Groupe Lune Rouge Holdings in Securities of 48North Cannabis Corp.

/NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRES/

MONTRÉAL, May 1, 2019 /CNW Telbec/ - Groupe Lune Rouge Inc. ("Lune Rouge") announces today that it has acquired 9,090,909 common shares (the "Common Shares") in the share capital of 48North Cannabis Corp. (the "Company") through the exercise of warrants to purchase Common Shares (the "Warrants") at a price of $0.75 per Common Share, for an aggregate purchase price of $6,818,181.75.

As a result of the foregoing, Lune Rouge currently owns 19,090,909 Common Shares, representing 11.94% of the issued and outstanding Common Shares.

Since the last early warning report filed by Lune Rouge on June 7, 2018, changes in the securityholding percentage of Lune Rouge in the Common Shares arose without any action being taken by Lune Rouge and solely as a result of (i) the number of issued and outstanding Common Shares having increased as a result of various treasury issuances by the Company, and (ii) warrants to acquire up to 460,000 Common Shares previously held by Lune Rouge having expired according to their terms. Therefore, immediately prior to the exercise of the Warrants, Lune Rouge held 10,000,000 Common Shares and 9,090,909 Warrants, representing 6.63% of the then issued and outstanding Common Shares on a non-diluted basis, and 11.94% of the then issued and outstanding Common Shares on a partially diluted basis assuming the exercise of all 9,090,909 Warrants held by Lune Rouge.

Lune Rouge exercised the Warrants for investment purposes, and may in the future increase or decrease its ownership, control or direction over the shares or other securities of the Company, through open market or privately negotiated transactions, public offerings or otherwise. Any such transactions may be effected at any time or from time to time subject to applicable law, and will depend on a variety of factors, including, without limitation, the market price of the Company's securities, Lune Rouge's investment strategies, subsequent developments affecting the Company, the Company's financial condition, business, operations and prospects, other investment and business opportunities available to Lune Rouge, general industry and economic conditions, the securities markets in general, tax considerations and other factors deemed relevant by Lune Rouge. Other than as noted above, Lune Rouge does not have any further plans or future intentions in respect of the Company or the securities of the Company.

A copy of Lune Rouge's related early warning report will be filed with the applicable securities commissions and will be made available on SEDAR at www.sedar.com, a copy of which may be obtained by contacting Catherine Vu, Secretary-Treasurer, Groupe Lune Rouge Inc., at (514) 556-2113, cvu@lunerouge.com.

About Lune Rouge

The guiding principle of Lune Rouge, founded in 2015, is to promote innovation, creativity and entrepreneurship. The company develops projects and invests in funds with a focus on technology, arts, entertainment and real estate, as well as on initiatives that generate positive social and environmental impacts.

SOURCE Groupe Lune Rouge