Investor Presentation | January 2020

CSE: ABCS | OTCQX: ABAHF

ADVANCED RELIEF
Powered by Nature™
Leading Topical Brands

Consumer Offering Health Care Practitioner Offering

ADVANCED RELIEF Powered by Nature™

Disclaimer
GENERAL
Investors and prospective investors should rely only on the information contained in the continuous disclosure filings (the
“Filings”) of Abacus Health Products, Inc. (the “Company” or “Abacus”), including the information contained in the annual
information form of the Company dated April 12, 2019 (the “Annual Information Form”), which are available under the
Company’s SEDAR profile at www.sedar.com. This presentation is qualified in its entirety by reference to, and must be
read in conjunction with, the information contained in the Filings. An investor or prospective investor is not entitled to rely
on parts of the information contained in this presentation to the exclusion of others, and the Company is not authorized to
provide different or additional information. Unless otherwise specified, all monetary amounts in this presentation are in
United States dollars.
An investment in the securities discussed in this presentation is speculative and subject to a number of risks that should
be considered by an investor or prospective investor. Investors and prospective investors should carefully consider the
risks described in the Filings. This presentation does not constitute an offering of securities and the information contained
herein is subject to the information contained in the Company’s Filings.
FORWARD-LOOKING INFORMATION
This presentation contains forward-looking information or statements (collectively, “forward-looking information” within the
meaning of applicable securities laws. Forward-looking information may relate to the Company’s future outlook and
anticipated events, plans or results, and may include information regarding the Company’s objectives, goals, strategies,
future revenue or performance and capital expenditures, and other information that is not historical information.
Particularly, information regarding the Company’s expectations of performance, achievements, prospects or opportunities,
or the markets in which the Company operates, is forward-looking information. Forward-looking information can often be
identified by the use of terminology such as “believe,” “anticipate,” “plan,” “expect,” “pending,” “in process,” “intend,”
“estimate,” “project,” “may,” “will,” “should,” “would,” “could,” “can,” the negatives thereof, variations thereon and similar
expressions. In addition, any statements that refer to expectations, intentions, projections or other characterizations of
future events or circumstances contain forward-looking information. Statements containing forward-looking information are
not historical facts but instead represent management’s expectations, estimates and projections regarding future events or
circumstances.
The forward-looking information contained in this presentation is based on the Company’s opinions, estimates and
assumptions in light of management’s experience and perception of historical trends, current conditions and expected
future developments, as well as other factors that management currently believes are appropriate and reasonable in the
circumstances. Despite a careful process to prepare and review the forward-looking information, there can be no
assurance that the underlying opinions, estimates and assumptions will prove to be correct.
FORWARD-LOOKING INFORMATION CONTINUED
Risk factors that could cause actual results to differ materially from forward-looking information in this presentation include: potential
changes to state or federal laws pertaining to Industrial Hemp; risks associated with numerous laws and regulations; international
regulatory risks; uncertainty caused by potential changes to the current regulatory framework; receipt of necessary regulatory approvals
and permits; DEA jurisdiction over hemp extracts or CBD; environmental, health and safety laws; anti-money laundering laws and
regulations; banking; denial of deductibility of certain expenses; liability for actions of employees, contractors and consultants; reliance on
third party suppliers, service providers and distributors; compliance by manufacturers with cGMP requirements; reliance on key products;
industry competition; intra-industry competition; other conflicts of interest; changing consumer preferences and customer retention;
maintaining and promoting the Company’s brand; unfavourable publicity or consumer perception; inability to sustain pricing models;
reliance on key inputs; management of growth; product viability; success of quality control systems; product recalls; product liability; key
officers and employees; product returns; inability to protect intellectual property; domestic supply risk; intellectual property claims; litigation;
trade secrets may be difficult to protect; transportation risk; effectiveness and efficiency of advertising and promotional expenditures;
obtaining insurance; additional financings; risks related to acquiring companies; use of customer information and other personal and
confidential information; data security breaches; global economic uncertainty; emerging industry; inability to renew leases; potential
volatility of price of securities; holding company structure; risks related to potential changes in definition of “foreign private issuer”;
increased costs as a result of becoming a reporting issuer; financial reporting and other public issuer requirements; impact of future sales
by existing shareholders; influence of the significant shareholders; and any other risks that may be included in the Filings, including under
“Risk Factors and Uncertainties” in the Annual Information Form. Although management has attempted to identify important risk factors
that could cause actual results to differ materially from those contained in the forward-looking information in this presentation, there may be
other risk factors not presently known to the Company or that the Company presently believes are not material that could also cause actual
results or future events to differ materially from those expressed in such forward-looking information in this presentation. There can be no
assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated
in such information. Accordingly, readers and viewers should not place undue reliance on forward-looking information, which speaks only
as of the date made. The forward-looking information contained in this presentation represents the Company’s expectations as of the date
of this presentation or the date indicated, regardless of the time of delivery of the presentation. The Company disclaims any intention,
obligation or undertaking to update or revise any forward-looking information, whether as a result of new information, future events or
otherwise, except as required under applicable securities laws.
All of the forward-looking information contained in this presentation is expressly qualified by the foregoing cautionary statements. Investors
and potential investors should consult their own professional advisors to ascertain and assess the income tax, legal, risk factors and other
aspects of their investment or potential investment in the Company and should carefully consider the risks described in the Filings.
NO THIRD PARTY VERIFICATION
The information contained in the presentation, including market information from third parties, has not been independently verified and no
representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness
or correctness of the information or opinions expressed herein.
Investment Highlights

CSE: ABCS ITM FD Shares O/S3 ITM FD Market Cap4 Cash5

OTCQX: ABAHF 24.1m US$89.9m US$28.2m

Leading Brands Distribution Proprietary Products Market Opportunity

Leading brands with line of OTC Established and growing Patent pending formulations to Abacus’ brands cater to
pain relief and skincare distribution in major national provide fast and effective relief $7.4 billion pain relief market1
products containing CBD hemp retailers (B2C), health care
extract and oil practitioner offices (B2B), and $2.6 billion skincare
ecommerce platforms market2
1 AlliedMarket Research. (2018). Global Topical Pain Relief Market: Opportunities and Forecasts, 2018-2025. Portland, OR: Allied Analytics, LLP.
2 American Academy of Dermatology Association; Estimated annual medical costs for Acne ($846 million), Eczema ($314 million) and Contact Dermatitis ($1,529 million).
3 In-the-money fully diluted shares outstanding.; includes Proportionate Voting Shares and Subordinate Voting Shares, in-the-money Warrants and Options
4 Based on closing share price as of January 24th , 2020 of CAD $5.10 converted at USD/CAD 1.31
5 Reflects cash balance as of September 30, 2019.
Pharma Pedigree
Proprietary Formulations
Patent-pending formulations based on
15+ years of R&D by Aidance Scientific
(former parent)
Utilizing active pharmaceutical
ingredients, natural ingredients, essential
oils, and CBD hemp extract and oil
(Cannabis sativa L.)
Manufacturing & Quality
OTC pharmaceutical-grade products
Produced in cGMP compliant facility by
contract manufacturer (Aidance)
Production capacity of over 400,000
units/month - able to meet pent up
demand
4
CBDMEDIC:
Consumer Offering
Pain Relief Line:
Arthritis, Back & Neck, Active Sport, Muscle &
Joint, Foot Pain

Skincare Line:
Acne, Eczema, Itch & Rash

Product Forms:
Ointments, creams, pain sticks, sprays and
massage oils

Distribution:
7,800 retail locations across 49 states, including
the 3 largest US pharmacy chains

Opportunity:
100,000 retail locations in the US food,
drug and mass market (F/D/M)
6
CBDMEDIC Q3 Retail Presence
Secured distribution in 20 retail Strong pipeline of additional CBDMEDIC holds unique position
pharmacy and grocery chains chains for 2020 across F/D/M with retailers as only pharma
representing over 34,500 channel brand vs. other lifestyle brands
locations

Retail Locations Carrying CBDMEDIC Retail Locations in Deployed Chains States Carrying CBDMEDIC

8,000 40,000 40

6,000 30,000 10,000 30

2,400 5

4,000 20,000 20

24,500 24 26
4,600 22,000
2,000 10,000 10
3,000
2,000 10,000 11

0 0 0
Q1 2019 Q2 2019 Q3 2019 Q1 2019 Q2 2019 Q3 2019 Q1 2019 Q2 2019 Q3 2019

Current Retail Locations Deployment Jan. 2020 Total Locations in Deployed Chains Deployment Jan. 2020 Total States Deployment Jan. 2020
CBD CLINIC:
Health Practitioner Offering

Pain Relief Line:

High strength formulations to address varying
levels of pain

Product Forms:
Ointments, pain sticks and massage oils

Market:
Used in-practice and sold in over 14,500
practitioner offices

Distribution:
Leading national distributors

Opportunity:
Over 800,000 practitioners in the US
CBD CLINIC:
Growing Market Presence

Leading CBD brand in healthcare practitioner market

Key Segments: Chiropractors, massage therapy, acupuncture

Growing distribution - 2 large national distributors

(1 new in Q3) and several medium sized distributors

Plan to launch products targeted at specific segments over coming

quarters to drive penetration of existing segments and enter new
segments
Market Opportunity

CBD CLINIC & CBDMEDIC offer powerful all-natural alternatives

Pain1 Skincare2,3
Market Segments Acute & Chronic Acne Eczema Itch & Rash
Number of Americans affected 100 million 50 million 31 million 13 million
Market Value $7.4 billion $2.6 billion
RX Market Challenges High cost, poor tolerability, unfavorable side effects, concerns over long-term safety and abuse
OTC Market Challenges Limited advancements in technology

1 Allied
Market Research. (2018). Global Topical Pain Relief Market: Opportunities and Forecasts, 2018-2025. Portland, OR: Allied Analytics, LLP.
2 American Academy of Dermatology Association; Report “The burden of skin disease in the United States.”
3 American Academy of Dermatology Association; Estimated annual medical costs and number of affected people for Acne ($846 million), Eczema ($314 million) and Contact Dermatitis ($1,529 million).
Brand Strategy

9/10 Health Care Practitioners who use CBD CBDMEDIC brand generates highest
CLINIC recommend it over other topical revenue per store per month in largest
analgesics1 national pharmacy chain2

OTC formulation as competitive differentiator in the Leading pharmaceutical brand using active
practitioner market ingredients with known therapeutic benefit
Leverage existing customer base for repeat Expect acceleration of retail location additions in
purchases 2020
Penetration of new practitioner segments and Support of retail channel partners with active
deployment of unique products for those segments investment in brand awareness

1 - Data is based on a third party survey with 253 respondents. Health Care Practitioners are 96% composed of Chiropractors, Message Therapists, Acupuncturists and Physical Therapists
2 – Relative to other CBD topical brands, based on IRI industry data for the 4-week period ending October 6th 2019 for locations where CBDMEDIC is sold in chain
Marketing Initiatives – CBDMEDIC

• Partnered with Rob Gronkowski (Gronk) to increase brand awareness and launch a line of sports nutrition and
wellness products. Gronk advocacy campaign successful in bypassing advertising market hampered by regulatory
environment
• Full retail channel support program initiated including in-store displays, promotional programs and tie-ins
• Partnership with Gillette Stadium leverages Gronk partnership with CBDMEDIC; includes branding around stadium
and opportunity to hand out samples to over 2 million visitors annually
• Planned increase in marketing investment in Skincare line in 2020
Marketing Initiatives – CBD CLINIC

• Rebranded CBD CLINIC launching for 2020

• New digital marketing program launched –driving increased customer engagement
• Leading presence at professional conferences and trade shows
• Distributor partners investing in marketing efforts
Growth Strategy

Scalability R&D International Expansion Brand Expansion

Investment in Development of additional Canada: New regulations New brand of pharma grade
infrastructure and supply topical products in new introduced permitting CBD nutrition & wellness products
chain for scalability, indications topicals – evaluating partners planned to be introduced in Q2
redundancy and quality 2020
Development of line of EU: regulatory environment still
Evaluating third-parties
ingestible products utilizing developing
for production of new
known ingredients with
product introductions in Partner with local distributors
therapeutic benefit
2020 and manufacturers
Quarterly Performance
Q3 – 2019 Financial Highlights
• $4.1 M revenue: +97% vs Q3 2018; +26% vs Q2 2019
• 60% gross margin Q3 2019; 62% for 9 months ending 09/30
• Brand contribution to revenue: CBDMEDIC 29% & CBD CLINIC 71%
• Strong growth of both brands anticipated in 2020
• US$28.2 million cash
Q3 Highlights
Q3 Revenue Revenue for the 9 Months Ending Sept 30
5 12 11.1
4.1
4 10
97.4% Growth 99.3% Growth
8
3
2.1 5.6
6
2
4
1
2
0 0
2018 2019
2018 2019
Q3 Brand Highlights

$1.2 M revenue: +72% vs Q2 2019
Q3 Highlights
7,0001 retail locations: +133% vs Q2 2019
Distribution in 3 largest US pharmacy chains representing >22k
stores
Widest portfolio of topical CBD SKUs in F/D/M channel
Partnership with Rob Gronkowski and Gillette stadium
provides national awareness
$2.9 M revenue: +42% vs Q3 2018; +18% vs Q2 2019
14,500 health care practitioners: +21% vs Q2 2019
Expanded distribution platform with addition of MeyerDC
Strengthening relationships with distributor partners through
joint marketing
Digital marketing program to leverage existing customer base

Began marketing to convenience store channel

1. Includes 2,400 stores to be deployed in Jan 2020.
Capitalization and
Ownership

Figures in US$ million, unless otherwise stated

Share Price as of January 24th , 2020

Share Price (US$)1 $3.88

Basic Shares Outstanding2 21.6

Basic Market Capitalization $83.8

In-the-money ("ITM") Securities3 2.5

Fully Diluted ITM Shares Outstanding 24.1

FD ITM Capitalization $89.9

1 Based on closing share price as of January 24th , 2020 of CAD $5.10 converted at USD/CAD 1.31
2 Includes Proportionate Voting Shares and Subordinate Voting Shares
3 Includes in-the-money outstanding warrants and options
Management Team

Perry Antelman Hank Hague James Barkat Mark Bolling

Chief Executive Officer
Perry has over 30 years of executive business
experience, funding, launching, and growing
companies in the chemical and medical
technology/pharmaceutical sectors.
Chief Financial Officer
Prior to joining the company Hank was the CFO of
Foster Corporation. He served as CFO for Scott Brass a
Sun Capital Partners portfolio company. Hank has
worked in financial roles for Stanley Black & Decker,
Pitney Bowes, Medtronic, and The Gillette Company.
Vice President of Marketing
James most recently served as U.S. Marketing
Head – Digestive Health, at Sanofi Consumer
Health. He has over 20 years experience in the
over-the-counter pharmaceutical industry and has
marketed with 10 major U.S. retailers.
Vice President of Sales
Mark has over 25 years of business development,
sales, and marketing experience spanning diverse
industries and product lines. He served as the
Vice President of Business Development –
Commercial Sales for PuraCap Pharmaceutical.

Dr. Bharat Madhavan Phil Henderson Jonathan Conforti

Chief Technology Officer
Dr. Bharat Madhavan is a microbiologist holding several
international patents, specializing in R&D and Quality
Control/Assurance in the field of formulations and
Pharmaceutical Science.
Senior Vice President, Corporate Development
Phil previously held senior management positions in
both public and private companies such as Baxter
International and Burron Medical Products. More
recently he has been active in supporting emerging
companies with critical strategic and operational
issues.”
Vice President of Corporate Development
Jonathan has held senior roles in business development
and finance in the technology, life sciences, financial
services and resource sectors. Prior to joining the
company Jonathan was Vice-President of Business
Development at iMDsoft.
Contact Information: Hank Hague, CFO | investorrelations@abacushp.com | 416-848-1457 | www.abacushp.com