Labrador Technologies Inc. (“Labrador” or the “Company”) (TSXV: LTX) is pleased to provide an update on its previously announced reverse takeover transaction (please see previous press release of June 28, 2020).

Closing of Bridge Financing

Labrador closed its convertible debenture bridge financing (“Convertible Debenture Financing”), as previously announced on June 28, 2020, for gross proceeds of $150,000. Churchgate Singapore Ltd. was the sole subscriber. Funds from the Convertible Debenture Financing will be used to cover transaction costs related to the Company’s acquisition of exclusive North American rights to Claritas HealthTech Ptd Ltd.’s (“Claritas”) IE-RAD2020 technology (the “Proposed Transaction”).

Concurrent Private Placement

In addition to the Convertible Debenture Financing, the Company and Claritas have agreed to undertake a private placement of subscription receipts at $0.15 per subscription receipt for minimum gross proceeds of $2,500,000 and up to maximum gross proceeds of $5,000,000 (the “Concurrent Private Placement”). Each subscription receipt represents the right to automatically receive, upon closing of the Proposed Transaction, one unit (the “Units”). Each Unit will be priced at $0.15 and will be composed of one Labrador common share and one-half Labrador common share purchase warrant (a “Warrant”), each whole Warrant entitling the holder to purchase one Labrador common share at a price of $0.30 per common share on a posted consolidated 20:1 basis (the “Consolidation”) for a period of 12 months following the closing date, subject to certain agreed upon terms and conditions.

Trading Halt

Trading in the Labrador common shares has been halted and may remain halted pending the review of the Proposed Transaction by the TSXV and other certain conditions are satisfied. There can be no assurance that trading in the Labrador common shares will resume prior to the completion of the Proposed Transaction.

Additional Information

For further information, please contact:

Kaan Camlioglu, Interim Chief Executive Officer Labrador Technologies Inc. T: (403) 818-1091 E:

Cautionary Statements

Investors are cautioned that, except as disclosed in the filing statement to be prepared in connection with the Proposed Transaction, any information released or received with respect to the Proposed Transaction may not be accurate or complete and should not be relied upon. Trading in the securities of Labrador should be considered highly speculative. This press release does not constitute an offer of the securities of the Company for sale in the United States. The securities of the Company have not been registered under the United States Securities Act of 1933, (the “1933 Act”) as amended, and may not be offered or sold within the United States absent registration or an exemption from registration under the 1933 Act. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

Forward-Looking Statements

This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate, among other things, to: the terms, conditions and completion of the Proposed Transaction, the capitalization of the resulting issue of the Proposed Transaction, completion of the Convertible Debenture Financing and Concurrent Financing and the anticipated type and number of securities to be issued thereunder, the anticipated use of funds from the Convertible Debenture Financing, the quality of results, usability and general future success of IE-RAD2020. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic, competitive, political and social uncertainties; and the delay or failure to receive board, shareholder, court or regulatory approvals, as required. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. Except as required by law, Labrador assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.

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