Engagement Labs Signs New TotalSocial® Contract with UK Bank

16-month Contract Valued at CAD $272,000

  Montreal, QC — July 18, 2019 — Engagement Labs Inc. (TSXV: EL) is pleased to announce a new deal in support of its growth strategy with the signing of a key new UK client. The deal is with a major challenger bank in the UK to utilize TotalSocial® as its proprietary data and analytics platform for social intelligence. The total value of the contract is CAD $272,000 (£160,000) over the 16 months. The new client chose Engagement Labs’ TotalSocial platform to help the firm manage and improve its reputation, competitive intelligence and improve brand health. This is a new addition to Engagement Labs’ growing roster of financial industry clients in the UK and US markets. The Financial Sector is increasingly focused on customer centricity, and customer advocacy is increasingly important as a driver of growth in an evolving industry. TotalSocial helps financial services companies to create strategies and monitor performance against this objective. “We are very pleased and excited to add this bank brand to our roster of clients,” said Ed Keller, CEO of Engagement Labs. “Our Client understands well the importance of social influence data and analytics to drive enhanced marketing ROI and effectiveness, and has embraced TotalSocial for the value it can bring in providing a unique perspective on social engagement and its impact on its reputation and brand performance.” “Our Client recognizes the TotalSocial platform’s ability to help achieve its goals, including improved marketing ROI and growth in top line revenue” added Steven Brown, President & Chief Revenue Officer of Engagement Labs. “We have strong experience in the finance sector and I am particularly encouraged by our recent momentum in the UK, which is a strong harbinger for further growth for the company.” ###     About Engagement Labs Engagement Labs (TSXV: EL) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies. To learn more visit www.engagementlabs.com   Neither TSX Venture Exchange nor IIROC accepts responsibility for the adequacy or accuracy of this release. For media inquiries please contact: Vanessa Lontoc / Ed Keller, CEO Engagement Labs vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com

Engagement Labs Provides Grant of Options

MONTREAL, Quebec — June 17, 2019 – Engagement Labs Inc. (TSXV:EL) (the “Company”) announces that further to its press release dated June 14, 2019, the Company granted 1,200,000 stock options to two officers of the Company. The stock options have an exercise price of $0.06 per share and a term of five years.   ###   About Engagement Labs Engagement Labs (TSXV: EL) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies.   To learn more visit www.engagementlabs.com   Disclaimer in regard to Forward-looking Statements Certain statements included herein constitute “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Except as required by law, Engagement Labs does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.   Neither 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.   For media inquiries please contact: Vanessa Lontoc / Ed Keller, CEO Engagement Labs vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com

Engagement Labs Provides Grant of Options, RSAs, and Shares for Debt

MONTREAL, Quebec — June 14, 2019 – Engagement Labs Inc. (TSXV:EL) the “Company” announces that in accordance with its Stock Option Plan and RSA Plan, the Company granted 5,250,000 stock options to four officers and one non-executive director of the Company, and 500,000 RSAs to an officer of the Company. The stock options have an exercise price of $0.06 per share and a term of five years. Subject to regulatory final approval, the Company has also agreed to issue 5,797,501 common shares to four non-executive directors at an issue price of $0.06 per share in consideration of services provided to the Company for the period from October 1, 2017 to December 31, 2018. The proposed payment in shares to the directors is consistent with the Board of Directors’ policy of paying the directors with shares to preserve cash and to align the interests of the Board of Directors with the shareholders.     ###   About Engagement Labs Engagement Labs (TSXV: EL) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies.   To learn more visit www.engagementlabs.com   Disclaimer in regard to Forward-looking Statements Certain statements included herein constitute “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Except as required by law, Engagement Labs does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.   Neither 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.   For media inquiries please contact: Vanessa Lontoc / Ed Keller, CEO Engagement Labs vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com

Engagement Labs Announces Number of Common Shares Issuable Upon Conversion of all Outstanding 1% and 2% Debentures

MONTREAL, Quebec — June 5, 2019 — Engagement Labs Inc. (TSXV: EL) (the “Company”), announces today that in order to proceed with the conversion of the outstanding principal amount of all 1% Debentures and 2% Debentures, plus accrued interest on such Debentures, into common shares of the Company, which Debentureholders approved as reported in the Company’s News Release dated May 22, 2019 and filed on SEDAR on that date, it is a requirement of the TSX Venture Exchange for the Company to issue this news release disclosing the number of common shares to be issued to each class of Debentureholders, as well as the number of common shares to be issued to Debentureholders that are also insiders of the Company, on conversion of all outstanding 1% Debentures and 2% Debentures.   $4,194,975 aggregate principal amount of 1% Debentures will be converted into common shares at a price of $0.11 per share resulting in the issue of 38,136,139 common shares, and $109,529.11 in accrued interest on the 1% Debentures will be converted at the current market price of $0.06 per share resulting  in the issue of 1,825,488 common shares for accrued interest, for a combined total of 39,961,627 common shares to be issued to the holders of the 1% Debentures for principal and accrued interest, of which 21,381,359 common shares will be issued to insiders.   $1,665,000 aggregate principal amount of 2% Debentures will be converted into common shares at a price of $0.06 per share resulting in the issue of 27,750,001 common shares, and $13,502.50 in accrued interest on the 2% Debentures will be converted at the current market price of $0.06 per share resulting in the issue of 225,042 common shares for accrued interest, for a combined total of 27,975,043 common shares to be issued to the holders of the 2% Debentures for principal and accrued interest, of which 5,998,253 common shares will be issued to insiders.   The Company’s financing that closed on May 30, 2019 was subject to certain conditions including the above-referenced approval for the conversion of outstanding Debentures and the implementation of the conversion as referenced herein.  Given these conditions of financing and the financial condition of the Company prior to completion of the financing, the issue of common shares to insiders of the Company on conversion of their convertible debentures is exempt from the minority approval and formal valuation requirements of Multilateral Instrument 61 101 pursuant to the financial hardship provisions in sections 5.5(g) and 5.7(e) thereof.   ###   About Engagement Labs Engagement Labs (TSXV: EL) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies.   To learn more visit www.engagementlabs.com   Neither 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.   For media inquiries please contact: Vanessa Lontoc / Ed Keller, CEO Engagement Labs 1-732-846-6800 vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com

Engagement Labs Releases Q1 2019 Results

  • 22% year-over-year growth in TotalSocial revenue

  • EBITDA improved by 21% from Q1 2018

  • Non-GAAP Adjusted EBITDA improved by 41% from Q1 2018

    MONTREAL, Quebec — May 31, 2019 — Engagement Labs Inc. (TSXV: EL) released results for its first quarter ended March 31, 2019. Condensed interim consolidated Financial Statements and Management Report are available on SEDAR’s website at www.sedar.com.   First Quarter Financial Highlights
  • Total company revenue was $911,368 for Q1 2019, of which $878,302 is TotalSocial® revenue, representing a 22% increase in TotalSocial revenue vs Q1 2018 ($720,364).
  • Operating expenses have decreased to $1,394,357 in Q1 2019, down 17% or $291,366 from $1,685,723 in Q1 2018.
  • Gross margin decreased to 43% in Q1 2019, from 48% in Q1 2018.
  • Net loss before income taxes has decreased to -$1,269,136 in Q1 2019, down 11% or -$155,077 from -$1,424,213 in Q1 2018.
  • EBITDA loss of -$851,591 for Q1 2019, representing an improvement of $221,700, from -$1,073,291 for Q1 2018.
  • Non-GAAP Adjusted EBITDA loss of -$545,096 for Q1 2019, representing an improvement of $380,673 from -$925,769 for Q1 2018.
  • Basic and diluted income per share was ($0.01) for Q1 2019 compared to ($0.01) for Q1 2018.
  • As at March 31, 2019, the Company had cash (excluding restricted cash) of $434,280, compared to $906,455 as of December 31, 2018.
  “In 2018, we began to focus 100% of our efforts and resources to our TotalSocial platform and transitioning away in the short-term from legacy products and revenues,” said Ed Keller, CEO. “That investment and long-term strategy is paying off with decreases in our operating expenses and growth in our TotalSocial revenues.”

###

  About Engagement Labs Engagement Labs (TSXV: EL) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies. To learn more visit www.engagementlabs.com   Disclaimer in regard to Forward-looking Statements Certain statements included herein constitute “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Except as required by law, Engagement Labs does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events. Neither 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.   For media inquiries please contact: Vanessa Lontoc / Ed Keller, CEO Engagement Labs vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com  

Engagement Labs Inc. Closes Oversubscribed $2.7 Million Prospectus Offering Led by Gravitas Securities Inc.

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

  MONTREAL, Quebec — May 30, 2019  — Engagement Labs Inc. (TSXV:EL) (the “Company”), is pleased to announce that it has closed its previously announced “best efforts” short form prospectus offering (the “Offering”). In connection with the Offering, the Company issued 45,041,334 units of the Company (the “Units”) including 5,874,668 Units issued upon the exercise of the over-allotment option granted to Gravitas Securities Inc., the agent for the Offering. The Units were sold at a price of $0.06 per Unit for aggregate gross proceeds of approximately $2,702,480.   Each Unit is comprised of one common share in the capital of the Company, one-half of one common share purchase warrant (each such whole common share purchase warrant, a “10 Cent Warrant”) and a second one-half of one common share purchase warrant (each such whole common share purchase warrant, a “12 Cent Warrant”). Each 10 Cent Warrant is exercisable to purchase one common share in the capital of the Company (a “10 Cent Warrant Share”) at a price of $0.10 per 10 Cent Warrant Share until November 30, 2019. Each 12 Cent Warrant is exercisable to purchase one common share in the capital of the Company (a “12 Cent Warrant Share”) at a price of $0.12 per 12 Cent Warrant Share until May 30, 2021.   The closing of the offering complements the Company’s previously announced debt-restructuring approved by debentureholders on May 22, 2019 which will see the elimination of $5.8 million in debt converted into common shares, of which $4.2 million will be converted at $0.11 per share and $1.6 million converted at $0.06 per share. The elimination of substantially all outstanding debt and the addition of working capital are positive steps for the Company as its TotalSocial platform continues to gain recognition with leading brands and media companies.   The net proceeds from the offering are expected to be used primarily for working capital and for marketing the Company’s TotalSocial analytics platform. For additional details regarding the use of proceeds of the offering, please see the Company’s final short form prospectus dated May 23, 2019, which is available under the Company’s profile on SEDAR at www.sedar.com.   This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities of Engagement Labs Inc. in the United States, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered in the offering have not been, and will not be, registered under the United States Securities Act of 1933, as amended, or any U.S. state securities laws, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. Persons unless registered under the United States Securities Act of 1933, as amended, and applicable state securities laws, or unless an exemption from such registration is available.   ###   About Engagement Labs Engagement Labs (TSXV: EL) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies.   To learn more visit www.engagementlabs.com   Disclaimer in regard to Forward-looking Statements Certain statements included herein constitute “forward-looking statements” within the meaning of applicable securities laws, including the use of proceeds from the Offering and the elimination of the Company’s debt. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Except as required by law, Engagement Labs does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.   Neither 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.   For media inquiries please contact: Vanessa Lontoc / Ed Keller, CEO Engagement Labs vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com  

Engagement Labs Upsizes Prospectus Offering of Units Led By Gravitas Securities Inc. From $1.8 Million To $2.35 Million

Montreal, QC — May 23, 2019 — Engagement Labs Inc. (TSXV: EL) announced today that it has increased the offering size of its prospectus offering of Units at a price of $0.06 per Unit as disclosed in its preliminary prospectus dated May 1, 2019 from a maximum of $1,800,000 to $2,350,000 plus a 15% overallotment option.  Completion of the offering is subject to regulatory approval.   ###   About Engagement Labs Engagement Labs (TSXV: EL) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies. To learn more visit www.engagementlabs.com   Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.   For media inquiries please contact: Vanessa Lontoc / Ed Keller, CEO Engagement Labs vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com

Engagement Labs Inc. Announces Approval of Debt Restructuring By Holders Of 1% Debentures And 2% Debentures And Implementation of Two-For-One Share Consolidation

Montreal, QC — May 22, 2019 — Engagement Labs Inc. (TSXV: EL) (OTCQB:  ELBSF) announces that at a special meeting of shareholders held today, shareholders approved a special resolution providing for the consolidation of its outstanding common shares on a two-for-one basis. A Certificate of Amendment has been issued under the Canada Business Corporations Act giving effect today to the two-for-one share consolidation. The number of outstanding common shares has changed from 217,261,430 common shares to 108,630,700 common shares. Letters of Transmittal were mailed to shareholders on May 1, 2019 providing for the transmittal of existing common shares certificates by the registered holders thereof to Computershare Investor Services Inc. in exchange for replacement share certificates reflecting the number of shares held on a two-for-one post-consolidated basis.   The Company also announced that holders of more than 90% of the aggregate principal amount of 1% Debentures, and 2% Debentures, respectively, have provided the requisite 90% approval in writing to give effect to amendments to their Debentures that will result in all of the $1,665,000 aggregate principal amount of 2% Debentures outstanding being converted into 27,750,000 common shares at $0.06 per share, and all of the $4,194,000 aggregate principal amount of 1% Debentures outstanding being converted into 38,127,272 common shares at $0.11 per share. With these approved amendments at total of $5,859,000 in indebtedness plus approximately $200,000 in interest that would have been payable through maturity will be eliminated upon completing the conversion of debentures and the issue of the common shares to which the Debentureholders are entitled under the terms of the amendments.   Ed Keller, the Chief Executive Officer and a Director of the Corporation may be contacted at information@engagementlabs.com for further information regarding the contents of this News Release. ###   About Engagement Labs Engagement Labs (TSXV: EL) (OTCQB: ELBSF) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies. To learn more visit www.engagementlabs.com   Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.   For media inquiries please contact: Vanessa Lontoc / Ed Keller, CEO Engagement Labs vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com

Engagement Labs Releases FY 2018 Audited Results, Launches Prospectus Offering of approximately $1,800,000 in Units Led by Gravitas Securities, Proposes Debt Reorganization for approval by Debentureholders and 2:1 Share Consolidation

  • 113% year-over-year growth in TotalSocial revenue

  • Growth based on increase in number of clients to 20 (up from 9) and expansion of sectors served to 11 (up from 6)

  • Total company revenue growth of 15% year-over-year

  • Gross profit increased by 25% for 2018, and gross margin improved from 42% to 46% for 2018

  MONTREAL, Quebec — May 2, 2019 – Engagement Labs Inc. (TSXV: EL) (OTCQB: ELBSF) released results for its fiscal year ended December 31, 2018. Audited consolidated Financial Statements and Management Report are available on SEDAR’s website at www.sedar.com.   Fiscal Year 2018 Audited Results Released
  • TotalSocial® revenue increased by 113% from year ended December 31, 2017 to year ended December 31, 2018.
  • The number of brands using TotalSocial® increased to 20 during 2018, up from 9, and the number of industry sectors increased from 6 to 11. New sectors include Sports, Retail/Apparel, Beverage, Agency and Travel, to go along with Media, Beauty, Telecom, Software, Food and Financial.
  • Total revenue, including both TotalSocial® and the Company’s legacy products, was $3,973,704 for the year ended December 31, 2018, an increase of 15% compared to $3,469,767 for the year ended December 31, 2017. In the US, year-over-year growth was 26%, while the UK saw a decline for the year.
  • Gross profit increased by 25%, from $1,457,485 for the year ended December 31, 2017 to $1,818,527 for the year ended December 31, 2018. As a percentage of revenue, the gross margin increased by 4%, from 42% for the year ended December 31, 2017 to 46% for the year ended December 31, 2018.
  • Non-GAAP Adjusted EBITDA loss increased by 20%, from -$2,684,152 for the year ended December 31, 2017 to -$3,228,681 for the year ended December 31, 2018. Operating expenses before extraordinary items increased by 18%, from $5,514,535 for the year ended December 31, 2017 to $6,533,005 for the year ended December 31, 2018.
  • The net loss before income taxes for the year ended December 31, 2018 increased to -$5,628,884, up 26% or -$1,170,877 from -$4,458,007 for the year ended December 31, 2017. Basic and diluted loss per share was -$0.03 for the year ended December 31, 2018, compared to -$0.05 for the year ended December 31, 2017.
  Fourth Quarter Financial Highlights
  • TotalSocial® Revenue of $1,109,923 for Q4 2018 represents a 137% increase vs Q4 2017 of $467,908, and a 34% increase vs Q3 2018 of $829,739.
  • Total revenue, including both TotalSocial® and the Company’s legacy products was $1,139,156 for Q4 2018, an increase of 29% from $883,342 in Q3 2018, and an increased of 15%, from $989,553 for Q4 2017.
  • Gross margin increased to 54% in Q4 2018, from 40% in Q3 2018 and from 39% in Q4 2017.
  • Operating expenses, before extraordinary items, have increased to $1,774,244 in Q4 2018, up 21% or $301,912 from $1,472,332 in Q3 2018, and up 5% or $83,644 from $1,690,600 in Q4 2017. The increase from 2017 reflects management’s commitment to invest in sales and marketing to drive TotalSocial® technology sales growth, including the hiring of a Chief Revenue Officer in late December 2017.
  • Excluding extraordinary items and future income taxes, the net loss has increased to -$1,411,297 in Q4 2018, up 5% or -$61,745 from -$1,349,552 in Q3 2018, and down 9% or -$138,746 from -$1,550,043 in Q4 2017.
  • EBITDA loss of -$1,012,039 for Q4 2018, representing an increase of $30,190, from -$981,849 for Q3 2018, and an increase of -$465,427, from -$546,612 for Q4 2017.
  • Non-GAAP Adjusted EBITDA loss of -$735,594 for Q4 2018, representing an improvement of $11,838, from -$747,432 for Q3 2018, and an improvement of $313,613, from -$1,049,207 for Q4 2017.
  • Operating expenses increased 17% or $212,074 from Q3 2017. The increase from 2017 reflects management’s commitment to invest in sales and marketing to drive TotalSocial® technology sales growth, including the hiring of a Chief Revenue Officer in late December.
  • Basic and diluted income per share was -$0.01 for Q4 2018 compared to -$0.01 for Q4 2017 and Q3 2018.
  • As at December 31, 2018, the Company had cash (excluding restricted cash) of $906,455, compared to $2,677,049 as of December 31, 2017.
  “I said a year ago that 2018 is shaping up to be a transformative year for Engagement Labs as TotalSocial is now resonating with clients and prospects,” said Ed Keller, CEO.  “Our year end results show the amount of progress we have made.  We grew our number of clients and our range of sectors served.”   Corporate Restructuring   Proposed Share Consolidation and Amendment to Terms of Outstanding Debentures Engagement Labs has mailed a Notice of Special Meeting of Shareholders providing for the proposed consolidation of the common shares of the Company on a two-for-one basis effective on or about May 27, 2019.  The Meeting Materials also contemplate the approval of the issue of approximately 6,000,000 common shares on a post-consolidation basis at a price of $0.06 per share for fees owing to directors for 14 months of services for the period ended December 31, 2018.  The payment in shares is to conserve cash of Engagement Labs and is subject to approval of the TSX Venture Exchange.   Engagement Labs has mailed a Notice of Meeting and Management Information Circulars (“Meeting Materials”) to holders of the 1% Debentures, and separate Meeting Materials to 2% Debentures, both of which series are due September 28, 2020.  Engagement Labs is proposing to holders of 1% Debentures, of which there are approximately $4.23 million outstanding, and holders of 2% Debentures, of which there are approximately $1.6 million outstanding, to amend the terms of their debentures, subject to approval of 90% of the debentures outstanding of each series of debentures at a meeting or in writing, providing for the conversion of all of their outstanding debentures at a price of $0.11 per share for the 1% Debentures and $0.06 per share for the 2% Debentures, effective on or about May 27, 2019. These amendments, if approved, would cause all outstanding debentures to be cancelled and would substantially improve the Company’s financial position.  The pricing of the conversion of the debentures is subject to final approval of the TSX Venture Exchange.     Prospectus Offering The Company has entered into an agreement with Gravitas Securities Inc. (the “Agent”), pursuant to which the Agent has agreed to  sell on a commercially reasonable efforts basis by short form prospectus, up to 30,000,000 units of the Company (the “Units”) at a price of $0.06 per Unit for aggregate gross proceeds to the Company of up to $1,800,000. Each Unit will be comprised of one common share of the Company, one-half of one common share purchase warrant (each such whole common share purchase warrant, a “$0.10 Warrant”) and a second one-half of one common share purchase warrant (each such whole common share purchase warrant, a “$0.12 Warrant”). Each $0.10 Warrant will be exercisable into one common share at an exercise price of $0.10 per share for a period of 6 months after the Closing Date (as defined herein). Each $0.12 Warrant will be exercisable into one common share at an exercise price of $0.12 per share for a period of 2 years after the Closing Date. The offering is subject to a minimum offering amount of $1,500,000. The Company has also agreed to grant the Agent an over-allotment option to purchase up to an additional 4,500,000 Units at the offering price, exercisable in whole or in part, for a period ending 30 days from and including the Closing Date. In the event the over-allotment option is exercised in full, the aggregate gross proceeds of the offering will be $2,070,000. The Units will be offered in each of the provinces of British Columbia, Alberta, Manitoba and Ontario by short form prospectus. The offering is expected to close on or about May 27, 2019 (the “Closing Date”) and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange, the consolidation of the common shares of the Company on a two-for-one basis having occurred, the conversion of certain outstanding debentures of the Company in accordance with their terms and the issuance of a receipt for a final short form prospectus. The Company intends to use the net proceeds from the offering for working capital and general corporate purposes.   NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES. This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities of Engagement Labs Inc. in the United States, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities offered have not been and will not be registered under the United States Securities Act of 1933, as amended, or any U.S. state securities laws and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. Persons unless registered under the United States Securities Act of 1933, as amended, and applicable state securities laws or unless an exemption from such registration is available. ###   About Engagement Labs Engagement Labs (TSXV: EL) (OTCQB: ELBSF) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies. The Company’s TotalSocial® platform focuses on the entire social ecosystem by combining powerful online (social media) and offline (word of mouth) data with predictive analytics. Engagement Labs has a proprietary ten-year database of unique brand, industry and competitive intelligence, matched with its cutting-edge predictive analytics that use machine learning and artificial intelligence to reveal the social metrics that increase marketing ROI and top line revenue for its diverse group of clients.   To learn more visit www.engagementlabs.com / www.totalsocial.com.   About TotalSocial® TotalSocial® is a premier data and analytics platform that provides brands with unique insights, improved marketing ROI and strategies to grow revenue. Fueled by actionable online and offline data, TotalSocial is the only platform that encompasses and listens to the entire social ecosystem. TotalSocial offers unique, proprietary data about brands, its industry and competitors. With cutting-edge diagnostics, patent-pending predictive analytics and machine learning, TotalSocial identifies business opportunities and provides recommendations and a roadmap to grow revenue and achieve business and marketing goals.   About Gravitas Securities Inc. Gravitas Securities Inc. is a leading and prominent capital markets and wealth management firm comprised of tactical individuals known for their sophisticated sector expertise, commitment to excellence, and a global platform committed to integration and innovation. Gravitas provides a wide range of investment services for retail and corporate clients globally with offices in Toronto and Vancouver, and is represented in the United States through its FINRA representative, Gravitas Capital International, in New York. Gravitas Securities Inc. is a member of IIROC and CIPF.   Disclaimer in regard to Forward-looking Statements Certain statements included herein constitute “forward-looking statements” within the meaning of applicable securities laws. Such forward-looking statements include, without limitation, the completion of the Offering, the timing of the Closing Date, the gross proceeds of the Offering, regulatory approval of the Offering, the use of the net proceeds, if any, of the Offering, completion of the proposed share consolidation and the amendment to the terms of the outstanding debentures. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Additional risks and uncertainties regarding Engagement Labs are described in its publicly-available disclosure documents, filed by Engagement Labs on SEDAR (www.sedar.com) except as updated herein. The forward-looking statements contained in this news release represent the Company’s expectations as of the date of this news release, or as of the date they are otherwise stated to be made, and subsequent events may cause these expectations to change. Except as required by law, Engagement Labs does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events. Neither 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.   For media inquiries please contact: Vanessa Lontoc, VP of Marketing / Ed Keller, CEO Engagement Labs 732-846-6800 vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com

Engagement Labs Provides Grant of Options

MONTREAL, Quebec — January 16, 2019 – Engagement Labs Inc. (TSXV: EL) (OTCQB:  ELBSF) announces that the Company, in accordance with its Stock Option Plan granted 415,000 stock options to two officers of the Company. The stock options have an exercise price of $0.05 per share and a term of five years.   About Engagement Labs Engagement Labs (TSXV: EL) (OTCQB: ELBSF) is an industry-leading data and analytics firm that provides social intelligence for Fortune 500 brands and companies. The Company’s TotalSocial® platform focuses on the entire social ecosystem by combining powerful online (social media) and offline (word of mouth) data with predictive analytics. Engagement Labs has a proprietary ten-year database of unique brand, industry and competitive intelligence, matched with its cutting-edge predictive analytics that use machine learning and artificial intelligence to reveal the social metrics that increase marketing ROI and top line revenue for its diverse group of clients.   To learn more visit www.engagementlabs.com / www.totalsocial.com.   About TotalSocial® TotalSocial® is a premier data and analytics platform that provides brands with unique insights, improved marketing ROI and strategies to grow revenue. Fueled by actionable online and offline data, TotalSocial is the only platform that encompasses and listens to the entire social ecosystem. TotalSocial offers unique, proprietary data about brands, its industry and competitors. With cutting-edge diagnostics, patent-pending predictive analytics and machine learning, TotalSocial identifies business opportunities and provides recommendations and a roadmap to grow revenue and achieve business and marketing goals.   Disclaimer in regard to Forward-looking Statements Certain statements included herein constitute “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Except as required by law, Engagement Labs does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.   Neither 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.   For media inquiries please contact: Vanessa Lontoc, VP of Marketing / Ed Keller, CEO Engagement Labs 732-846-6800 vanessa.lontoc@engagementlabs.com / ed.keller@engagementlabs.com