Adastra Holdings Ltd. (CSE: XTRX) (FRA: D2EP) (“Adastra” or the “Company”) a Health Canada Licensed cannabis company focused on processing, sales, organoleptic testing and analytical testing, is pleased to announce it completed the submission of its application for a Controlled Drugs and Substances Dealer’s License (“Dealer’s License”) on March 23, 2022.

A Dealer’s License would permit Adastra to perform the following activities:

• Procure controlled substances, including by import, synthesis, propagation, cultivation, and harvesting of psychedelic mushrooms for Psilocybin extraction;
• Research and manufacture controlled substances such as Psilocybin and Psilocin;
• Business-to-business sale of controlled substances, including by export

Known as a high-capacity processor of cannabis concentrates and extract products, and co-manufacturer for sought after Canadian brands, Adastra has now successfully taken the first steps to become a licensed tester, extractor, and seller of controlled substances, including Psilocybin, Psilocin, MDMA, N, N-Dimethyltryptamine (DMT), 5-MeO-DMT, and LSD. When the Dealer’s License is formally approved, Adastra expects to conduct the majority of this work out of its 13,500 square foot, purpose-built extraction, and production facility located in Langley, BC.

The Dealer’s License application was originally filed in September, 2021 with a Health Canada audit performed on March 9, 2022. Adastra responded to Health Canada’s request for more information and successfully submitted its Dealer’s License application on March 23. Unless Health Canada comes back with an additional request for information, the Company expects the Dealer’s License to be received by early April 2022.

“We see the expansion of our capabilities as a significant opportunity for Adastra’s partners and shareholders,” said Michael Forbes, Director and CEO, Adastra. “We are known in the cannabis industry as a reliable partner to many licensed producers and believe broadening the research, production and sale of more regulated products to emerging markets will strengthen our cash flow and profitability. We are excited for what the future holds at Adastra.”