Mr. Philip Young reports

LOBE SCIENCES, LTD. PROVIDES UPDATE ON VITAMIND

Lobe Sciences Ltd. today provided an update on its acquisition of the Vitamind brand and intellectual property pursuant to an asset purchase agreement dated April 30, 2021.

Pursuant to the agreement, the company issued 2,916,668 common shares to acquire Vitamind. The agreement specified performance milestones that the company must achieve in order for it to release the 2,916,668 consideration shares. Those milestones and the dates that the milestones were satisfied and the escrow restrictions were removed are summarized in the attached table.

The company met the first and second milestones on closing of the agreement.

The company met the third milestone on May 13, 2021, when the company entered into an exclusive two-year white label supply agreement with GCO Packaging and Manufacturing Inc. expiring on May 13, 2023. There is a two-year renewal option which the company does not expect to exercise. The supply agreement provides for the co-ordination of: (i) natural product number application with Health Canada; (ii) GS1 UPC registry; (iii) UPC agency design work; (iv) label design; (v) French translation of product details; (vi) GS1 registry and publishing; (vii) digital label sample printing; and (v) custom tool and print set-up. The company, at its sole discretion and expense, shall design and brand packaging, provided that GCO will provide the services in respect of the packaging.

The fourth milestone has not been met and the shares remain in escrow. Management has focused the company resources on the development of its intellectual property related to L-130 and L-131 and the recently announced Altemia acquisition. The company does not expect that the final milestone will be met.

About Lobe Sciences Ltd.

Lobe Sciences is a biopharmaceutical company focused on developing patient-friendly, practical psychedelic medicines. The company, through collaborations with industry-leading partners, is engaged in drug research and development using subhallucinatory doses of psychedelic compounds and the development of innovative devices and delivery mechanisms to improve mental health and wellness. Each of the company's new chemical entities, L-130 and L-131, are being developed to address unmet medical needs in neurological therapeutic applications.

We seek Safe Harbor.