Mr. Andrew Howard reports

DIAMOND ESTATES WINES & SPIRITS ANNOUNCES SHARE ISSUANCES

Diamond Estates Wines & Spirits Inc. has issued 679,928 common shares in the capital of the company (the second tranche earnout shares) at a deemed issuance price of 21 cents per share as part of the purchase price of the acquisition of Perigon Beverage Group. This is the second of three share issuances to the principals of Perigon based on the gross margin six-month earnouts set out in the definitive purchase agreement dated Sept. 12, 2024, with Perigon. The second tranche earnout shares are subject to a statutory hold period of four months and one day in accordance with applicable securities laws.

The company also announces that today, pursuant to the engagement letter it entered into with 2RL Capital Inc. dated Sept. 12, 2024, in connection with the Perigon acquisition and the continuing services provided by 2RL Capital to the company, the company issued 254,885 common shares in the capital of the company to the principals of 2RL Capital, at a deemed issuance price of 19.6 cents per common share. The second payment shares are subject to a four-month-and-one-day hold period under the policies of the TSX Venture Exchange.

Upcoming shareholder meeting

The company also strongly encourages disinterested shareholders to vote their shares well in advance of the upcoming shareholder meeting scheduled for Monday, Dec. 22, 2025, at 9 a.m. ET. To ensure votes are received in a timely manner, shareholders are advised to submit their proxies or voting instructions through electronic means or via their intermediaries as early as possible and votes submitted by proxy must be received by Thursday, Dec. 18, 2025, at 9 a.m. ET. The notice of meeting, management information circular and related proxy materials (the meeting materials) were filed on the company's website and on the company's SEDAR+ profile.

About Diamond Estates Wines and Spirits Inc.

Diamond Estates Wines and Spirits is a producer of high-quality wines and ciders as well as a sales agent for over 120 beverage alcohol brands across Canada. The company operates four production facilities, three in Ontario and one in British Columbia, that produce predominantly VQA wines under such well-known brand names as 20 Bees, Creekside, D'Ont Poke the Bear, EastDell, Lakeview Cellars, Mindful, Shiny Apple Cider, Fresh Wines, Red Tractor, Seasons, Serenity and Backyard Vineyards.

Through its commercial division, Trajectory Beverage Partners, the company serves as the sales agent for a wide range of leading international beverage brands.