Mr. Micah Anderson reports

LEEF BRANDS CLOSES OVERSUBSCRIBED PRIVATE PLACEMENT FOR CAD $2.09 MILLION

Leef Brands Inc. has closed its previously announced private placement offering. The company has raised gross proceeds of $2,090,890 through the issuance of 8,363,560 units at a price of 25 cents per unit, representing approximately twice the size of the original offering.

Each unit consists of one common share and one common share purchase warrant. Each warrant entitles the holder to purchase one additional common share of the company at a price of 30 cents for a period of 24 months from the closing date of the offering.

The offering was conducted pursuant to the listed issuer financing exemption under Part 5A of National Instrument 45-106 (Prospectus Exemptions) and other applicable prospectus exemptions under NI 45-106. Securities issued under the LIFE are not subject to a statutory hold period in accordance with applicable Canadian securities laws.

"We are grateful for the strong support from our investors, which has enabled us to close this offering at twice our original expectation," said Micah Anderson, chief executive officer of Leef Brands. "We are excited about the opportunities ahead, including expanding our presence in New York and further developing our farm in California to drive long-term growth."

"With this financing, we are in a stronger position to accelerate our growth in two key markets: expanding our New York footprint and enhancing production at our California farm," said Kevin Wilson, chief financial officer of Leef Brands. "These initiatives form a solid foundation for long-term value creation -- and should federal catalysts like rescheduling advance, we'll be well positioned to capitalize on the resulting shift in market dynamics."

In connection with the offering, Mr. Anderson and Mr. Wilson, insiders of the company, participated in the offering, which acquisition constitutes a related-party transaction pursuant to Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). The company relied on sections 5.5(a) and 5.7(1)(a) of MI 61-101 for an exemption from the formal valuation and minority shareholder approval requirements, respectively, of MI 61-101 as, neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the units purchased by insiders under the offering exceeded 25 per cent of the company's market capitalization.

In addition, the company has issued 272,000 common shares to a service provider in consideration for services rendered and 36,000 common shares upon the exercise of employee stock options.

About Leef Brands Inc.

Leef Brands is a leading California- and New York-based extraction and manufacturing cannabis company. With a comprehensive supply chain, innovative manufacturing processes and a dynamic bulk concentrate portfolio, Leef powers some of the largest cannabis brands in the United States.

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