Press Release

TORONTO, April 7, 2021 – Aleafia Health Inc. (TSX: AH, OTC: ALEAF) (“Aleafia Health” or the “Company”) is pleased to announce the launch of its everyday cannabis brand Divvy, tailored to frequent cannabis consumers who are both price and quality conscious.

“Led by our experienced growers, Aleafia Health has developed a long track record of cultivating high quality cannabis. But it’s only now through our expanded production footprint that we are producing quality dried flower at scale,” said Aleafia Health CEO Geoffrey Benic. “We continue our entrance into the adult-use market in a meaningful way with our Sunday Market brand family, targeting our key competitive advantages. With Divvy, the proposition for frequent cannabis consumers is based on quality, price point, and a product that is environmentally sustainable, both in its cultivation and packaging.”

Divvy launches in adult-use markets with five new dried flower and pre-roll SKUs, including three different 12 x 0.35g pre-roll multipacks which feature premium, reusable tin packaging. Throughout 2021, the Company expects to add to the Divvy portfolio with larger quantity line extensions, new cultivars, and new, non-flower formats. The new brand portfolio benefits from Aleafia Health’s low-cost cannabis cultivation advantage.

Together, pre-rolls and dried flower represented 70 per cent of total legal cannabis sales during the three months ended December 31, 2020, according to data from the Ontario Cannabis Store. Shipments of Divvy products have been completed to provincial adult-use wholesalers. Divvy is the second new brand launched under the Sunday Market brand family, each targeting a specific consumer segment and featuring its own roster of cannabis products.

For Investor & Media Relations:

Nicholas Bergamini, VP Investor Relations
1-833-879-2533
IR@AleafiaHealth.com

LEARN MORE: www.AleafiaHealth.com

About Aleafia Health:

Aleafia Health is a vertically integrated and federally licensed Canadian cannabis company offering cannabis health and wellness services and products in Canada and with sales and operations in Australia and Germany. The Company operates medical clinics, education centres and production facilities for the production and sale of cannabis.

Aleafia Health owns four significant licensed cannabis production facilities, including the first large-scale, legal outdoor cultivation facility in Canadian history. The Company produces a diverse portfolio of commercially proven, high-margin derivative products including oils, capsules, edibles, sublingual strips, and vapes. Aleafia Health operates the largest national network of medical cannabis clinics and education centres staffed by MDs, nurse practitioners and educators and operates internationally in three continents.

Forward Looking Information

This news release contains forward-looking information within the meaning of applicable Canadian and United States securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “estimates”, “intends”, “anticipates”, or “believes” or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company or its subsidiaries to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information contained in this news release. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information, including risks contained in the Company’s annual information form filed with Canadian securities regulators available on the Company’s SEDAR profile at www.sedar.com. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed time frames or at all. The forward-looking information included in this news release are made as of the date of this news release and the Company does not undertake any obligation to publicly update such forward-looking information to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.