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Prairie Records Selected for Manitoba Cannabis Store Licence

Opportunity to build retail store and online sales expands distribution footprint

CALGARY, May 21, 2019 – Westleaf Inc. (the “Company” or “Westleaf“) (TSX-V:WL) (OTCQB:WSLFF) is proud to be one of only seven retail operators selected by the province of Manitoba for new retail cannabis licences. Westleaf has been chosen to open a store in the southern Manitoba border community of Altona. Westleaf has 10 days from the draw date to confirm its interest to the Government of Manitoba and the opening of the store is subject to the province’s standard licensing process including completion of due diligence and obtaining all municipal permits and inspections.

Highlights:

  • Option to Expand Retail Distribution Footprint to Fourth Province: A retail location in Manitoba would expand Westleaf’s footprint to four Western Canadian provinces where the Company has or intends to open cannabis retail stores and helps grow the company’s multi-province approach to retail distribution;
  • Expanded Ecommerce Platform: Provides the option to launch province-wide online sales in Manitoba and replicate operations already built and operating in Saskatchewan;

“The opportunity to add a Manitoba cannabis retail store is a positive step in building our vertically integrated business model across the country,” said Scott Hurd, President and CEO of Westleaf. “In addition to building a cannabis retail store we also have an opportunity to launch our ecommerce platform across the entire province to introduce our brand to a new and large customer base.”

The Manitoba retail regulations allow for province-wide online sales, Westleaf’s Prairie Records cannabis retail brand (www.prairierecords.ca) is already established online and is currently serving the province of Saskatchewan.

Westleaf continues to build out its vertically integrated business model as construction of the Company’s cannabis extraction and manufacturing facility, The Plant, is nearing completion in Calgary and Westleaf’s cultivation facility in Battleford, Saskatchewan continues on schedule with completion estimated for Q4 this year. The output from both facilities will help Westleaf gain a competitive advantage in terms of product offering and pricing at its wholly owned retail stores and online sales platform.

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