Oz Adler Joins IM Cannabis Board

*TORONTO and GLIL YAM, Israel* — IM Cannabis Corp., a leading medical
cannabis company with operations in Israel and Germany, appointed Oz Adler
to the Company’s board of directors, effective July 6, 2025. Adler brings
deep financial and strategic expertise across international markets, as
well as a strong track record in public company leadership, regulatory
compliance, and M&A, further reinforcing IMC’s commitment to disciplined
growth and sustainable profitability.

Adler currently serves on the board of directors of several publicly traded
companies, including Rail Vision Ltd., Clearmind Medicine Inc., and Jeff’s
Brands Ltd. His appointment to the Board was made pursuant to the terms of
a loan agreement entered into between the Company and L.I.A. Pure Capital
Ltd. on July 6, which provides the Lender with the right to recommend a
director to be appointed to the Board.

The Company received USD $1 million on July 9, and may receive an
additional USD $1 million no later than 60 days from the signing of the
Loan Agreement, or by September 4, 2025, subject to certain conditions,
including (i) the registration of a pledge in favor of the Lender and (ii)
the publication of a prospectus for a capital raising with Aegis Capital
Corp. serving as underwriter or distributor. The Loan bears annual interest
at a rate of 8% plus value added tax (VAT) and is repayable in full,
including accrued interest, by June 30, 2026. In the event of non-repayment
by June 30, 2026, default interest at a rate of 15% per annum (plus VAT) on
the unpaid balance will apply. The Loan is secured by a pledge over 100% of
the issued and outstanding shares of IMC Holdings Ltd., a wholly owned
subsidiary of the Company, with the pledged shares held directly by the
Company. The pledge was registered on July 7, 2025. Pursuant to the Loan
Agreement, the Company will not issue new shares or commit to issue new
shares, except under certain circumstances.

The Company further committed to making its best efforts to raise at least
USD $3 million within 60 days of signing the Loan Agreement through an
underwritten offering with Aegis Capital Corp. serving as the underwriter.
If the Company raises USD $4 million or more, the Lender will not be
obligated to provide the Second Loan Tranche. If the Company raises USD $5
million or more, the Lender may exercise an acceleration right, requiring
the Company to repay the entire outstanding loan within 45 business days of
receipt of written notice.

The Loan Agreement also grants the Lender certain acceleration rights of
the repayment of the outstanding Loan balance, in whole or in part, in the
event of specified events, including enforcement proceedings or
insolvency-related actions.

Pure Capital is a privately held investment firm controlled by Kfir
Zilberman. Pure Capital specializes in supporting Israeli technology
companies and businesses across various industries, providing guidance from
their early stages through commercialization, advanced funding rounds, and
initial public offerings. In addition to working with institutional
investors, Pure Capital collaborates with leading hedge funds in Israel and
high-net-worth individuals to identify and execute investment opportunities
that drive growth and long-term value.

“We are excited to welcome Mr. Adler to our Board of Directors,” said Oren
Shuster, Chief Executive Officer of IMC. “Mr. Adler’s extensive experience
in capital markets, corporate finance, and pharmaceutical ventures will be
invaluable as we execute our strategic roadmap”.

Adler currently serves as Chief Executive Officer and previously as Chief
Financial Officer of SciSparc Ltd., a pharmaceutical company specializing
in cannabinoid-based therapeutics. He has also held senior finance roles at
Medigus Ltd., where he advised on initial public offering readiness and
public filings, and began his career at Ernst & Young Israel, managing
audits of public companies listed on TASE and North American markets.
Throughout his career, Adler has led global strategic initiatives, capital
raises, investor relations, and cross-border M&A activities.

“I am honored to join the Board of Directors of IMC,” said Adler. “IMC is
uniquely positioned at the intersection of healthcare, wellness, and
innovation. I look forward to supporting the Company’s leadership as it
strengthens its international footprint and builds long-term value for
shareholders.”

Adler is a Certified Public Accountant (CPA) and holds a B.A. in Business
Management and Accounting from the College of Management in Rishon LeZion.
About IM Cannabis Corp.

IMC (Nasdaq: IMCC) is an international cannabis company that provides
cannabis products to medical patients in Israel and Germany, two of the
largest medical cannabis markets in Europe. The Company has focused its
resources to achieve sustainable and profitable growth in its highest value
markets, Israel and Germany. The Company leverages a transnational
ecosystem powered by a unique data-driven approach and a globally sourced
product supply chain. With an unwavering commitment to responsible growth
and compliance with the strictest regulatory environments, the Company
strives to amplify its commercial and brand power to become a global
high-quality cannabis player.

The IMC ecosystem operates in Israel through its subsidiaries, which
imports and distributes cannabis to medical patients, leveraging years of
proprietary data and patient insights. The Company also operates medical
cannabis retail pharmacies, online platforms, distribution centers, and
logistical hubs in Israel that enable the safe delivery and quality control
of IMC products throughout the entire value chain. In Germany, the IMC
ecosystem operates through Adjupharm GmbH, where it distributes cannabis to
pharmacies for medical cannabis patients.