CannTrust Introduces Phoena, the Company's New Corporate Name

VAUGHAN, ON, May 3, 2022 /PRNewswire/ - CannTrust Equity Inc. (the "Company" or "Phoena") (unlisted), today marks the start of a new era for the Company by announcing its new corporate name, Phoena Holdings Inc. (pronounced Fee-nah).

"This is a truly exciting and transformative time for our Company," said Greg Guyatt, Chief Executive Officer, "Phoena reflects who we are today - stronger, more experienced and more focused – and forms the foundation for our future success as we enter the next era of our evolution. While our name is new, the core values we have developed over the last two years are the same, as are the great products and experiences our consumers and patients have come to expect."

The name Phoena is derived from the word "phenotype" which describes the traits taken from a plant's genetic code that we use to merge nature, purpose, and science to produce the best cannabis products on the market. We are dedicated to ensuring that every product, every initiative and every activity lives up to the name.

Phoena is committed to delivering experiences that enhance life and help patients and consumers be their best, with a continued emphasis on quality, consistency and support. Phoena will continue to build on the success of the Liiv, SYNR.G, Xscape and estora brands in both the recreational and medical channels, with no changes expected to current operations.

Phoena Holdings Inc. is 90% owned by a group of investors led by Marshall Fields International B.V., a subsidiary of Kenzoll B.V. with the remaining 10% owned by CannTrust Holdings Inc. ("CannTrust").  Phoena is continuing to review alternatives for becoming a reporting issuer and obtaining a stock exchange listing for Phoena's common shares, and will provide further updates on this initiative as they become available.

Phoena is an award-winning, federally regulated licensed cannabis producer, with locations in Vaughan and Fenwick, Ontario. We operate a portfolio of well-known brands, including estora, Liiv, SYNR.G and Xscape.

We are committed to providing exceptional consumer experience, quality products and consistency. Our greenhouse produces Grade A cannabis flower, which is sold in a variety of dried flower and extract formats.

Phoena creates cannabis products that meet the diverse needs of patients and consumers, promoting positivity, supporting creativity, and inspiring confidence.  

Phoena, empowering you every day. 

Learn more at Phoena.com

This press release contains "forward-looking information" within the meaning of Canadian securities laws and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and other applicable United States safe harbor laws, and such statements are based upon Phoena's current internal expectations, estimates, projections, assumptions and beliefs and views of future events.

Forward-looking information and forward-looking statements can be identified by the use of forward-looking terminology such as "believes", "expect", "likely", "may", "will", "should", "intend", "anticipate", "potential", "proposed", "estimate" and other similar words, including negative and grammatical variations thereof, or statements that certain events or conditions "may", "would" or "will" happen, or by discussions of strategy.

The forward-looking information and statements in this news release include statements relating to Phoena's and CannTrust's efforts to resolve certain securities regulatory and stock exchange issues, some of which have not been finalized and remain subject to completing further analyses, obtaining shareholder and creditor approval and satisfying the requirements of securities regulators and a stock exchange. Forward-looking information and statements necessarily involve known and unknown risks, including, without limitation: the risk that, if the Company requires additional capital, such capital might be unavailable or the shareholders' investment could be diluted; the risk that the Company or its affiliates could default under its credit facilities which are secured against substantially all of the Company's assets; the risk that the Company and CannTrust will not be able to cure the disclosure defaults under securities laws and obtain an order from the OSC to revoke the CTO, on commercially reasonable terms, or at all; the impact of any regulatory and other investigations or proceedings; the risks associated with general economic conditions and/or adverse industry events; the risk of loss of markets; the risk of future legislative and regulatory developments in Canada, the United States and elsewhere; the state of the cannabis industry in Canada generally; the ability of the Company to attract and retain suitable directors, officers and employees; the risks that, even if the CTO can be revoked, the Company or CannTrust will be unable to obtain a stock exchange listing for the its common shares; the risk that the Company or CannTrust will be able to satisfy the requirements of such exchange; and the ability of the Company to successfully implement its business strategies.

Any forward-looking information and statements speak only as of the date on which they are made, and, except as required by law, the Company does not undertake any obligation to update or revise any forward-looking information or statements, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for the Company to predict all such factors. When considering these forward-looking information and statements, readers should keep in mind the risk factors and other cautionary statements in CannTrust Holdings Inc.'s Annual Information Form dated March 28, 2019 (the "AIF") and filed with the applicable Canadian securities regulatory authorities on SEDAR at www.sedar.com and filed as an exhibit to the Company's Form 40-F annual report under the United States Securities Exchange Act of 1934, as amended, with the United States Securities and Exchange Commission on EDGAR at www.sec.gov (the "March 2019 Form 40-F"). The risk factors and other factors noted in the AIF could cause actual events or results to differ materially from those described in any forward-looking information or statements. Readers are also reminded that CannTrust Holdings Inc. remains in default of its periodic disclosure requirements under applicable securities laws and stock exchange requirements, that its most recent AIF, Form 40-F and other disclosures do not reflect all risk factors that currently facing it, and that it has not completed or filed the restatements of the financial statements included in the AIF or the March 2019 Form 40-F or otherwise filed an amendment to such Form 40-F, and that it was permitted by the Initial Order of the Superior Court of Justice to not correct its prior filings or make any further filings in respect of periodic disclosure requirements under applicable securities laws and stock exchange requirements and, by a subsequent order, to extend the time for CannTrust to call an annual general meeting of shareholders to a date no later than 120 days after the expiry or termination of the CCAA stay period. None of CannTrust's securities is listed for trading on any stock exchange in any jurisdiction and, in Canada, trading in its securities is subject to a cease-trade order issued on April 13, 2020 by the Ontario Securities Commission for CannTrust's failure to comply with its disclosure obligations under applicable securities laws.

SOURCE Phoena Holdings Inc.