PEAK PROCESSING LIMITED — Capital/Financing Update 2020

Aug 16, 2020

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ASX Announcement | 17 August 2020 Althea Group Holdings (ASX:AGH)

Online sales contribute to record revenue and new patients in July; UK MyAccess Clinics booked out weeks in advance

Investment Highlights:

• Patients purchasing products online through Althea Concierge™ have helped the company set a new Australian patient and revenue record in July

• 740 patients were prescribed Althea products for the first time in July, total patients passed 8,000 and unaudited revenue of $692,091 was recorded

• Althea’s UK-based medical clinic business, MyAccess Clinics, is experiencing higher than anticipated patient demand and is booked out for weeks in advance

17 August 2020: Australian pharmaceutical company Althea Group Holdings Limited (ASX:AGH) (‘Althea’ or ‘the Company’) is pleased to share the following market update on its Australian and UK operations, as its online initiatives including telehealth and online sales, gather momentum.

Althea passes 8,000 patients as online sales contribute to a record month in July

In a positive development and further to the Company’s market update (08 July 2020) regarding Althea’s launch of online sales of its medicinal cannabis products, the Company confirms that 8,034 patients have been prescribed Althea medicinal cannabis in Australia as at the end of July.

740 patients were prescribed Althea products for the first time in July (up from 582 in June), with the Company recording unaudited revenue of $692,091, establishing a new benchmark for both. In addition, a total of 628 Australian Healthcare Professionals had prescribed Althea products as at 31 July 2020.

Chart 1: Althea Patient Growth in Australia as at 31 July 2020

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----- Start of picture text ----- 8,000 40.00 36.00 7,000 32.00 6,000 28.00 5,000 24.00 4,000 20.00 16.00 3,000 12.00 2,000 8.00 1,000 4.00 - -Total Patients Average Patients Per Business DayMay-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20----- End of picture text -----

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In an Australian first, and fast tracked in response to the ongoing threat of COVID-19, Althea Concierge™ now caters for the online sale of all Althea products. When used in conjunction with video telemedicine, Althea Concierge™ allows doctors to prescribe Althea medicinal cannabis products via the platform and patients to pay for their prescription online, with medication delivered directly to their door, while complying with all regulatory requirements and eliminating the need for multiple visits to both doctor and pharmacy.

MyAccess Clinics booked out, UK prescriptions increase

Althea’s fully owned subsidiary, UK-based MyAccess Clinics, is experiencing higher than anticipated patient demand and is booked out for weeks in advance. The Company is recruiting more support staff and Specialist prescribers to cater for the increased demand.

August is traditionally a month in which many British people (including doctors) go on summer vacation, yet the staff at MyAccess Clinics have been inundated with requests for telehealth consultations.

MyAccess Clinics is a leading healthcare provider in the United Kingdom, specialising in medicinal cannabis treatments and assessments. MyAccess Clinics prides itself on a reputation of delivering affordable specialist care for patients suffering from debilitating and chronic conditions which have been hard to treat using conventional medicine.

Althea CEO Josh Fegan said: “I am pleased to see the business continuing to rebound strongly in July, with growth well and truly back on track. The Australian team have done a great job surpassing 8,000 total patients in July – nearly doubling our customer base in the first half of this year. Working just as hard is our UK team, with Althea prescriptions increasing by the day and a robust supply chain now in place. Our MyAccess Clinics business continues to drive patient access to medicinal cannabis across the UK, with our £99 consultation price point and unrivalled customer service resonating well with the public. In a country of 66 million people who are becoming increasingly familiar with medicinal cannabis, MyAccess Clinics is well positioned to facilitate those potential patients looking for support in this exciting treatment area.”

-ENDS-

Authorised by: Robert Meissner, Company Secretary

For further information, please contact:

Althea Media Enquiries Josh Fegan Dan Francome CEO & Managing Director Media Relations M: 1300 70 20 20 P: +613 9650 5096 E: contact@althea.life E: dfrancome@althea.life

Althea Group Holdings Limited (ASX:AGH)

Althea Group Holdings Ltd (ASX:AGH) is a global pharmaceutical company and supplier of medicinal cannabis. Althea also offers a range of education, access and management services to support eligible patients and healthcare professionals in navigating medicinal cannabis treatment pathways.

Althea currently operates within highly regulated medicinal cannabis markets including Australia, United Kingdom and Germany, with plans to expand into emerging markets throughout Asia and Europe.

To learn more, please visit: www.althea.life

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