NeonMind Receives Health Canada Approval for its Functional Mushroom Formulation 'Mindful Blend'

NeonMind Receives Health Canada Approval for its Functional MushroomFormulation ‘Mindful Blend’

Vancouver, B.C. – August 17, 2021: NeonMind Biosciences Inc. (CSE: NEON) (OTC: NMDBF) (FFE: 6UF)(“NeonMind'' or the “Company”), an integrated drug development and wellness company focused onthe potential therapeutic uses of psilocybin for treating obesity and weight management conditions,announced today that Health Canada has approved its application for Product License NPN 80111611,the ‘Mindful Blend’ functional mushroom product. Mindful Blend uses 100% plant-based extracts and isformulated to support memory and cognitive function, support the immune system, increase energy,combat stress, and reduce inflammation.

Natural Health Products (NHP) require and undergo rigorous review by Health Canada’s Natural HealthProduct Directorate (NHPD) to ensure the safety and efficacy of the product. NeonMind's consumerproducts do not contain any psychoactive or restricted substances.

"The approval from Health Canada allows us to market the proven benefits of our functional mushroomingredients, differentiating the NeonMind brand as we introduce additional products across the U.S. andCanada. Our consumer products division allows NeonMind to further our reach into the massivefunctional food market. We continue to meet our strategic operational timelines while also supportingour research and development initiatives," said Rob Tessarolo, President and CEO of NeonMind.

NeonMind's consumer products division includes four dietary supplements in the United States designedto support memory, cognitive function and relieve stress, four mushroom infused coffees in Canada andthree additional functional mushroom formulas under NHP review with Health Canada.

According to Data Bridge Market Research, the global Medicinal Mushroom market is expected to reachUS$78.7 billion by 2025, from US$38.1 billion in 2017 growing at a CAGR of 9.5% during the forecastedperiod of 2018 to 2025.

In addition to its consumer products division, NeonMind's pharmaceutical division is engaged in theresearch and development of drugs and treatments for obesity and obesity related diseases usingpsychedelic compounds.

About NeonMind Biosciences Inc.NeonMind is engaged in preclinical research to develop potential clinical treatments and wellnessproducts to address obesity and weight management conditions and to promote health and wellness.The Company operates three divisions: (i) a pharmaceutical division engaged in drug development ofpsychedelic compounds with two lead psilocybin-based drug candidates targeting obesity; (ii) a medicalservices division focused on launching specialty mental health clinics that integrate psychedelictherapeutics into traditional psychotherapy settings; and (iii) a consumer products division that currentlysells mushroom-infused products to promote health and wellness.

In its pharmaceutical division, NeonMind has two distinct psilocybin drug development programstargeting obesity. NeonMind’s lead candidate, NEO-001, employs psilocybin as an agonist at theserotonin 5- HT2A receptor, which is involved in the hallucinogenic effect of psychedelics. The Company’ssecond drug candidate, NEO-002, employs low-dose psilocybin as an agonist at the 5-HT2C receptor,which controls appetite.

NeonMind established a medical services division with the goal of launching NeonMind-brandedspecialty mental health clinics in Canada that incorporate evidence-backed innovative treatments toaddress a variety of mental health needs.

NeonMind’s consumer division currently sells NeonMind-branded coffee products in the United Statesand Canada through NeonMind’s direct to consumer e-commerce platform.

For more information on NeonMind, go to www.NeonMindBiosciences.com.

Rob Tessarolo, President & Chief Executive Officer, NeonMind Biosciences Inc.

[email protected]: 416-750-3101

Investor Relations:KCSA Strategic CommunicationsScott Eckstein/Tim [email protected]: 212-896-1210

Media Inquiries:KCSA Strategic CommunicationsAnnie [email protected]: 786-390-2644

The Canadian Securities Exchange has not reviewed, approved nor disapproved the contents of this newsrelease.

Cautionary Statement Regarding Forward-Looking Statements

Certain statements contained in this press release constitute forward-looking information. Thesestatements relate to future events or NeonMind’s future performance. The use of any of the words"could", "expect", "believe", "will", "projected", "estimated" and similar expressions and statementsrelating to matters that are not historical facts are intended to identify forward-looking information andare based on NeonMind’s current belief or assumptions as to the outcome and timing of such futureevents. Actual future results may differ materially. In particular, NeonMind’s drug development plans, itsability to retain key personnel, and its expectation as to the development of its intellectual property andother steps in its preclinical and clinical drug development constitute forward-looking information. Actualresults and developments may differ materially from those contemplated by forward-lookinginformation. Readers are cautioned not to place undue reliance on forward-looking information. Thestatements made in this press release are made as of the date hereof. NeonMind disclaims any intentionor obligation to publicly update or revise any forward-looking information, whether as a result of newinformation, future events or otherwise, except as may be expressly required by applicable securitieslaws.