Cura-Can Health Enters Into Services Agreement With ARA-Avanti Rx

TORONTO, ONTARIO--(Marketwired - April 12, 2017) - Cura-Can Health Corp.("Cura-Can" or the "Company") a private, federally incorporated company, is pleased to announce that its wholly-owned subsidiary, The Clinic Network Canada Inc. ("TCNC"), has entered into a services agreement with ARA-Avanti Rx Analytics Inc. (the "Avanti") pursuant to which Avanti has agreed to produce cannabidiol ("CBD") based products, for both medicinal and supplement applications, for sale by TCNC directly to medical patients and non-medical clients, through its Cura "SELECT" house brand (the "Services Agreement").

Avanti is a leading Health Canada approved contract organization specializing in the field of controlled drugs and substances particularly in the area of medicinal marihuana, hemp, cannabinoids, and marihuana based concentrated products. Avanti offers a comprehensive menu of services ranging from analytical research and development, and quality control testing, marihuana extraction, cannabinoid purification, cannabis infused-product formulation, and cannabis waste management, as well as quality assessment and regulatory consulting.

Pursuant to the Services Agreement, TCNC has engaged Avanti to produce and manufacture CBD products for sale and distribution by TCNC, including analgesic ointments, creams, spray, vape pens and other similar products. TCNC will be responsible for all of the direct marketing/sales/brand execution of programs related to the "SELECT" products during the three-year term of the agreement. In addition, Dr. Mehrdad Barghian, the President and Chief Executive Officer of Avanti, will join TCNC's scientific and compliance committee to ensure product compliance with Health Canada and Natural Health Products ("NHP") regulations.

The first Avanti product approved by NHP licensing and bearing a Natural Product number for pain management is expected to be released under Cura SELECT in the third quarter of 2017.

Michael Steele, President and Chief Executive Officer of Cura-Can commented, "We are encouraged with this new and expanded platform that our TCNC subsidiary has entered into with Avanti as it will also enable both the potential importing and exporting of raw and finished CBD products and feedstock to international markets in support of our SELECT house brand, subject to regulatory and other legal requirements."

The Company continues to be in the early stages of evaluating potential opportunities only, and has not entered into any preliminary or definitive form of agreement that would result in the Company entering into the hemp/cannabinoid industry as a licensed producer, nor can there be any assurance that such an agreement will be reached in the future. The Company clarifies and confirms that it is not a licensed producer and has no present intention of filing an application with Health Canada to become a licensed producer under the Access to Cannabis for Medical Purposes Regulations ("ACMPR"). Any transaction resulting in the Company's entry in the hemp/cannabinoid industry will require various approvals, including that of the Company's board of directors, shareholders and any relevant stock exchange, and none of these approvals have been sought at present. The licensing requirements of Health Canada under the ACMPR are stringent and must be complied with before any license is granted by Health Canada under the ACMPR pursuant to which the Company could produce and sell products permitted by the ACMPR, which requirements include the construction of facilities meeting specified ACMPR criteria and the Company successfully passing a site inspection by Health Canada of such facilities. These requirements can be found on Health Canada's website at http://www.hc-sc.gc.ca/dhp-mps/marihuana/index-eng.php.