Mr. Maximilian Justus reports

GROUNDED PEOPLE ANNOUNCES NON-BROKERED PRIVATE PLACEMENT

Grounded People Apparel Inc. will conduct a non-brokered private placement of units at a price of 80 cents per unit for gross proceeds of $3-million. Each unit will consist of one common share and one transferable share purchase warrant. Each warrant will entitle the holder to purchase one additional share of the company for a period of five years from issuance at a price of $1 per warrant share. Closing of the first tranche of the private placement is anticipated to occur on or about April 17, 2024.

The net proceeds from the financing will be used for working capital and general corporate purposes of the company. Pursuant to applicable securities laws, all securities issued under the private placement will be subject to restrictions on resale for a period of four months and one day.

The company will issue shares equal to 2.0 per cent of the number of units issued in the private placement to Amalfi Corporate Services Ltd. as an administrative fee for Amalfi's assistance with the private placement. The company does not anticipate paying any finders' fees related to the private placement.

Amalfi is a private company controlled by Geoff Balderson, chief financial officer, corporate secretary and a director of the company, and an issuance of admin fee shares to Amalfi is considered to be a related-party transaction as defined under Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). The company is relying on the exemptions from the valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101 as the fair market value of the issuance of the admin fee shares issued to Amalfi will not exceed 25 per cent of the market capitalization of the company, as determined in accordance with MI 61-101.

About Grounded People Apparel Inc.

Grounded People, based in Vancouver, B.C., Canada, is an innovative apparel company focused on delivering high-quality products to its customers that are 100 per cent PETA-approved vegan. The company is primarily engaged in the business of fair trade, sustainable and earth-conscious fashion. The company's initial products, which launched in the fourth quarter of 2021, were its high-top and low-cut canvas sneakers, which are made from sustainable, ethically sourced and produced materials, and are manufactured by fair trade workers, in a 100-per-cent-vegan manufacturing facility which is located in Brazil.

In addition to its commitment to a fashion industry that reduces waste and environmental impacts, the company aims to create a meaningful positive impact on the world through its laces campaign. The laces campaign provides consumers an option to select a specific set of shoelaces to accompany their footwear purchase, the colour of which is associated with one of the charities the company has committed to support, whereby all profits from the sale of shoelaces will be donated correspondingly.

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