EuroLife Brands, a vertically integrated enterprise focused on the pan European hemp, cannabinoid, and health & wellness sector, announced it has entered into a definitive financing agreement with European Equity Group, an international merchant bank with a primary focus on growth oriented small-cap companies, to secure a credit facility (the "Facility") in the amount of up to $2.5 million CDN (approximately €1,700,000). The Facility provides EuroLife with the capital and flexibility required to continue its expansion across Europe and carry out its corporate objectives for 2020 and 2021. EuroLife intends to use the Facility to continually fund expansion across Europe and for general working capital purposes.

"The credit facility with European Equity Group ensures EuroLife has access to sufficient and timely capital to execute on our corporate strategy and maximize shareholder value for the foreseeable future," said Shawn Moniz, CEO of EuroLife. "We have secured favourable credit terms with the European Equity Group as we focus on our goal of becoming a vertically integrated cannabis company operating in the hemp, CBD and health & wellness sectors."

Pursuant to the Agreement, the Company may request up to $100,000.00 CDN per month from European Equity Group in exchange for the issuance of units (the "Units") of the Company. Each Unit will consist of common shares (the "Shares") of the Company and common share purchase warrants (the "Warrants").

The Shares may be issued at a maximum of 10% discount to the 20-day VWAP of the Company's Shares. The Warrants will be issued at a 50% premium to the price of the Units. All securities issued by the Company to European Equity Group will be subject to a four-month hold period.

EuroLife previously announced an intent (LOI) to acquire a 20% interest in a state-of-the-art industrial hemp cultivation operation located near Dresden, Germany. The operation consists of a robust portfolio of assets including prime agricultural land, cultivation equipment, post production facilities, and inventory. When acquired the ownership position will be EuroLife's key asset and one of the largest fully operational outdoor hemp cultivation projects in Europe. Upon finalizing the definitive purchase agreement for the interest in the Dresden hemp operations, which is expected to be finalized in Q1 2020, the partners look to maximize the value of the approximately 110,000 kilograms of existing hemp biomass.