• — Canada-wide panel of nearly 250 budtenders recognizes Auxly brands with four wins at the second annual Kind Awards
• — Auxly dominates the vape cartridge category, with wins for “Best Sativa Cartridge” and “Best Indica Cartridge”
• — After fewer than four months on the market, Back Forty 40s win “Best Indica Pre-Roll”
• — Dosecann Daily Relief CBD Cream wins inaugural “Best Topical” category

TORONTO, Dec. 16, 2021 — Auxly Cannabis Group Inc. (TSX – XLY) (“Auxly” or the “Company”), a leading consumer packaged goods company in the cannabis products market, is thrilled to announce that the Company received four awards for its popular consumer brands Back Forty, Kolab Project and Dosecann at the second annual Kind Awards – tied for the most of any Licensed Producer. These awards are published in Kind Magazine and recognize the very best in Canadian cannabis, as determined by a panel of nearly 250 budtenders across Canada.

“Budtenders are the most important influencers in the industry, guiding consumer purchasing decisions every day in retail outlets across the country,” said Andrew MacMillan, Senior Vice President of Commercial at Auxly. “We are thrilled to have them recognize the quality and value of our pre-rolls, vapes and topical cream in this year’s Kind Awards. On behalf of everyone at Auxly – thank you to Canada’s budtenders for validating our efforts with your recognition and for helping consumers find their way in Canadian cannabis. And thank you to Kind Magazine for providing an invaluable in-store resource with compelling educational and entertaining content.”     

Back Forty received top honours in both “Best Indica Pre-Roll” and “Best Indica Cartridge” categories. These awards cap a historic 2021 for the brand, as it currently holds the #1 vape brand position in the country and is the fastest-growing brand overall in Canada’s largest market, Ontarioⁱ. The Kind Award-winning Forbidden Fruit cartridge was recently launched in a new 1.2g format in B.C. and Alberta, alongside Back Forty’s other consumer-favourite strains Kush Mint, Sour Apple and Super Lemon Haze. Back Forty introduced its 40s pre-rolls in late August with the potent Wedding Pie and Animal Mints cultivars; these pre-rolls have quickly become a must-have for consumers and have propelled Back Forty to the #5 brand position in its launch market of Ontarioⁱⁱ after less than four months of commercial sales.

Kolab Project was awarded the “Best Sativa Cartridge” for its 157 Series Strawberry Ice Sativa cartridge, giving Auxly two out of three awards in the vape category. Strawberry Ice Sativa is a highly potent vape and is Kolab Project’s take on the unique Strawberry Ice strain with Myrcene as the dominant terpene. Strawberry Ice Sativa offers premium hardware, hard-hitting potency and outstanding taste, all in recyclable packaging.

Rounding out Auxly’s Kind Awards wins is Dosecann, recognized for its innovative Daily Relief CBD Cream, which garnered the inaugural win for the magazine’s new “Best Topical” category. Dosecann Daily Relief CBD Cream has 1,200 mg of CBD per 60 ml unit – an industry-leading potency that is competitively priced to deliver the best value for a CBD topical. Dosecann Daily Relief CBD Cream combines high-quality CBD extract with Natralipid® Meadowfoam seed oil, a plant-based emollient found in high-end skin creams and valued for moisturization, transdermal barrier repair, skin penetration and unsurpassed stability.

These distinctions validate the Company’s quality-driven approach to delivering unique cannabis product innovations to Canadian consumers. As the New Year quickly approaches, Auxly will continue to invest in delivering differentiated cannabis products under its award-winning brand portfolio with its sights set on becoming the #1 LP in the country.

ON BEHALF OF THE BOARD        

“Hugo Alves” CEO

About Auxly Cannabis Group Inc. (TSX: XLY) (OTCQX: CBWTF)

Auxly is a leading Canadian cannabis company dedicated to bringing innovative, effective, and high-quality cannabis products to the wellness and adult-use markets. Auxly’s experienced team of industry first-movers and enterprising visionaries have secured a diversified supply of raw cannabis, strong clinical, scientific and operating capabilities and leading research and development infrastructure in order to create trusted products and brands in an expanding global market.         

Learn more at www.auxly.com and stay up to date at Twitter: @AuxlyGroup; Instagram: @auxlygroup; Facebook: @auxlygroup; LinkedIn: company/auxlygroup/.

Media Enquiries (only): 

For media enquiries or to set up an interview please contact:        
Email: press@35.183.62.152 

Notice Regarding Forward Looking Information:        

This news release contains certain “forward-looking information” within the meaning of applicable Canadian securities law. Forward-looking information is frequently characterized by words such as “plan”, “continue”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “may”, “will”, “potential”, “proposed” and other similar words, or information that certain events or conditions “may” or “will” occur. This information is only a prediction. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking information throughout this news release. Forward-looking information includes, but is not limited to: Auxly’s execution of its product development and commercialization strategy; the ability of the Company to maintain and grow its market share; consumer preferences, political change, future legislative and regulatory developments involving cannabis and cannabis products; and competition and other risks affecting Auxly in particular and the cannabis industry generally.

A number of factors could cause actual results to differ materially from a conclusion, forecast or projection contained in the forward-looking information in this release including, but not limited to whether: there is acceptance and demand for Auxly’s current and future products by consumers and provincial purchasers; and general economic, financial market, regulatory and political conditions in which Auxly operates will remain the same. The forward-looking information contained in this release is expressly qualified by the foregoing cautionary statements and is made as of the date of this release. Except as may be required by applicable securities laws, the Company does not undertake any obligation to publicly update or revise any forward-looking information to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events, whether as a result of new information, future events or results, or otherwise.

Neither Toronto Stock Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Toronto Stock Exchange) accepts responsibility for the adequacy or accuracy of this release.

ⁱ Headset Canadian Insights, Back Forty is ranked #3 brand overall in Ontario as of November 30, 2021
ⁱⁱ Headset Canadian Insights, as of November 30, 2021.