Health Canada licence amendment doubles licensed processing area

Company can also now produce and sell edibles, topicals and extracts

Final site evidence package for Paris Phase II expansion has been submitted

TORONTO, Nov. 14, 2019 (GLOBE NEWSWIRE) -- Aleafia Health Inc.’s (TSX: ALEF, OTC: ALEAF, FRA: ARAH) (“Aleafia Health” or the “Company”) wholly owned subsidiary, Emblem Cannabis Corp., has secured two Health Canada licence amendments that expand processing capacity, allowing for the sale of new product formats at its Paris Processing facility. The amendments apply to the licensed and operational Paris location, which processes all of the Company’s extraction, packaging and order fulfilment for Canadian and international sales.

As a result of the licence amendments, the Company is now authorized to produce and sell new product formats and has adequate, licensed production space to do so.

“These licence amendments are well timed, increasing the versatility of our Paris Facility, while ensuring we can move immediately to the production of new cannabis 2.0 formats,” said Aleafia Health CEO Geoffrey Benic. “The additional processing capacity will also allow us to accelerate the production of oil-based products derived from our recent outdoor harvest.”

The first Licence Amendment vastly increases the Company’s ability to produce finished cannabis products by authorizing activities including extraction, packaging and labeling in four rooms that were previously only authorized for cannabis cultivation. The amendment doubles the Paris Facility’s licensed processing space. The second Licence Amendment permits the Company to produce and sell edibles, topicals and extracts to the Canadian market.

PARIS FACILITY PHASE II EXPANSION

Following the issuance of the amended licence and closing of corresponding application, the Company submitted its final Site Evidence Package (“SEP”) to Health Canada for the Phase II expansion of its Paris Processing facility. The final stage in the Company’s licence amendment application for the proposed expansion, the SEP demonstrates that the facility is operational ready and meets all Health Canada requirements.

The Paris Phase II expansion, a 30,000 sq. ft. facility, is entirely dedicated to the extraction, production, packaging and distribution of high-margin, value-added cannabis health and wellness products. The expansion is purpose-built to meet European Union Good Manufacturing Practices (“EU-GMP”) certification requirements. EU-GMP certified facilities demonstrate the highest level of pharmaceutical-grade quality, and securing the certification (along with applicable import and export permits) will allow Aleafia Health to begin exporting medical cannabis products to the European Union market.

For Investor and Media Relations, please contact:

Nicholas Bergamini, VP Investor Relations

1-833-TSX-ALEF (879-2533)

IR@AleafiaHealth.com

LEARN MORE: www.AleafiaHealth.com

About Aleafia Health:

Aleafia Health is a leading, vertically integrated cannabis health and wellness company with four primary business units: Cannabis Cultivation & Products, Health & Wellness Clinics, Cannabis Education, and Consumer Experience with ecommerce, retail distribution and provincial supply agreements.

Aleafia Health owns three major cannabis product & cultivation facilities, two of which are licensed and operational including the first large-scale, operational outdoor cultivation facility in Canadian history. The Company produces a diverse portfolio of commercially proven, high-margin derivative products including oils, capsules and sprays. Aleafia Health operates the largest national network of medical cannabis clinics and education centres staffed by MDs, nurse practitioners and educators and has international operations in three continents.

Innovation is at the heart of Aleafia Health competitive advantage. The Company maintains a medical cannabis dataset with over 10 million data points to inform proprietary illness-specific product development and its highly differentiated education platform FoliEdge Academy. The Company is committed to creating sustainable shareholder value and has been named the 2019 top performing company of the year by the TSX Venture Exchange prior to graduation to the TSX.

Forward Looking Information

This news release contains forward-looking information within the meaning of applicable Canadian and United States securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes” or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information, including risks contained in the Company’s annual information form filed with Canadian securities regulators available on the Company’s SEDAR profile at www.sedar.com. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company does not undertake any obligation to publicly update such forward-looking information to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.