Acquisition of 70% of BioData (“Acquisition”)

Shareholders are advised that Labat Africa has, in conjunction with its re-positioning strategy, entered into an agreement with Dr Shiksha Gallow for the acquisition of 70% in BioData, a Science, Technology, and Medical Research and Development company. The company is focused on the cannabis industry and was initially set up as a holistic healing enterprise incorporating Cannabinoid healing. The company is currently well positioned to commence with formalised Clinical Trials focused on Pain Management and Insomnia. Labat Africa will acquire a 70% stake in BioData with effect from 1 May 2020.

1) Rationale for the Acquisition

BioData is based in East London and headed up by Dr Shiksha Gallow. Dr Gallow is registered with the Health Professions Council of South Africa (“HPCSA”) in Clinical Pathology as a Medical Scientist and holds various degrees in Public Health Medicines as well as in business. The company is supported by a team of researchers, doctors and scientists both locally and abroad who will be working with local Academic Institutions to further Dr Gallow’s Clinical Investigations.

Labat Africa is pleased to welcome on-board a group of leading experts in the cannabis industry who are committed to ensuring South Africa takes its rightful place on the world stage in the field of Cannabis innovation and scientific excellence. Dr Gallow has vast experience and will assist with ensuring that the Labat Africa facilities retain its accreditation, certification and complies with the regulatory requirements, quality standards as well as legislation. Dr Gallow’s knowledge and involvement extends into the areas of ISO17025 and 15189 standards, British Qualogy Good Clinical Laboratory Practice (“GCLP”), FHI DAIDS (“Division of AIDS”), Occupational Health and Safety as well as FDA (“Food and Drug Administration”) inspections.