Simply Solventless Files Q2 2026 Financials and Provides Updates on Management Cease Trade Order, Private Placement and Debt Settlement

Calgary, Alberta--(Newsfile Corp. - September 1, 2026) - Simply Solventless Concentrates Ltd. (TSXV: HASH) ("SSC") announces that it has filed on SEDAR its unaudited financial statements for the quarter ended June 30, 2026, the related management's discussion and analysis, and the related CEO and CFO certificate (collectively, the "Q2 Financials") which are available on SSC's SEDAR+ profile at www.sedarplus.ca.

As previously announced, SSC entered into a restructuring process (the "Restructuring") on February 27, 2026. See the latest update in the following news release: CCAA Proceedings and Restructuring, dated July 28, 2026, which outlines the expected outcomes of the Restructuring, including total estimated debt reductions of up to $19.9 million, and total estimated annual cost reductions of up to $7.1 million ("Expected Restructuring Outcomes").

Jeff Swainson, SSC's President & CEO stated: "We are proud of the resilience that our team has demonstrated through these challenging times, and we will continue to work tirelessly to advance through the Restructuring for the benefit of our stakeholders. Despite the significant challenges associated with the Restructuring, including downward pressure placed on revenue, we have achieved solid and stabilized revenue levels through the restructuring, including the third straight quarter at the approximately $5.0 million-$5.3 million net revenue level."

Mr. Swainson continued: "We are encouraged by our stabilized revenue, the Expected Restructuring Outcomes (and resulting leaner cost structure), and perhaps most of all, by Humble Grow Co.'s ("Humble") 75-80% increase in cannabis flower yields since June 2026, resulting in a current annual run rate of approximately 8.0-9.0 metric tonnes ("MT") with our current cultivar mix. As Humble costs are materially consistent with pre-retrofit levels, at current prices, this initial incremental production is expected to increase cash flow by approximately $0.3-0.4 million per month ($0.9-$1.2 million per quarter). We are now executing phase 2 of the retrofit, comprised of the addition of exciting new genetics and more robust environmental and plant control systems, which collectively have the potential to further increase annual production to 14.0-20.0 metric tonnes. Overall, we believe that Humble is a company making asset with great potential and we are focused intently on maximizing its performance."

Should SSC close the Restructuring prior to September 30, 2026, the initial impacts of the Restructuring and the Expected Restructuring Outcomes will be reflected in SSC's financial statements and related management's discussion and analysis for the period ending September 30, 2026 (Q3 2026). The initial cash flow impacts of the Humble yield increase would be reflected in SSC's financial statements and related management's discussion and analysis for the period ending December 31, 2026.

MCTO Update

On August 21, 2026, the Alberta Securities Commission (the "ASC"), SSC's principal regulator, approved an extension of the previously announced management cease trade order ("MCTO") under National Policy 12-203 - Management Cease Trade Orders ("NP 12-203") to August 28, 2026. The filing of the Q2 Financials was the last item creating a default under NP 12-203, and while SSC is unable to provide assurance as to when the MCTO will be revoked, it expects that the MCTO will be revoked in approximately two full business days.

Pursuant to the MCTO, management of SSC may not trade in securities of SSC until such time as the MCTO is revoked. The MCTO does not affect the ability of other shareholders of SSC to trade in securities of SSC. SSC confirms that it will satisfy the provisions of the alternative information guidelines under NP 12-203 by issuing biweekly default status reports in the form of news releases for so long as the MCTO remains in place.

SSC confirms that (a) there have been no failures by the Company to fulfill its stated intentions with respect to satisfying the provisions of the alternative reporting guidelines under NP 12-203; (b) there has not been, nor is there anticipated to be, any specified default subsequent to the default which is the subject of the default announcements; and (c) there is no other material information concerning the affairs of SSC that has not been generally disclosed. SSC will issue required bi-weekly updated regarding the MCTO until it is revoked.

Update on Private Placement and Shares for Debt Settlement

SSC also announces the extension of its previously announced non-brokered private placement of up to 20,000,000 units of SSC ("Units") at a price of $0.05 per Unit for aggregate gross proceeds of up to $1.0 million (the "Financing") and settlement of up to $3.0 million convertible debentures of SSC (the "Debentures") and up to $1.6 million of promissory notes of the Company in Units at a price of $0.05 per Unit (the "Debt Settlement"). In addition, the conversion price of any Debentures not settled in Units will be amended from $1.00 per share to $0.15 per share and the exercise price of the common share purchase warrants issued with the Debentures will be amended from $1.20 per share to $0.25 per share (collectively, the "Debenture Amendment").

As of the date hereof, SSC has received subscriptions for $0.5 million of Units in the Financing and elections to convert an aggregate principal amount of $2.2 million of Debentures. The deadline to elect to convert Debentures was July 31, 2026.

Each Unit is comprised of one common share of SSC and one common share purchase warrant of SSC (a "Warrant"), with each Warrant being exercisable for one common share of SSC at a price of $0.10 per share for a period of two years from the issuance date. The expiry date of the Warrants is subject to acceleration if the volume-weighted average trading price of the common shares of SSC on the TSX Venture Exchange exceeds $0.18 for at least five consecutive trading days. All securities issued under the Financing and Debt Settlement will be subject to a hold period expiring four months and one day from the date of issuance.

SSC expects to use the net proceeds of the Financing for final restructuring professional fees, Humble pre-CCAA excise taxes, CRA excise deposits, and general working capital. SSC expects to close the Financing, Debt Settlement and Debenture Amendment concurrently on or before September 30, 2026. SSC will provide any new information regarding timing as it becomes available.

Closing of the Financing, Debt Settlement and Debenture Amendment are subject to the approval of the TSX Venture Exchange.

Further details of the Financing, Debt Settlement and Debenture Amendment are available in SSC's news release dated July 28, 2026.

About Simply Solventless Concentrates Ltd.

SSC is a public company incorporated under the Business Corporations Act (Alberta). SSC's mission is to provide pure, potent, terpene-rich ready to consume cannabis products to discerning cannabis consumers. For more information regarding SSC, please see www.simplysolventless.ca.

Simply Solventless Concentrates Ltd.
Jeff Swainson, President and CEO
Phone: 403-796-3640
Email: [email protected]

Notice on Forward Looking Information

All amounts in this news release are unaudited. See note 1 "Nature of operations and going concern" in unaudited Q2 2026 financial statements.

This press release contains forward-looking statements and forward-looking information (collectively, "forward-looking statements") within the meaning of applicable securities laws. Any statements that are contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "will", "estimates", "believes", "intends", "expects", "projected", "approximately" and similar expressions which are intended to identify forward-looking statements. More particularly and without limitation, this press release contains forward looking statements concerning the date that the MCTO will be lifted, if at all, impacts of the Restructuring, including expanded revenue, improved balance sheet and cost structure, closing of the Restructuring, Humble yields and results, Humble expected future yields, Humble incremental cash flows from increased yields, use of proceeds of the Financing, closing of the Financing, Debt Settlement and Debenture Amendment and SSC's expected growth, results of operations and performance. SSC cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, assumptions and expectations, many of which are beyond the control of SSC, including expectations and assumptions concerning SSC, the timing and market acceptance of products, competition in SSC's markets, SSC's reliance on customers, fluctuations in interest rates, SSC's ability to maintain good relations with its customers, employees and other stakeholders, changes in law or regulations, SSC's ability to protect its intellectual property, as well as other risks and uncertainties, including those described in SSC's filings available on SEDAR+ at www.sedarplus.ca, including its most recent annual information form. The reader is cautioned that assumptions used in the preparation of any forward-looking statements may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted as a result of numerous known and unknown risks, uncertainties and other factors, many of which are beyond the control of SSC. The reader is cautioned not to place undue reliance on any forward-looking statements. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement. There can be no assurance that the Restructuring will be completed prior to September 30, 2026 or at all.

The forward-looking statements contained in this press release are made as of the date of this press release, and SSC does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by securities law.

Future Oriented Financial Information

This press release contains future-oriented financial information and financial outlook information (collectively, "FOFI") about net revenue, cash flow, and expenses of SSC and Humble, which are subject to the same assumptions, risk factors, limitations and qualifications as set forth in the above paragraphs. FOFI contained in this document was approved by management as of the date of this document and was provided for the purpose of providing further information about SSC's future business operations. SSC and its management believe that FOFI has been prepared on a reasonable basis, reflecting management's best estimates and judgments, and represent, to the best of management's knowledge and opinion, SSC's expected course of action. However, because this information is highly subjective, it should not be relied on as necessarily indicative of future results. SSC disclaims any intention or obligation to update or revise any FOFI contained in this document, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law. Readers are cautioned that the FOFI contained in this document should not be used for purposes other than for which it is disclosed herein. Differences in the timing of capital expenditures or revenues and variances in production estimates can have a significant impact on the key performance measures included in SSC's guidance. SSC's actual results may differ materially from these estimates.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction.

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

Not for distribution to U.S. news wire services or for dissemination in the United States.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/312548