Aquarius AI Provides Operational Update and Announces Agreement for CBD Customer Acquisition and Changes to the Board of Directors

Vancouver, British Columbia--(Newsfile Corp. - December 16, 2019) - Aquarius AI Inc. (TSXV: AQUA) (FSE: 4G5) ("AQUA", or the "Company"), a programmatic advertising technology company is pleased to provide an update on its current operational activity. Following the execution of: (a) an agreement with the Company's secured lender; and (b) a letter of intent (the "LOI") with Unified Funding LLC ("UNIFIED"), the Company is eager to prepare the launch of its first new business line by leveraging its proprietary technology to pinpoint and acquire retail customers for cannabidiol ("CBD") consumer products.

Pursuant to the LOI with UNIFIED, AQUA will receive both an initial commission payment on all sales from retail customers identified by AQUA, along with a recurring commission payment for the lifetime of the customers identified. The Company looks forward to sharing an update on the performance of its customer acquisition program for UNIFIED in due course.

Ryan Dean Hoggan, President of UNIFIED, stated, "We are delighted to be working with AQUA who has demonstrated to us their exceptional ability to reach select consumers at scale who are engaged in seeking and purchasing CBD-infused products such as coffee, oils & tinctures, and pain rubs. We are extremely excited to start this relationship and foresee a significant scale in a short period of time."

Chris Bradley, CEO of AQUA, stated, "There has never been a better time to acquire retail customers in the CBD space. A significant amount of money has been invested in the development and processing of CBD related products; however, there is currently a substantial gap in the CBD retail market, which in large part relates to the inability of CBD companies to successfully meet the demand requirements. AQUA is strategically positioned to assist CDB companies in filling this gap with its customer acquisition technology and extensive experience in the advertising industry. We are determined to use our assets to considerably decrease the supply and demand gap in the CBD retail space and meaningfully assist CDB companies to service consumers at a high scale. We anticipate that this will be a game-changer."

Looking to the future, AQUA anticipates signing additional CBD clients and executing its customer acquisition strategy in further target markets including, but not limited to, the eSports gaming market as well as the diet, skin care, and health and beauty markets.

In addition, the Company announces the following changes to its Board of Directors. Chris Bradley, Chief Executive Officer of AQUA, and Ying Xu, Chief Financial Officer of AQUA, will join the Board of Directors effective immediately. Further, Cliff Dumas will retire from the Board of Directors effective immediately. The Company wishes to thank Mr. Dumas for his many years of support and hard work on behalf of the Company.

For further information:

Aquarius AI Inc.
Melissa Adams
Investors@AquariusAI.ca
(604) 265-7511

Neither the TSX Venture Exchange 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.

Forward Looking Statements:

This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws ("forward-looking information") concerning the Company's business plans, including, but not limited to, anticipated results and developments in the Company's operations in future periods and other matters that may occur in the future. In certain cases, forward-looking information can be identified by the use of words such as "will", "it'll", "opportunity", "target", "can reach", "expects", "plans", "should", or "future" or comparable terminology. Forward-looking information contained in this news release includes, but is not limited to, statements regarding: (a) the preparation and launch of the Company's first new business line; (b) AQUA's plan to leverage its proprietary technology; (c) the anticipated performance of the Company's business and operations; (d) the Company's anticipation of signing additional CBD clients; (e) the Company's expectation to receive commission payments in connection with the LOI; (f) the Company's expectations in impacting the CBD retail space; (g) the Company's intention to enter and operate in the CBD market, the eSports gaming market and the diet, skin care, and health and beauty markets; and (h) AQUA's outlook and goals.

Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management in light of management's experience and perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances, including, without limitation, assumptions about:

• the Company's ability to successful reposition its business and leverage its proprietary technology;
• the impact on the Company and its success as a result of the execution of an agreement with a secured creditor and the LOI;
• the Company's ability to enter into and succeed in its new target markets;
• the Company's ability to successfully decrease the supply and demand gap in the CDB retail space;
• future economic and competitive conditions;
• the stability in CDB regulations;
• general economic, financial market, regulatory and political conditions in which the Company operates;
• anticipated and unanticipated costs; and
• the stability of market prices, values and other economic indicators.

While the Company considers these assumptions to be reasonable, the assumptions are inherently subject to significant business, social, economic, political, regulatory, competitive and other risks and uncertainties, contingencies and other factors that could cause actual actions, events, conditions, results, performance or achievements to be materially different from those projected in the forward-looking information. Many assumptions are based on factors and events that are not within the control of the Company and there is no assurance they will prove to be correct. Furthermore, by their very nature, forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause the actual plans, intentions, events, results, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information. Such risks, uncertainties and other factors include, without limitation, those related to:

• an increase in competition;
• the failure of the Company to successfully execute its customer acquisition strategy or leverage its proprietary technology;
• unanticipated obstacles or costs in entering and operating in the CBD, eSports gaming and diet, skin care, and health and beauty markets;
• the inability to obtain financing needed to fund the continued development of the Company's business;
• the Company's inability to manage anticipated and unanticipated costs;
• the Company's inability to maintain or improve its competitive position or acquire additional clients;
• changes in CBD regulations;
• market conditions, volatility and global economic conditions;
• industry-wide risks; and
• general risks and uncertainties related to the Company's 's prospects and business strategy.

There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake any obligation to publicly update or revise any forward-looking information other than as required under applicable securities law. Additional information identifying risks and uncertainties is contained in AQUA's filings with the Canadian securities regulators, which filings are available at www.sedar.com.

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