Halo Labs Announces Launch of Edibles in Oregon

TORONTO–(BUSINESS WIRE)–Halo Labs Inc. (“Halo” or the “Company“)
(NEO:HALO) is pleased to announce it has launched its edibles line in
Oregon, with the introduction of three edible products including single
piece chews, a gummy ten pack and a syrup based drink. The Company has
commenced sales of the gummy ten packs under the Drops™ brand, with Hush
single piece chews and Hush Lean Back Syrup scheduled for release in
stores by mid-November. The launch of edibles is a natural extension
given Halo’s expertise in manufacturing high quality cannabis extracts
and oils and provides the Company with exposure to the fastest growing
sector in the cannabis industry with a higher margin profile than the
existing Halo product line.

Summary of Edibles Business Update

• Halo to manufacture and distribute Hush Single Piece Soft Chews, Hush
  4 oz Lean Back Syrup, and Drops™ 10-piece Gummy packs
• The initial 6000 units of Drops™ 10-piece Gummy packs have been
  recently distributed
• Hush Single Piece Soft Chews and Hush 4 oz Lean Back Syrup are
  scheduled for a mid-November launch
• New products are being developed to match changing consumer demand in
  line with fast growing market conditions

Halo recently initiated their edibles launch, introducing products in
Oregon where the Company has already established an approximate 20%
share of the wholesale concentrates market. The Company is launching two
different brands with three products, Hush Single Piece Soft Chews 50 mg
THC (Hush Gummy), Hush 4 oz Lean Back Syrup 1000 mg, and Drops™ 10-Piece
Gummy 50 mg THC. Given the growth the fast growth of the edible’s
category and Halo extensive distribution in Oregon, management
anticipates that edibles will provide a meaningful boost to the current
Oregon revenues.

Concentrates are the fastest growing sector in the cannabis industry
encapsulating the edibles market, rapidly outpacing the growth of
flower. According to a new report by BDS Analytics, the trending shift
toward consumables will continue over the next five years, with flower’s
share of total spending dropping from 50% in 2017 to just 36% in 2022.
Edibles is forecasted to grow from 12% to 14% in that time frame. This
growing demand for edibles compliments the consumer benefits of longer
shelf life, easy to use and monitor dosing, easy to travel with, and
discrete consumption; along with the manufacturing benefits of being
efficient to mass produce, ability to generate unique designs, existing
support of confectionary industry, and higher profit margins. Developing
a line of edible products will generate higher overall margins for Halo
while requiring nearly no infrastructure changes, making the move into
the edible cannabis category seamlessly.

“The introduction of edibles to the Halo product line creates a new
stream of revenues and profits which we expect will result in impressive
margins that reflect the shifting consumer demographics. Given our
Company’s expertise in the extracts and concentrate industry, edibles
are a natural extension of our established business,” said Kiran Sidhu,
Halo’s Chief Executive Office.

ABOUT HALO

Halo is a cannabis extraction company that develops and manufactures
quality cannabis oils and concentrates, which are the fastest growing
segments in the cannabis industry. Founded in Oregon in 2016, Halo has
expertise in all major cannabis manufacturing processes, leveraging
proprietary processes and products, and has produced over 2.7M grams of
oils and concentrates since inception. The forward-thinking company is
led by a strong management team with deep industry knowledge and
blue-chip experience. The Company is currently expanding its operations
with new facilities in Nevada and California. With a consumer-centric
focus, Halo will continue to market innovative branded and private label
products across multiple product categories.

For further information regarding Halo, see Halo’s disclosure documents
on SEDAR at www.sedar.com.

Cautionary Statements

Investors are cautioned that, except as disclosed in the information
circular prepared in connection with the Transaction or this news
release, any information released or received with respect to the
Transaction may not be accurate or complete and should not be relied
upon. Trading in the securities of Halo should be considered highly
speculative.

Cautionary Note Regarding Forward-Looking Information and
Statements

This press release contains certain “forward-looking information”
within the meaning of applicable Canadian securities legislation and may
also contain statements that may constitute “forward-looking statements”
within the meaning of the safe harbor provisions of the United States
Private Securities Litigation Reform Act of 1995. Such forward-looking
information and forward-looking statements are not representative of
historical facts or information or current condition, but instead
represent only Halo’s beliefs regarding future events, plans or
objectives, many of which, by their nature, are inherently uncertain and
outside of Halo’s control. Generally, such forward-looking information
or forward-looking statements can be identified by the use of
forward-looking terminology such as “plans”, “expects” or “does not
expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”,
“intends”, “anticipates” or “does not anticipate”, or “believes”, or
variations of such words and phrases or may contain statements that
certain actions, events or results “may”, “could”, “would”, “might” or
“will be taken”, “will continue”, “will occur” or “will be achieved”.

By identifying such information and statements in this manner, Halo
is alerting the reader that such information and statements are subject
to known and unknown risks, uncertainties and other factors that may
cause the actual results, level of activity, performance or achievements
of Halo to be materially different from those expressed or implied by
such information and statements. In addition, in connection with the
forward-looking information and forward-looking statements contained in
this press release, Halo has made certain assumptions.

Although Halo believes that the assumptions and factors used in
preparing, and the expectations contained in, the forward-looking
information and statements are reasonable, undue reliance should not be
placed on such information and statements, and no assurance or guarantee
can be given that such forward-looking information and statements will
prove to be accurate, as actual results and future events could differ
materially from those anticipated in such information and statements.
The forward-looking information and forward-looking statements contained
in this press release are made as of the date of this press release, and
Halo does not undertake to update any forward-looking information and/or
forward-looking statements that are contained or referenced herein,
except in accordance with applicable securities laws. All subsequent
written and oral forward-looking information and statements attributable
to Halo or persons acting on its behalf is expressly qualified in its
entirety by this notice.

Contacts

Halo Labs
Investor Relations
info@halocanna.com