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Here are 1-3 brief analogies for IM Cannabis (IMCC):

• IM Cannabis is a vertically integrated multi-national cannabis company, similar to the operational model of larger Canadian peers like Canopy Growth or Tilray.
• Think of IM Cannabis as a cannabis producer and distributor with a strong international footprint, particularly in medical cannabis markets like Germany and Israel, akin to the global divisions of larger Canadian LPs such as Aurora Cannabis or Tilray.

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• Medical Cannabis Flower: Dried cannabis flower sold for medical use to patients and pharmacies.
• Medical Cannabis Oils & Extracts: Formulated cannabis oils and extracts, often with precise cannabinoid concentrations, for medicinal applications.

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• Canadian Provincial Cannabis Boards/Distributors: For the adult-use market in Canada, IMCC sells its products to government-operated or authorized provincial distribution entities. These entities then distribute the products to licensed retail stores across their respective provinces. Specific major customers in this category include:

  • Ontario Cannabis Store (OCS) - Not a public company
  • BC Liquor Distribution Branch (BCLDB), which operates BC Cannabis Stores - Not a public company
  • Alberta Gaming, Liquor and Cannabis (AGLC) - Not a public company
  • Société Québécoise du Cannabis (SQDC) - Not a public company

• Pharmaceutical Wholesale Distributors (Germany): In Germany, IMCC distributes its medical cannabis products to various pharmaceutical wholesale partners. These wholesalers then supply the products to pharmacies throughout the country for patient access. While these are IMCC's direct customers, specific major wholesale partners are not typically disclosed by IMCC in public filings.

• Pharmacies (Israel): In Israel, IMCC directly supplies medical cannabis products to a network of licensed pharmacies for distribution to registered medical cannabis patients. While these are IMCC's direct customers, specific major pharmacy chains are not typically disclosed by IMCC in public filings.

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• PharmaCielo Ltd. (PCLO.V)
• Cronos Group Inc. (CRON)

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Oren Shuster, Chief Executive Officer

Oren Shuster is recognized as one of Israel's leading experts in medical cannabis, with over two decades of entrepreneurial experience in founding and developing companies within the med-tech and technology/software sectors. Prior to joining IM Cannabis, he co-founded E-wave, which has grown into a global software house employing 1,000 professionals with operations spanning the U.S., Canada, Brazil, India, and Israel. Mr. Shuster has also held executive positions in the telecom and digital media industries.

Uri Birenberg, Chief Financial Officer

Uri Birenberg is a seasoned financial executive with over 20 years of experience in management accountability, business leadership, financial planning, accounting, auditing, fund and debt raising, and financial analysis for both large and mid-scale public and private international organizations. Before his tenure at IM Cannabis, he held senior financial roles at companies such as Radcom Ltd, Seedo Corp, SunGard, and HP Indigo. His last role prior to IM Cannabis was as CFO of Hygear Ltd, where he managed the company's financial and legal activities. Mr. Birenberg is expected to continue in his role until January 5, 2026.

Richard Balla, CEO and Director, German Operations – Adjupharm GmbH

Richard Balla serves as the CEO of Adjupharm, IM Cannabis's wholly-owned German subsidiary and its primary European hub. He brings nearly two decades of strategic business expertise from senior roles within the German pharmaceutical industry, specializing in manufacturing, distribution, sales, and the parallel import of pharmaceuticals, medical devices, and cosmetics. Before leading Adjupharm, Mr. Balla founded, was an early-stage shareholder, advisor, and director for several international companies in the pharmaceutical and medical cannabis sectors. He also served as the Head of Market and Product Development at ACA Müller Pharma AG, a prominent parallel import company in Germany.

Michal Lebovitz Nissimov, General Counsel

Michal Lebovitz Nissimov is an experienced lawyer specializing in corporate, commercial, business, and consumer law, M&A advisory services, and cannabis regulation and compliance. As a member of the senior management team, she oversees all corporate legal and regulatory aspects within the highly regulated cannabis sector, including IM Cannabis's public company reporting obligations, annual operational planning, and the execution of key strategic projects.

Yael Harrosh, Chief Legal & Operations Officer

Yael Harrosh was promoted to global Chief Legal and Operations Officer, having previously served as the Company's General Counsel, Business Director, and Corporate Secretary. She has been involved in leading the company's restructuring plan.

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1. Financial Health and Going Concern: IM Cannabis has a history of persistent losses and negative cash flows, raising questions about the sustainability of its recent efficiency gains. The company's financial statements have included a note regarding its ability to continue as a going concern. IMCC has a high debt-to-equity ratio of 397.2% and its short-term assets do not cover its short-term liabilities. Furthermore, the company has less than a year of cash runway based on its current free cash flow and is reportedly burning through cash quickly, indicating significant financial challenges.
2. Evolving Regulatory and Market Landscape in the Cannabis Industry: IM Cannabis operates in Israel and Germany, which are described as highly challenging and rapidly evolving markets. The company faces significant regulatory changes and uncertainty, which can impact licensing, operational compliance, and distribution models. The German market, in particular, is in a formative stage, subject to ongoing regulatory developments and operational uncertainties, including licensing timelines and potential margin pressure. The broader cannabis industry also faces challenges due to restrictive federal laws, which can affect access to banking and other services.
3. Geopolitical and Macroeconomic Instability: Global inflation, supply chain issues, and geopolitical tensions, particularly the conflict between Hamas and Israel and the Ukraine war, have adversely affected IM Cannabis's operations. The Israel-Hamas war specifically had a negative impact on the company's fourth-quarter 2023 results, leading to a decrease in yearly revenue and gross profit. Security-related disruptions in Israel have also impacted logistics, product availability, patient behavior, and overall market stability.

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The continued delay, scaling back, or potential failure of Germany's path to a broad adult-use recreational cannabis market. Germany's initial ambitious plans for full recreational legalization have been significantly scaled back and delayed due to EU law concerns, shifting to a club model (now passed) and commercial pilot projects (still in planning). The timeline for a full national recreational market is now highly uncertain, potentially years away, or may not materialize in the form initially envisioned. This development directly threatens IM Cannabis's long-term growth strategy, which has significant investments and expectations tied to unlocking the potential of a large German recreational market. The prolonged uncertainty and reduced scope could lead to significantly lower revenue opportunities, overcapacity in supply chains built for a larger market, and downward pressure on profitability, thereby undermining a key aspect of IMCC's international expansion thesis.

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The addressable markets for IM Cannabis's main products and services are as follows:

• Germany: The legal medical cannabis market in Germany was estimated at USD 2.04 billion in 2024 and is projected to reach USD 9.66 billion by 2033.
• Israel: The medical cannabis market in Israel is forecasted to achieve a revenue of US$294.90 million in 2024 and is anticipated to reach US$332.10 million by 2029.

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1. Continued Expansion and Market Penetration in the German Medical Cannabis Market: IM Cannabis has explicitly prioritized the German market for growth, with the region showing substantial revenue increases, such as 569% in Q1 2025. The company is focused on executing strategic initiatives to deepen its presence and capture a larger share of this high-value market.

2. Recovery of Previously Lost Revenue in Israel: Management anticipates recouping approximately $5 million in revenue that was lost in both Israel and Germany due to war and supply chain delays in prior quarters. This recovery represents a direct driver of revenue growth as market conditions normalize.

3. Optimization of Product Offerings and Supply Chain within Core Markets: IM Cannabis leverages a "transnational ecosystem powered by a unique data-driven approach and a globally sourced product supply chain" in its primary markets of Israel and Germany. This strategy aims to enhance product availability, quality, and variety, which can lead to increased customer acquisition and retention, thereby boosting sales volumes.

4. Enhanced Operational Efficiency to Strengthen Competitive Positioning: The company has demonstrated a strong focus on "active cost management and margin improvement," significantly reducing operating expenses and improving gross profit and adjusted EBITDA. While primarily impacting profitability, these efficiencies can enable more competitive pricing, greater investment in marketing and sales, or the ability to absorb market fluctuations, all of which can indirectly support and drive revenue growth by increasing market share and sales volumes.

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Share Issuance

• In July 2025, IM Cannabis closed a private placement offering, raising approximately US$4.1 million (C$5.62 million) through the issuance of 2,050,000 units. The proceeds are intended for general working capital, repayment of existing indebtedness, and general corporate purposes.
• In November 2024, IM Cannabis closed a non-brokered private placement, issuing 742,517 units for gross proceeds of C$2,138,448.96 (approximately US$1.6 million). Each unit consisted of one common share and one warrant.
• The company undertook a 6:1 share consolidation effective July 12, 2024, reducing the number of common shares from 13,394,136 to 2,232,357. This consolidation was in connection with regaining compliance with Nasdaq's listing standards.

Outbound Investments

• On October 23, 2025, IM Cannabis signed a non-binding term sheet to acquire a 60% equity interest in an innovative quantum computing bio data company for up to $54 million. The consideration may include cash, IMCC shares, and performance-linked earn-outs.
• In March 2022, IM Cannabis's subsidiary, IMC Holdings Ltd., acquired 51% of the rights in Oranim Pharm Partnership through the acquisition of Oranim Plus. The final payment for this acquisition was rescheduled to April 15, 2024.

Capital Expenditures

• IM Cannabis's management plans to finance operations, in part, through efficiencies and reduced capital expenditures. The primary focus of their operations is the sale of medical cannabis products in Israel and Germany.