Prospectus and Entitlement and Acceptance Form

• Non-renounceable pro rata entitlement issue of 156 million new shares at $0.04 per share
• Funds to be used for increased production, new product launches, and general working capital
• Eligible shareholders can also apply for additional shares under a Top Up Offer

Cann Group Ltd is pleased to offer eligible shareholders the opportunity to participate in a non-renounceable pro rata entitlement offer. The offer is for approximately 156 million new shares on the basis of one new share for every three shares held, at an issue price of $0.04 per new share. Eligible shareholders will also receive one free attaching new option for every three new shares subscribed for and issued. The key objective of the offer is to raise additional capital required to fund increased production at Cann's Mildura facility, with a dried flower production target for FY2025 of 5-6 tonnes. Funds will also be used to continue broadening the Botanitech product range, including supporting the launch of several new SKUs in Q2 FY2025. The remaining funds will be used towards the company's general working capital, including servicing lines of credit, as well as the costs of the offer. Eligible shareholders who take up their entitlement in full can also apply for additional new shares under a Top Up Offer. Any new shares and options not taken up under the entitlement offer may be offered to professional and sophisticated investors under a shortfall placement.

The company is targeting dried flower production of 5-6 tonnes for the 2025 financial year.