Aleafia aligns with CannTrust

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Aleafia (TSXV: ALEF) and CannTrust (TSX: TRST) form cultivation and patient relationship.

TORONTO, May 1, 2018 /CNW/ - Aleafia Health Inc. (TSXV: ALEF; OTC: CAMDF) ("Aleafia") or (the "Company"), is pleased to announce a formalized relationship with CannTrust Inc. (TSX: TRST) ("CannTrust"), which both companies feel will be of significant mutual benefit. The companies have entered into a strategic genetic supply agreement through which Aleafia will receive various strains of high-quality starter genetics for its first licensed production facility in Scugog, Ontario, and CannTrust taking the right of first refusal to purchase product from Aleafia.

CannTrust has provided starter genetics to Aleafia for cultivation, which is underway at the Aleafia Farms licensed facility. Aleafia is expecting to complete its first harvest in May and, once completed, Aleafia is expecting to receive its ACMPR sales and distribution license shortly thereafter, subject to a successful inspection by Health Canada.

CannTrust will also have the ability to purchase product from Aleafia's harvest. This would support CannTrust's patient base and provide Aleafia with revenue growth in the near term, augmenting the existing revenue derived from the nationwide Canabo clinic network.

Aleafia chose to work with CannTrust because of CannTrust's demonstrably high-quality production standards and quality genetics. As part of the agreement, Aleafia will also refer a significant percentage of its growing patient base to CannTrust, in cases where patients require strains that Aleafia may not initially be able to supply out of the current facility. Notably, Aleafia has begun an expansion strategy to increase cultivation capacity from its current abilities. The initial-phase expansion of 150,000 square feet is fully funded with plans for future expansion on its 76-acre property in Scugog, Ontario.

"The entire Aleafia team is pleased with this exciting opportunity to work with CannTrust," said Executive Director Julian Fantino. "Standardized repeatable product for our patients is something we feel strongly about at Aleafia and is a critical part of meeting the exacting standards required by our expanding network of more than 30,000 patients. CannTrust already does this very well, which made the decision to work together an easy one. We thank CannTrust for its continued support and look forward to working closely together in the future."

"This relationship is strategic for us as the Aleafia model is complementary to ours on many levels," said CannTrust President Brad Rogers. "Aleafia's ability to meet our rigorous production-quality standards and deliver high-quality product is key, along with CannTrust being the preferred partner in Aleafia's clinic business. This relationship is a real win-win for both organizations."

About Aleafia Health Inc.:
Aleafia Health Inc. is one of Canada's leading, vertically integrated medical cannabis companies with a unique patient-focused, medical cannabis healthcare solution. Led by a distinguished and experienced corporate leadership team, Aleafia Health Inc. is pioneering a patient-centric experience that includes personalized services before, during and after treatment. Aleafia's 22 cannabis clinics are staffed by licensed, practicing physicians. Aleafia Health Inc. has realized sustained patient acquisition growth and retention, underscoring the success of Canada's first "patient-centric" cannabis-based health network. For more information, please visit www.aleafiainc.com.

Neither the 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.

This press release contains forward-looking statements and information that are based on the beliefs of management and reflect the Aleafia's current expectations.  When used in this press release, the words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict", "may" or "should" and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. The forward-looking statements and information in this press release includes information relating to the implementation of Aleafia Health's business plan. Such statements and information reflect the current view of Aleafia with respect to risks and uncertainties that may cause actual results to differ materially from those contemplated in those forward-looking statements and information.

Although Aleafia believes that the assumptions and factors used in preparing, and the expectations contained in, the forward-looking information and statements are reasonable, undue reliance should not be placed on such information and statements, and no assurance or guarantee can be given that such forward-looking information and statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information and statements. Accordingly, readers should not place undue reliance on any forward-looking information or statements contained in this press release. The forward-looking information contained in this press release is made as of the date hereof, and Aleafia does not undertake to update any forward-looking information that is contained or referenced herein, whether as a result of new information, future events or otherwise, except in accordance with applicable securities laws. All subsequent written and oral forward-looking information and statements attributable to Aleafia or persons acting on its behalf is expressly qualified in its entirety by this notice.

SOURCE Aleafia Inc.