Delta 9 Announces Continued Strategic Partnership and 2.0 Cannabis Product Supply Agreement with Auxly

WINNIPEG, MB – February 25, 2020 – DELTA 9 CANNABIS INC. (TSX:DN) (OTCQX: VRNDF) ("Delta 9" or the "Company"), is pleased to announce that it has entered into a supply agreement with Auxly Cannabis Group Inc. (TSX.V:XLY) ("Auxly") who will supply Delta 9's retail stores with a suite of cannabis 2.0 products including cannabis oils, chocolates, chewables and vape products, where permitted.

Auxly and Delta 9 entered a strategic partnership in September, 2018, including a supply agreement which granted Auxly the right to purchase up to 5,000 kilograms of cannabis and 500 kilograms of cannabis trim per year until July 1, 2030. In exchange, Auxly invested $16.25 million in the Company by purchasing 5,909,090 common shares of the Company, becoming one of Delta 9's early strategic investors. For more information, see Delta 9's September 6, 2018 news release.

Auxly is an international cannabis company dedicated to bringing high quality cannabis products to the medical, wellness and adult use markets. Auxly's experienced team has secured a diversified supply of raw cannabis, strong operating capabilities and leading R&D infrastructure to create trusted 2.0 products for the expanding global markets.

"As the Canadian cannabis market has emerged over the past few years, so has the depth of our relationship with Auxly. Since the launch of cannabis 2.0 products in late 2019, we have seen a significant consumer response to Auxly chocolates, chewables, and vape products under the Foray, Kolab Project, and Dosecann brands, said John Arbuthnot, CEO of Delta 9. "Our partners at Auxly are leaders in the global cannabis industry, and among the most knowledgeable and influential companies in the space. We feel this partnership will be of great benefit to Delta 9 and its customers."

For more information contact:


Investor & Media Contact:

Ian Chadsey VP Corporate Affairs

Mobile: 204-898-7722



About Delta 9 Cannabis Inc.

Delta 9 Cannabis Inc. is a vertically integrated cannabis company focused on bringing the highest quality cannabis products to market. Delta 9's wholly-owned subsidiary, Delta 9 Bio-Tech Inc., is a licensed producer of medical and recreational cannabis and operates an 80,000 square foot production facility in Winnipeg, Manitoba, Canada. Delta 9 owns and operates a chain of retail stores under the Delta 9 Cannabis Store brand. Delta 9's shares trade on the TSX under the symbol "DN" and on the OTCQX under the symbol "VRNDF". For more information, please visit

Disclaimer for Forward-Looking Information


Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company's future business plans and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future.


Forward looking statements in this news release include statements relating to the expected supply of cannabis products by Auxly to Delta 9. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including failure of Auxly to supply cannabis products as well as all risk factors set forth in the annual information form of Delta 9 dated April 30, 2019 which has been filed on SEDAR.


No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. Readers are urged to consider these factors carefully in evaluating the forward-looking statements contained in this news release and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by these cautionary statements. These forward-looking statements are made as of the date hereof and the Company disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.

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