Wellbeing Announces Delay in Filing Its Financial Statements and Management Cease Trade Order

VANCOUVER, British Columbia--(BUSINESS WIRE)-- Wellbeing Digital Sciences Inc. (“Wellbeing” or the “Company”) (NEO: MEDI) (OTC: KONEF) (FRA: SQ2), an evidence-based mental healthcare company focused on the development and implementation of innovative clinical solutions, including psychedelic medicine and digital therapeutics as supported by clinical research, announces today that as a result of delays to its audit, the Company’s annual financial statements and accompanying management's discussion and analysis for the fiscal year ended October 31, 2022 (the “Annual Filings”) were not finalized by January 30, 2023, being the date that such filings are due under applicable Canadian securities law requirements. The Company has applied for, and has been granted, a management cease trade order (the "MCTO") by the British Columbia Securities Commission.

The reason for the delay relates to the change in accounting firms and the considerable work involved in the transition of accountants, particularly due to the complex nature of Wellbeing’s business. Wellbeing is working diligently with its auditors and financial professionals to complete the audit in a timely manner.

The Company currently expects to file the Annual Filings on or before March 31, 2023, and will issue a news release announcing completion of such filings at such time. Until the Company files the Annual Filings, it will comply with the alternative information guidelines set out in National Policy 12-203 – Management Cease Trade Order for issuers who have failed to comply with a specified continuous disclosure requirement within the times prescribed by applicable securities laws. The guidelines, among other things, require the Company to issue bi-weekly default status reports by way of a news release so long as the Annual Filings have not been filed.

During the MCTO, the general investing public will continue to be able to trade in the Company's listed common shares. However, the Company's chief executive office and chief financial officer will not be able to trade in the Company's common shares.

On behalf of:

Najla Guthrie

Chief Executive Officer

WELLBEING DIGITAL SCIENCES

Notice Regarding Forward-Looking Information:

This news release contains forward-looking statements including but not limited to statements regarding the Company’s business, assets or investments, as well other statements that are not historical facts. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and other forward looking statements will not occur, which may cause actual performance and results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward-looking statements. These assumptions, risks and uncertainties include, among other things, the state of the economy in general and capital markets in particular, investor interest in the business and prospects of the Company. The forward-looking statements contained in this news release are made as of the date of this news release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities law. Additionally, the Company undertakes no obligation to comment on the expectations of, or statements made, by third parties in respect of the matters discussed above.

Forward-looking statements in this document include statements concerning Wellbeing’s intent to file the Financial Disclosure by no later than March 31, 2023, and all other statements that are not statements of historical fact.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230201005628/en/

Natalie Dolphin

VP of Marketing & Investment Relations

Email: ndolphin@wellbeingdigital.co

Twitter: @Wellbeing_IR

Source: Wellbeing Digital Sciences Inc.

FAQ

What is the reason for Wellbeing Digital Sciences' delayed annual financial filings?

The delay is due to a transition in accounting firms, requiring additional time for the audit process.

What is the impact of the management cease trade order (MCTO) on Wellbeing Digital Sciences?

The MCTO restricts the company's CEO and CFO from trading shares, but general investors can still trade.

When does Wellbeing Digital Sciences expect to file its Annual Filings?

The company expects to file the Annual Filings on or before March 31, 2023.

How will Wellbeing Digital Sciences communicate its filing status during the delay?

The company will provide bi-weekly default status reports as required by National Policy 12-203.