PEAK PROCESSING LIMITED — Capital/Financing Update 2021

Mar 4, 2021

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ASX Announcement | 5 March 2021 Althea Group Holdings (ASX:AGH)

Peak receives first order from Cronos Group

Investment Highlights:

• Althea subsidiary Peak Processing Solutions has received an initial purchase order from Peace Naturals Project Inc., a subsidiary of Cronos Group Inc. (NASDAQ: CRON, TSX: CRON).

• The initial purchase order forms part of a larger one-year commercial services agreement and is valued at approximately CAD$134,000.

• Production is expected to commence in March 2021.

5 March 2021: Australian pharmaceutical company Althea Group Holdings Limited (ASX:AGH)

(‘Althea’ or ‘the Company’) is pleased to announce that the Company’s subsidiary, Peak Processing Solutions ( ‘Peak’ ), has received a purchase order from Peace Naturals Project Inc. (‘Peace Naturals’), a subsidiary of Canadian publicly listed cannabis company Cronos Group Inc. (NASDAQ: CRON, TSX: CRON).

The initial purchase order forms part of a larger one-year commercial services agreement and is valued at approximately CAD$134,000.

Under the agreement, Peak will perform the hydrocarbon extraction of cannabis biomass and process the extract into cannabis concentrate products, ready for sale into the Canadian adult-use cannabis market.

The capability to produce hydrocarbon extracted cannabis concentrates is in limited supply in Canada and Peak is among a handful of processors able to service this in-demand product category. Production is expected to commence in March 2021.

Althea CEO, Joshua Fegan said: “It is pleasing to see how quickly the Peak business is taking off this year, attracting a world-class supply agreement with Peace Naturals, just a few months post licensing. We look forward to continuing to secure supply agreements with other like-minded players in the fast-growing Cannabis 2.0 space and further demonstrating the world-class cannabis extraction capabilities of Peak.”

-ENDS-

Authorised by: Robert Meissner, Company Secretary

Althea Media Enquiries Investor Relations Josh Fegan Dan Francome Julia Maguire CEO & Managing Director Media Relations The Capital Network M: 1300 70 20 20 P: +613 9650 5096 P : +612 8999 3699 E: contact@althea.life E: dfrancome@althea.life E : julia@thecapitalnetwork.com.au

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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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