Atlas Biotechnologies Announces Private Placement Financing of up to $20 Million



March 18, 2019 Edmonton, Alberta, Canada - Atlas Biotechnologies Inc. (“Atlasor the “Company) is pleased to announce that it has entered into an agreement (the “Agreement”) with PillarFour Securities Inc. and Canaccord Genuity Corp. (collectively, the “Agents”) who have agreed to sell, on a “best efforts” private placement basis, a minimum of 833,333 units and a maximum of 3,333,333 units in the capital of the Company (“Units”) at a price of $6.00 per Unit for aggregate gross proceeds of a minimum of $5,000,000 and a maximum of $20,000,000 (the “Offering”). Each Unit will consist of one Atlas Class B common share (a “Common Share”) and a one-half common share purchase warrant (a “Warrant”), with each whole Warrant entitling the holder to purchase one Common Share at a price of $8.00 for a period of one year from closing of the Offering.

Atlas intends to use a portion of the proceeds from the Offering to complete the acquisition of, and commence a retro-fit to, a planned cannabis production facility property in Europe, as well as to supplement working capital for general corporate purposes.

Sheldon Croome, Atlas President & CEO noted our Edmonton area production facility is now reaching full capacity and we are expecting to have our first crop harvested by the end of this month. We have been looking to expand our operations into Europe, and view this initial opportunity as offering Atlas the potential to achieve a large-scale expansion of our cannabis production and processing capacity, for a very attractive investment, and the potential to bring this additional production on stream in a short time frame.”

The Agents have also been granted an over-allotment option (the “Agent’s Option”) to increase the sizeof the Offering by up to 15% of the number of Units offered for up to 30 days after closing of the Offering.

The Offering will take place by way of a brokered private placement to “accredited investors” (as defined in National Instrument 45-106 Prospectus Exemptions) in all jurisdictions where the Offering can lawfully be made, including the United States, under applicable private placement exemptions.

About Atlas Biotechnologies Inc. (“Atlas”) and Atlas Growers Ltd.

Atlas is based in Edmonton, Alberta, Canada and its wholly owned subsidiary, Atlas Growers Ltd., is federally licensed for cultivation and production of cannabis products, with a focus on medical use markets. Atlas currently has a purpose-built 38,000 square foot facility and laboratory where it expects to produce 5,500 kg of dried cannabis annually as well as capacity to refine cannabis into pure, isolated cannabinoid concentrates in large volumes.

Forward-Looking Information

This news release may contain “forward looking information” and “forward-looking statements” within themeaning of applicable Canadian securities legislation. All information contained herein that is not historical in nature may constitute forward-looking information. When used in this document, words such as “intends”, “plans”, “anticipates”, “potential”, “expects” and “scheduled”, are forward-looking statements. Forward-looking statements are subject to a wide range of business, market and economic risks and uncertainties, and although Atlas believes that the expectations represented by such forward-looking statements are reasonable, there can be no assurance that such expectations will be realized and, as such, undue reliance should not be placed on forward-looking statements. Any number of factors can cause actual results to differ materially from those in the forward-looking statements. Except as required by law, Atlas disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.

For further information, please contact:

Jeffrey R. Gossain, P. Eng.

Chief Operating Officer

Atlas Biotechnologies Inc. Phone: 780-784-5920



Investor Relations

Graeme Dick
Colwell Capital Corp. 403-561-8989

Dean Stuart 403-617-7609