Lifeist Wellness announces results of Annual General. Special Meeting

Lifeist Wellness announced the results of the Company’s Annual General and Special Meeting of the shareholders held on March 14, 2024. A total of 191,161,948 common shares were represented in person or by proxy at the AGSM, representing 33.44% of the votes of all outstanding common shares of the Company as at the record date. Shareholders voted for the items of business brought before them at the AGSM as follows: The four nominees to the Company’s Board of Directors, namely Meni Morim, Laurens Feenstra, Branden Spikes, and John Sinclair, were elected for the ensuing year. Clearhouse LLP, Chartered Public Accountants were appointed as the Company’s auditor to hold office until the next annual meeting of shareholders or until its successor is duly appointed, at a remuneration to be fixed by the Board. The yearly shareholder approval required by TSXV rules for the continued use of the Company’s Amended and Restated Stock Option Plan was obtained. Shareholders also passed an ordinary resolution to approve a proposed consolidation of the issued and outstanding common shares of the Company on the basis of a consolidation ratio to be selected by the Board, within a range of between five pre-consolidation common shares for one post-consolidation common share and twenty pre-consolidation common shares for one post-consolidation common share. The special resolution for the proposed sale of the Company’s CannMart Group did not meet a super majority and therefore was not approved. It is important to understand that the proposal to sell the CannMart Group was the result of careful consideration by the Company’s Board of Director with input and advice from advisors and was aimed at securing the near- and long-term viability and success of Lifeist for the benefit of all shareholders. The regulatory framework under which Canadian public cannabis companies operate has proven to be prohibitively expensive in terms of being able to turn a profit. Rather than representing discrete overhead costs, the regulatory burdens are significantly magnified by having to meet both sets of requirements simultaneously. This has been compounded by the fact that all public company costs such as audit and D&O insurance are significantly higher for cannabis companies compared to companies of similar size in other sectors. The proposed sale of the CannMart Group was intended to divest Lifeist of the continued negative cash flow that the cannabis business has cost shareholders since inception. The Board of Directors respects the decision of shareholders and shall make every possible effort and explore every alternative avenue to adapt and restructure the CannMart Group toward future success. Concurrently, Lifeist will continue to direct increased focus toward its Mikra and Aussie Vapes businesses and will provide more information about those developments in the near future. Initiatives presently underway at Lifeist’s operating subsidiaries hold great promise for the realization of shareholder value, and we are dedicated to executing aggressively on that immediate strategy.