Modern Meat Announces Planned Acquisition of kitskitchen Soups, Strengthening its Brand Portfolio of Plant-Based Products

VANCOUVER, BC, Jan. 19, 2021 /CNW/ – Modern Meat Inc., (CSE: MEAT) (“ ModernMeat “) or (the ” Company “), an award-winning plant-based meat manufacturer, ispleased to announce that it has signed a letter of intent for the acquisition of KitskitchenHealth Foods Inc. (“kitskitchen”), an established local plant-based soup company with aline-up of products that are currently available in many large grocery retailers includingFresh Street Market and Whole Foods.

Led by an all-female leadership team, kitskitchen has been in business since 2013. Theircommitment to provide natural, locally sourced, sustainable, plant-based soup has ledto a highly engaged consumer base. Currently their soups can be found at 135 retailersthroughout British Columbia and Alberta and kitskitchen has provided an expectedrevenue forecast to the Company of $950,000 for 2021.

“The acquisition unites us with a well-established brand with an attractive growth profile.Kitskitchen product and management aligns with Modern Meat’s philosophy of the fastgrowing plant-based space. We feel the ready-to-eat category in the plant-based spaceis under explored. By acquiring a well-recognized local brand and putting our financialresources behind it, I feel we can grow the sales of kitskitchen significantly,” states TaraHaddad, CEO of Modern Meat.

In connection with the transaction, Modern Meat will own the distribution rights to thekitskitchen brands and plans to continue to work with its team. The total purchase pricefor this acquisition is 300,000 shares and finder’s fee of 9,000 shares will be issued.

“Kitskitchen is a strategic acquisition for our company as it has established a great localfollowing with consumers and has a broad existing distribution with many online andlarge grocery chains. By implementing our financial expertise with the kits team, we willbe looking to grow its revenues and develop it into a national brand.” States CampbellBeecher, Head of Finance and Mergers and Acquisitions of Modern Meat.

The completion of this transaction is subject to conditions including the completion ofdefinitive documentation, approval of the Canadian Securities Exchange and othercustomary conditions. There is no certainty the transaction will be completed on theterms proposed or at all. Further details will be provided in subsequent news releases.

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About Modern Meat

Modern Meat is a Canadian food company based in Vancouver, British Columbia thatoffers a portfolio of plant-based meat products. Modern Meat recognizes theimportance of providing consumers nutritious and sustainable meat alternativeswithout sacrificing taste. We are deliberate in choosing ingredients free of soy, gluten,nuts and GMO’s. Our mission is to change the way food is produced and consumedfor the benefit of people, animals and the environment by using only natural 100%plant-based ingredients.

For further information, please contact:Tanya ToddCommunications [email protected]

Cautionary Statement Regarding Forward-Looking Information

This news release includes certain “forward-looking statements” and “forward-lookinginformation” under applicable Canadian securities legislation that are not historicalfacts. Forward-looking statements involve risks, uncertainties, and other factors thatcould cause actual results, performance, prospects, and opportunities to differmaterially from those expressed or implied by such forward-looking statements.Forward-looking statements in this news release include, but are not limited to,statements with respect to: Modern Meat and Modern Meat’s business and prospects;the Company’s objectives, goals or future plans; Modern Meat sales growth, plannedexpansion, awareness of the Modern Meat brands, the completion of the acquisition ofkitskitchen, expected revenues from kitskitchen, future sales and revenue growth, brandexpansion, and the business, operations, management and capitalization of theCompany.

Forward-looking statements are necessarily based on a number of estimatesand assumptions that, while considered reasonable, are subject to known and unknownrisks, uncertainties and other factors which may cause actual results and future eventsto differ materially from those expressed or implied by such forward-lookingstatements. Such factors include, but are not limited to: general business, economicand social uncertainties; local and global market and economic uncertainties arising inrespect of the COVID-19 pandemic; litigation, availability of key product ingredients,legislative, environmental and other judicial, regulatory, political and competitivedevelopments; successful completion of a definitive agreement and subsequentacquisition of kitskitchen; the ability to effectively expand manufacturing and productioncapacity; the success of market initiatives and the ability to grow brand awareness; the ability to attract, maintain and expand relationships with key strategic restaurant andfood service partners; our ability to predict consumer taste preferences; delay or failureto receive regulatory approvals; the sufficiency of our cash to meet liquidity needs;those additional risks set out in the Company’s public documents filed on SEDARat www.sedar.com; and other matters discussed in this news release. Accordingly, theforward-looking statements discussed in this release may not occur and could differmaterially as a result of these known and unknown risk factors and uncertaintiesaffecting the Company. Although the Company believes that the assumptions andfactors used in preparing the forward-looking statements are reasonable, unduereliance should not be placed on these statements, which only apply as of the date ofthis news release, and no assurance can be given that such events will occur in thedisclosed time frames or at all. Except where required by law, the Company disclaimsany intention or obligation to update or revise any forward-looking statement, whetheras a result of new information, future events, or otherwise.

This news release also contains future-oriented financial information and financialoutlook information (collectively, ” FOFI”) about the future revenue of kitskitchen whichare subject to the same assumptions, risk factors, limitations and qualifications as setforth in the above paragraphs. FOFI contained in this news release was made as of thedate of this news release and was provided for the purpose of providing furtherinformation about the Company’s anticipated future business operations assuming thesuccessful completion of the acquisition of kitskitchen. The Company disclaims anyintention or obligation to update or revise any FOFI contained in this news release,whether as a result of new information, future events or otherwise, unless requiredpursuant to applicable law. FOFI contained in this news release should not be used forpurposes other than for which it is disclosed herein. Such future-oriented revenueinformation is provided for the purpose of providing information about management’scurrent expectations and plans relating to the future. Readers are cautioned that suchoutlook or information should not be used for purposes other than for which it isdisclosed in this news release.