Mr. Yona Shtern reports

HAPBEE ANNOUNCES CLOSING OF $1.5M PRIVATE PLACEMENT INSIDERS AND EXECUTIVES PARTICIPATED TO FUND CONTINUED GROWTH

Hapbee Technologies Inc. has completed a non-brokered private placement of units of the company for aggregate gross proceeds to the company of $1,566,632.

"This capital enables us to continue to evolve our products and to expand our market presence and manufacturing on the heels of the successful launch of our game-changing new device -- the smart sleep pad," said Yona Shtern, chief executive officer and executive chairman of Hapbee.

The company achieved a milestone in September when it presold 992 devices units in the month -- the most in a single month in the company's short history -- primarily driven by the popularity of the smart sleep pad. It was designed especially for sleep with an easier-to-use, more comfortable form factor and a larger magnetic field diameter, which early users report provides an even more effective improvement of their sleep patterns. First production shipments of the new device are expected to begin later this week, and the company anticipates that manufacturing will continue to ramp to meet actual and forecasted demand.

As part of the offering, the company issued 22,380,459 units at a price of seven cents per unit, which consisted in the issuance of 22,380,459 subordinate voting shares of the company and 22,380,459 share purchase warrants, with each warrant entitling the holder thereof to acquire one share at a price of 15 cents per share for a period of two years from the closing date of the offering. The expiry date of the warrants will be subject to prior acceleration, at the discretion of the company, should the volume-weighted average price of the company's listed shares on the TSX Venture Exchange, or any other stock exchange on which the company's shares are then listed, be greater than 50 cents for a period of 10 consecutive trading days, the whole in accordance with the terms of the warrants. Each share and warrant issued (including the shares underlying the warrants) will be subject to a hold period of four months plus one day following the closing of the offering pursuant to Canadian securities laws.

Certain existing insiders of the company including members of the executive team and board of directors participated in the offering by purchasing an aggregate of 4,416,302 units. The portion of such participation by the insiders constitutes a related-party transaction within the meaning of TSX Venture Exchange Policy 5.9 and Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions). The company intends to rely on exemptions from the formal valuation and minority approval requirements of MI 61-101 as neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involves related parties, exceeded 25 per cent of the company's market capitalization.

Any net proceeds received by the company from the offering are intended to be used for product development, manufacturing, business development, working capital and general corporate purposes.

The offering remains subject to the final approval of the TSX-V.

Option and restricted stock unit grants

The company is also announcing that it has issued an aggregate of 1.4 million stock options and an aggregate of 400,000 restricted stock units to certain insiders of the company. The options have an exercise price of 6.5 cents per share and are exercisable for a period of seven years from the date of issuance. The RSUs are based on a market price of 6.5 cents and will vest in equal instalments over a period of three years.

About Hapbee Technologies Inc.

Hapbee is a digital wellness technology company that aims to help people take control of how they sleep, perform and feel. Hapbee's digital wellness library of blends and routines utilizes patented ultralow radio frequency energy (ulRFE), designed to help optimize users' sleep, productivity, recovery and downtime. Hapbee devices and subscriptions are available for purchase at the Hapbee website and through a growing network of select distributors.

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