An anonymous director reports

MERCANTO LAUNCHES VAPE CARTRIDGES IN QUEBEC -- NOW AVAILABLE IN-STORE AND ONLINE

Mercanto Holdings Inc. has officially launched its vape cartridge line in Quebec's newly opened vape category.

Mercanto has officially launched three one-gram vape cartridges, now available to Quebec residents of legal age both in-store and on-line:

• Afghan Gold;
• Cherry Blossom;
• Peach Sumo -- on-line exclusive (available only through the Societe quebecoise du cannabis on-line platform).

Mercanto products represent approximately 8 per cent of all vape cartridge shelf space in the province, where 24 SKUs are currently listed in stores and 29 SKUs are available across in-store and on-line channels combined. This provides a meaningful initial market position as the category opens.

Mercanto's two in-store offerings, Afghan Gold and Cherry Blossom, serve complementary market segments, allowing the company to capture demand across multiple consumer profiles without internal overlap.

Although Quebec's total vape market size remains untested, similar categories in British Columbia, Alberta and Ontario account for roughly 15 per cent of total cannabis sales, with hundreds of competing SKUs. Should Quebec follow comparable adoption, this represents a significant market opportunity. Mercanto enters on equal footing with other approved suppliers, competing alongside established national brands.

Each one-gram cartridge can last a consumer from one week to two months, depending on consumption habits, so sales patterns will take time to stabilize. Mercanto expects a clearer view of sales velocity and market share by the end of the first quarter 2026 calendar year.

The company is also introducing its M3BPlus battery by world-renowned manufacturer CCELL. Only two battery models will be available provincewide to support the entire vape category.

About Mercanto Holdings Inc.

Mercanto is a federally licensed Canadian cannabis and wellness company focused on innovation and the development of differentiated consumer products across multiple categories.

We seek Safe Harbor.