Else Nutrition to relaunch Canadian business in 2026

Ms. Hamutal Yitzhak reports ELSE NUTRITION PLANS CANADIAN MARKET RELAUNCH IN 2026 Else Nutrition Holdings Inc. plans to relaunch its Canadian business in early 2026 as part of its broader growth and margin optimization strategy. Else initially entered the Canadian market in mid-2022 through a local distribution partner. The launch gained rapid traction, with Canadian revenues surpassing $1-million in 2023, supported by distribution across most major national retail chains. During fourth quarter 2024 and the first half of 2025, Canadian revenues declined due to temporary out-of-stock conditions and reduced marketing investment. In July, 2025, the distributor relationship was terminated, and the company decided to transition to a direct distribution model that offers higher margins and better commercial control. As part of this strategy, Else initiated direct engagement with Canada's largest national retailer in third quarter 2025. The company has since been approved as a direct vendor, with product distribution expected to resume in stores in early 2026. In parallel, Else is advancing discussions to re-establish relationships with additional national retailers, on-board new retail partners, and appoint a local distributor to support specialty and independent retail channels. The company also plans to expand its Canadian e-commerce presence through Amazon, its direct-to-consumer platform and additional on-line marketplaces. The company expects Canadian operations to generate approximately $500,000 in revenue in the first year following relaunch, with Canada projected to represent 10 to 15 per cent of U.S. sales over time, reflecting its importance as a core growth market. "We have always viewed Canada as a strategically important market," said Hamutal Yitzhak, chief executive officer and co-founder of Else Nutrition. "Our return to Canada under a direct-to-retail model positions us for more sustainable growth, improved margins and stronger execution. This relaunch aligns with our broader expectation of accelerating revenue growth beginning in 2026." About Else Nutrition Holdings Inc. Else is a food and nutrition company in the international expansion stage focused on developing innovative, clean and plant-based food and nutrition products for infants, toddlers, children and adults. Its revolutionary, plant-based, non-soy formula is a clean ingredient alternative to dairy-based formulas. Since launching its plant-based complete nutrition for toddlers, made of whole foods, almonds, buckwheat and tapioca, the brand has received thousands of powerful testimonials and reviews from parents, gained national retailer support and achieved rapid sales growth. We seek Safe Harbor.