Toronto, Ontario--(Newsfile Corp. - October 11, 2018) - Sweet Natural Trading Co. Limited (TSXV: NTRL) (formerly, Xylitol
Canada Inc. (TSXV: XYL)) ("Sweet Natural", or the "Company") is pleased to announce that it has closed the first
tranche of its previously announced non-brokered private placement of up to 32,000,000 units (the "Units") of the Company (the
"Offering") resulting in the issuance by the Company of 12,140,000 Units for gross proceeds of $607,000. Each Unit consists of one
common share (a "Common Share") of the Company and one Common Share purchase warrant (each a "Warrant"). Each Warrant will entitle
the holder thereof to purchase one Common Share, at a price of $0.075, for a period of 36 months following the closing of the
Offering. Each Warrant will also have an accelerated expiry date within 30 days of when the Company provides written notice to the
holder thereof that either: (i) the Common Share volume weighted average price on the TSX Venture Exchange for any 10 consecutive
trading days has equaled or exceeded $0.22; or (ii) the Company closes a subsequent private placement of Common Shares at a price
per Common Share exceeding $0.22.
The funds raised pursuant to the Offering will be used by the Company for general working capital purposes including purchasing
inventory to satisfy new sales accounts and to pursue the Company's strategic plan.
Certain insiders of the Corporation subscribed for $100,000 worth of Units in the Offering. Participation by such insiders in
the Offering is considered to be a "related party transaction" as defined in Multilateral Instrument 61-101 — Protection of
Minority Security Holders in Special Transactions ("MI 61-101"). The Offering is exempt from the formal valuation and minority
shareholder approval requirements of MI61-101, as neither the fair market value of the securities being issued to insiders, nor the
consideration being paid by such insiders, exceeds 25% of the Corporation's market capitalization.
Early Warning Pursuant to National Instrument 62-103
Prior to closing of the first tranche, Sunir Chandaria ("Mr. Chandaria") of 182 St. Leonards Avenue, Toronto, Ontario, M4N 1K7,
held 4,491,666 Common Shares of the Company indirectly through Chandaria Family Holdings Inc. resulting in holdings equal to
approximately 7.20% of the Company's issued and outstanding Common Shares. On closing of the first tranche, Mr. Chandaria will hold
6,491,666 Common Shares and 2,000,000 Warrants to purchase up to 2,000,000 additional Common Shares. On a fully diluted basis,
following closing of this tranche, Mr. Chandaria holds 8,491,666 Common Shares of the Company, or approximately 11.10% of the
issued and outstanding shares.
Mr. Chandaria has a long-term view of their investments and may acquire further common shares of the Company either on the open
market or through private acquisitions or sell the Common Shares on the open market or through private dispositions in the future
depending on market conditions, reformulation of plans and/or other relevant factors.
About Sweet Natural Trading Co. Limited
Sweet Natural Trading Co. Limited is a leading natural sweetener company that promotes healthier eating by selling food products
that reduce refined, added sugar consumption. With obesity and diabetes reaching unprecedented levels, the Company is focused on
making a positive impact in reducing these lifestyle diseases. Sweet Natural Trading Co. products are sold in over 5,000 stores
including major retail customers such as Loblaws, Walmart, Whole Foods, Costco, Publix, Sprouts and distributors including UNFI and
KeHE.
For more information about Sweet Natural Trading Co. Limited please contact:
Steven Haasz
CEO and a director of Sweet Natural Trading Co. Limited
416.288.1019
shaasz@sweetnaturaltrading.com
Neither TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking statements and other statements that are not historical facts. Forward-looking
statements are often identified by terms such as "will", "may", "should", "anticipate", "expects" and similar expressions. All
statements other than statements of historical fact included in this release, including, without limitation, statements regarding
the Offering and the Company's strategic growth plan, are forward-looking statements that involve risks
and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events
could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ
materially from the Company's expectations are risks detailed from time to time in the filings made by the Company with securities
regulators.
The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be
incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous
known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. As a result, the
Company cannot guarantee that any forward-looking statement will materialize and the reader is cautioned not to place undue
reliance on any forward-looking information. Such information, although considered reasonable by management at the time of
preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements
contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in
this news release are made as of the date of this news release and the Company will only update or revise publicly any of the
included forward-looking statements as expressly required by Canadian securities law.