy and active lifestyle. Heal currently offers a diverse range of smoothie bowls and smoothies. Heal takes pride in meticulously selecting every superfood ingredient on its menu to fuel the body, including acai smoothie bowls, smoothies and superseed grain bowls. Heal's smoothie bowls are crafted with real fruit and enriched with superfoods like acai, pitaya, goji berries, chia seeds and more.

About Happy Belly Food Group Inc.

Happy Belly Food Group is a leader in acquiring and scaling emerging food brands. The company's portfolio includes Heal Wellness, Rosie's Burgers, Yolks Breakfast, Via Cibo Italian Street Food, iQ Food Co. and others.

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