1. company summary. waste nothing. gain everything

Copyright © 2020 HiPoint Agro Bedding Corp. | 52 Royal Road Guelph, Ontario | (t) 1.855.963.1700 | [email protected]

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1. Company Summary. Waste Nothing. Gain Everything ™ HiPoint Bedding Corp. is an environmental recycling company that will be the first to manufacture an environmentally sustainable hypoallergenic dust-free bedding that solves the stall residual waste crisis while positively impacting global warming, through the influence of the horse. HiPoint Agro Bedding Corp. (HPAB), brings three massive multi-billion industries together. i) Waste Management. ii) Environmental Recycling. iii) Global Horse Industry. Shares of Waste Management Inc. have gained 30.1% and has a USA sector market cap of $27 billion. Global Waste Recycling Services Market size is expected to rise above $400 billion. Global GDP of the horse industry is $300 billion. There are over three million tons of stall shavings wasted per month in the US that can be repurposed for profit.

HiPoint (HPAB) is about to change the way equine bedding is handled by integrating specific wood industry equipment with advanced process technology that will become an integral part of modern horse farms and County or Municipal operations. HPAB Facilities combine wood shaving recycling, water reclamation, and biomass biproducts to manage the total horse stall residual waste stream effectively. Currently, this wastestream is being inadequately disposed of creating environmental hazards, leaching, algae blooms, and methane off-gassing of greenhouse gasses (GHG's) to our lands, waterways, and planet.

HPAB is a profit-driven company, recycles equine stall residuals (horse bedding) naturally, without the use of chemicals or polymers, through a process of separation, drying, pasteurization, and bagging. Each state-of-the-art, fully covered complex will recycle and repurpose up to 59,000 tons of stall residual waste in regions of world-class equestrian prestige and/or high horse and human populous. Each Facility will meet the requirements regarding waste-stream management, including agricultural safety management for recycling to provincial and federal rules. HiPoint Facilities will have a positive impact on the environment by removing stall residual waste and contaminated bedding from local lands and waterways, which currently possesses safety risks. We do this while supporting waste management, best practices, and biosecurity procedures. HiPoint's methodology is a redistribution of the supply chain for horse bedding, that is needed in every stall, every farm, every day, and is a sustainable economic and environmental viable project in over fifty US locations and 260 worldwide. By reducing the supply chain through Feedstock, Location & Transportation, we create high margin resalable products in a low margin industry at competitive prices. Our mission is to manufacture the healthiest & most environmentally sustainable animal bedding products on the market through natural Infusion techniques & environmental recycling practices. The Result. An efficient use of resources to produce a product that has significant health and safety benefits over the original at a cost-saving on bedding and waste removal, while reducing environmental hazards such as inadequate dumping, nutrient leaching, and phosphorus overloading into our soil and water. The Vision: Giving back to the social cause of sustainability and climate change. "Through the influence of the horse, we bring equestrians and environmental stewardship together through education, technology & human interaction to impact meaningful change.”


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The Department of Agriculture estimates that about 75 percent of farms in the area dispose of this waste, known as “stable muck," in unmanaged piles on remote parts of these farms, often in sinkholes or adjacent to streams. Runoff from stable muck contains high levels of nitrogen and bacteria and is contributing to water quality impairments and threatening local groundwater quality in the region. There is a better way through separation and recycling the shavings for stall reuse. While using the water, manure, and small fines to create a high-quality organic digestate for methane energy production in Anaerobic Digesters, cured to form absorption pellets, fuel pellets, or as an organic matter soil amendment. The current generation of riders and horse owners understand the sustainability issues associated with ethical horse ownership. HiPoint's reclaimed and recycled shavings offer a new methodology of environmental stewardship, instead of discarding their bedding, Horse farms can now reuse their horse bedding with the very best of clean reuse technology.

Healthier comfort for the horses’ respiratory system and physical health than other bedding such as bulk or straw, while creating an economic benefit and employment opportunities in each region we build. HiPoint recycles and repurposes stall residual creating Hypo-allergenic, dust-free bedding that is coated with a 100% natural compound with anti-viral anti-bacterial anti-mold properties for the healthiest bedding on the market to help horse, rider and the barn environment.

HPAB receives the backing of local authorities as well as local proponents that sees the impact of this crisis of waste shavings polluting their region and has equestrian business leadership to gather influencers. HPAB then funds, builds, and operates the Facility to provide a cost-effective solution to the massive surplus of waste stall residuals while creating a healthy sustainable business model for the local equestrian market that has been validated by early adopters and research. Management Team

HPAB is focused on the equine bedding market. The team is made up of senior business individuals that have experience in project management, finance, engineering oversight, and with specific expertise in the equine/animal bedding and recycling market. We have sourced and partnered with international technology and manufacturing companies with a proven track record in wood shavings, drying, heating, separating and bagging, to deliver a system designed engineered to further de-risk this project.


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Paul Cross CEO and Head Designer of HiPoint designed the "HPAB process © "for repurposing stall residual and will be an HPAB partner. Mr. Cross was part of an early research team to recycling horse bedding. Over five years of designing and redesigning the process to a successful facility to recycle and resell stall residuals back to the local community. Over the last two years designed and developed a superior method of automation and recycling the total waste stream of horse bedding. Mr. Cross has written white papers on the return of the great equine manure crisis, methane off-gassing, and has papered three independent patents. Herb Larsen. Owner of TASH Industrial Design Inc. is a highly innovative mechanical design-engineering firm and manufacturer specializing in heavy industrial automated machinery and equipment. Herb enjoys an impeccable reputation for delivering internationally acclaimed specialized, automated equipment. It has integrated, with incredible effectiveness, the merger of brilliant imagination with computer-assisted design and engineering, resulting in drastically reduced design-to-construction capital investment costs. Wood PLC. The design of the process has had a 3rd party independent review by environmental engineering firm formally Amec Foster Wheeler. Wood PLC, a multi-billion international engineering firm that continues to consult on Facility efficiency design, providing site-specific oversight of the repurposing system. This validation includes Facility site design, site engineering layout, and verification of the bedding system output. To protect against environmental concern, their study already states our recycling process will use low to no emissions without the use of Chemicals or Polymers, which can be harmful to horses and the environment.

William McClounie is Chair of HiPoint and a Co-Founder of AgriFood Capital Corp. (AFCC) that provides business risk advisory services exclusively to the agribusiness marketplace. William has extensive experience in board governance and operational oversight, financial risk transfer solutions, insurance-based programs, and program delivery options. AFCC services include financial advisory support, project management, and financial program development/management for agribusinesses and commodity organizations.

Jacquie Boddaert is Vice-Chair of HiPoint Agro Bedding Corp with over 25 years of diversified business experience as a senior executive in the financial services, packaged goods & pharmaceutical industries. President of Monarch Wealth Assurance Agencies & Monarch Wealth Deposit Group Inc. managing over $700 million of client assets solutions. Significant strategic, governance, operational and business experience, Jacquie is an ardent equestrian owning The Meadows in King City Ontario, a 90-stall elite equestrian farm.

Adam Seanor is the CFO of HiPoint Agro Bedding Corp. With over 12 years of equity research experience with Toronto-based investment banking boutiques. Ranked #1 by Thomson Reuters in the 2015 StarMine Industry Analyst Award. Extensive experience in real estate, banks, specialty lenders, financial services technology, and special situations companies. Credit Experience as an AVP and as a Corporate Banker. MBA from the Schulich School of Business – York University, Toronto, ON (2000), Bachelor of Arts from the University of Western Ontario, London, ON (1996), and CFA Charter holder.


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3. Equine Market. Background. Higher-end show or racehorses create twelve (12) tons of stall residual waste per year, where residential horses create around nine tons. The waste stall residuals collected across North America would be in the range of 3,000,000 tons per month. There are over 20 locations in the US that have more than 20,000 horses within county lines and over 50 locations identified by HiPoint as viable sites. This amount of stall residuals collected creates high unmanageable waste piles that cannot be disposed of in a landfill and depletes soil nitrates when spread on fields. It has also shown to produce up to 50 lbs. of methane off-gassing per horse per year. “An HPAB plant (treating waste from 2,500 horses) would create over 10,000 GJ of energy and remove up to 200,000 lbs. of methane per year per facility we open.” HiPoint has the support of Counties, landowners, feedstock supply and bedding sales in 5 locations.

North America. The equine industry is an essential part of national, state, and local economies. It is diverse, involving agriculture, business, sport, entertainment, and recreation. It continues growing every year. Nationally, there are approximately 8 million horses in North America (AEF), creating over 3 million tons of waste bedding every month. The annual spend on bedding and bedding removal in North America has risen > $5.5 Billion. (FAOSTAT) (USEF & American Horse Council)

There are an estimated 130 major horse racetracks and 2000 large equestrian centers across Canada and the US. Each horse, when stalled inside, creating approximate one (1) ton of stall residuals per month costing North American horse owners >$5.5 Billion per year on bedding and manure hauling alone, not to mention the environmental impact of inadequate disposal is causing worldwide. Nationally, there are approximately eight (8) million horses in North America (AEF2018), creating a calculated three (3) million tons of waste bedding EVERY MONTH. With the diminishing ability to effectively control stall residuals due to tightening regulations on how waste is spread or disposed of, we are as close to a manure crisis not seen since the Great Manure Crisis of 1894 in London and New York. It was only through the introduction of mass-produced motorcars and buses as transportation that adverted the crisis.


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Globally. The annual economic impact of the equine industry is significant – some $300 Billion, involving 1.6 million full-time jobs. Direct GDP to North America is over $50 Billion with direct employment of over 1 million jobs. Participants/Spectators in North America are est. to have spent $27 Billion on events, travel dining & lodging.

4. Why HiPoint? With so much stall residual waste being inadequately spread on fields or disposed of in waterways, the HPAB process © solution takes a vast undesirable waste stream and create a new sustainable agricultural business standard in the market. “We can change the way equine bedding is handled for maximum reuse including carbon credits, reduced carbon footprint, transfer station tipping fees, recycled water as well as a better bedding and a viable organic matter biomass for fuel pellets, digestate or soil amendment.” Sustainability 1. HiPoint Facilities fits into 3.5 to 5.0 acres to accommodate 22,000 - 48,000 sq. ft covered building 2. Recycling all the waste stall residuals, totally undercover, with no leaching or off-gassing 3. Adhere to government standards and permitting of proper waste management practices 4. There are only low emissions and noise throughout the whole process 5. We will reduce emissions from haulers trucking shavings off-site to unknown dumpsites 6. There will be less waste or being dumped on our lands and waterways 7. Reduces algae blooms by reducing phosphorous hotspots on land and in lakes 8. The lignin in wood does not breakdown; spreading increases leaching and nitrate deficient soils

Recycling the organic matter fines as a biofuel or soil amendment in a closed-loop process 9. Little to no water is required, water is created and used for irrigation at the site and local Regional 10. Because it can be recycled in multiple cycles, we are reducing the environmental impact of leaching and

off-gassing to our water and lands reducing forest cutting, deforestation and protecting tree lands

For Horses 1. Anti-microbial, Anti-viral, Anti-bacterial, Anti-Mold bagged bedding for horse and barn health 2. Healthier barn environment with no dust, less ammonia and fewer critters running around the stall 3. A High absorbent rate for urine capture. Premium quality Hypoallergenic Dust-Free horse shavings 4. Easy coverage and more regular cleaning improves the barn environment 5. Eco – Friendly and help the health of horses heal sores and better breathing 6. Lowers the black fly population and can reduce equine disease


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For Horse Owners 1. Reliable on-site bedding product on demand 2. Increased farm efficiency by decreasing the time to clean and recharge stalls 3. Bedding is heat pasteurized for inert hypo-allergenic dust-free bedding bagged for safety 4. Happier Healthier environment. A green alternative to waste 5. Saves on Operational Costs 6. Economically viable - a lower price than shipping and buying new shavings 7. Reduces manure disposal costs, and onsite equipment

For Technology 1. Three combined provisional patents filed by Gray Robinson attorneys. 2. Proprietary compound to infuse bedding to be hypoallergenic anti-mold, anti-viral and safe for all 3. Proprietary HiPoint Infusion ™ developed and designed by HiPoint Agro Bedding 4. Proprietary HiPoint in-feed hopper to stop bridging of material at all in-feed rates 5. A proprietary process of the HiPoint conveyor mechanism throughout the HPAB © process 6. Drying system customized design exclusively for HiPoint Agro Bedding to dry horse stall residuals

Proprietary HiPoint process to use equipment in a batch or continuous flow 7. First of its kind monitoring system to track and relay data based on process automation by HiPoint 8.

Proprietary EPR traceability software built by HiPoint to track waste using GPS and RFID 8. A mix of organic matter fines and manure creates a soil amendment through a bioreactor 9. Taking everything from a stall and recycled it for new revenue streams and a healthier environment

For Value Proposition

1. A profitable business model in recycling the waste stream of equine stall residuals 2. Recycling stall residuals continuously as opposed to typical one-time use wood fiber shavings 3. Optimizes the full value chain of stall residuals 4. Limited legal disposal Inadequate dumping practices are standard 5. Landfills refuse to take it; land application makes it difficult to compost 6. Reduces nutrient runoff, leaching, and off-gassing environmental hazards 7. Reduces transportation cost and emissions from the haulers 8. Creates new revenue channels, local business opportunities, and local economic opportunities 9. An environmentally sustainable solution to a waste stream

Ahead through Verification. To be Engineered and Built by Woods LLC 3rd party verification of the viability of the HPAB system to recycle manure and shavings efficiently • Emissions based on the maximum emission scenario are below MOECC limits in compliance with O.Reg 419/05 • Equipment is sufficiently sized to handle require volume throughput • The HPAB dryer system can reduce emissions compared to rotary dryers that are vented to the atmosphere • There are operational & energy efficiency improvements as compared to other conventional technologies • No chemicals are used throughout the separation - drying process in line with good horse bedding practices


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5. Conclusion Current disposal methods include spreading on pastures and crops or composting into the soil for farm and garden, however, tipping fee costs are rising, and in many jurisdictions' outdoor storage and landfill disposal is no longer permitted. Disposal companies are running out of disposal options! In most jurisdictions, burning or burying manure in landfills, or stockpiling on farmland, is a thing of the past. Waste stall residuals are also not well received by the agricultural community as it does not supply a lot of nutrient content due to the nitrogen capturing nature of rotting wood-based manure. Recent agricultural rule changes reduce outdoor manure storage to a maximum length of two weeks. So waiting months for the spring manure-spreading season is no longer an acceptable solution. It is becoming evident that there are fewer disposal solutions available, and disposal costs are rising. North American and European horse owners must go farther afield to find disposal solutions. Waste stall residuals left unattended will cause methane off gassing, leaching, and phosphorous hot spots leading to diseases, flies, and environmental hazards. The HPAP © process is to create a better, healthier bedding. Recycling and healthier bedding is endorsed by Dorothee Bienzle, DVM, Ph.D., Dipl ACVP Professor of Veterinary Pathology at the University of Guelph who states; "I fully support HiPoint Agro Bedding's efforts in research toward creating improved bedding for horses, and look forward to scientifically assessing the utility of such bedding for horses with asthma." 2019 Through repurposing, waste shavings into multiple revenue streams of recycled horse bedding, organic matter biomass, transfer station tipping fees, and water, communities can eliminate the troubling environmental concerns of inadequate dumping nutrient leaching and phosphorus overloading into our soil and water.

The solution is to take a vast undesirable waste stream and create a new sustainable agricultural business-standard. We can change the way equine bedding is handled by implementing an advanced technology process that will become an integral part of modern county or municipal standards for horse farm AFO and CAFO operations. The Result. An efficient use of resources to produce a product that has significant health and safety benefits over the original at a cost-saving while reducing environmental hazards.


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6. Contact Information Telephone number 1.855.963.1700 HiPoint Agro Bedding Corp. Canada US UK. Paul Cross CEO & Head Designer, ext. 207 [email protected] Jacquie Boddaert Vice-Chair Investments. ext. 203 [email protected] Adam Seanor CFO Financial overview ext. 204 [email protected] HR & Media ext. 214 [email protected] “An alternative green environmental recycling business that will transform waste management best practices through integrating technology and processes. Our first market focuses on equine bedding.“ February 2020 HPAB Disclaimer is attached to this document back page. You agree to the contents of the disclaimer in full


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Confidentiality statement. The Reader and HiPoint Agro Bedding Corp (HPAB) and HPAB Facility locations (HPAB / HPAB - #) agree that they are exploring a confidential business relationship concerning manure management, nutrient management, engineering, process flow, installation of the HPAB™ process to recycle stall residuals using approved manufactured equipment, technical services, or other business sales or ventures. All parties agree to prevent the unauthorized disclosure of Confidential Information. All parties agree to enter into a confidential relationship with respect to the disclosure of proprietary and confidential information. Each party agrees not to use any Confidential Information disclosed to it by the other participant (by document or otherwise and whether or not marked confidential) for its own use and not for any purpose other than to carry out discussions concerning, and the undertaking of, the business relationship. A fully executed mutual NDA will also be provided. Disclaimer. (if applicable) HiPoint Agro Bedding Corp. is not creating franchises. However, in some jurisdictions, the use of a trademark and revenues paid back to a corporation has franchisor-franchisee FCC regulations. Therefore: You agree you are a sophisticated investor and fall under the sophisticated franchisee exemption, that meets certain net worth, income, and financial experience requirements. Additionally, this falls under the large franchisee exemption where the "initial investment" must exceed $1,143,100.65 not including the cost of unimproved land or any financing from the franchisor or its affiliate. The underlying rationale of this exemption is predicated upon the assumption that a prospective franchisee's ability to make a significant investment equates to a certain level of sophistication. These individuals are presumed to be capable of obtaining material information to evaluate the investment without the assistance of the government. If an exemption filing is required, then this must be filed by the franchise and agrees to indemnify HiPoint Agro Bedding Corp. its employees and associates for any documents or figures shown in this document. Material Disclaimer The contents of this documentation are confidential and proprietary. This is not a legally binding document nor guarantee of earnings, production, results or investment suitability. Individual Facility results will differ. All documentation remains the property of HiPoint Agro Bedding Corp. and their representatives. (“representing parties”) The contents of the representing parties' plan(s) in paper form or presentation format are confidential. They are distributed to authorized persons only who are registered with the Company as recipients. Distribution to unregistered recipients is a breach of confidentiality provisions agreed to prior to receipt of the Summary, Plan, or Presentation. Operational performance of the representing parties may vary significantly from the performance projected herein. The information herein, whether stated or implied, is for educational purposes only and is not intended to be and must not be taken alone as the basis for any investment decision relating to the financial matters of the company. These materials have been prepared for information purposes only and are not giving legal, accounting, investment or other advice. Readers should not act upon this information without seeking professional counsel. Reasonable attempts have been made to assure that the information contained in this paper is accurate. The representing parties assume no responsibility and disclaim any liability for any injury or damage resulting from the use or effect of any product or information specified in this paper. HPAB has made reasonable commercial efforts in the preparation of this document. HiPoint Agro Bedding Corp. has not filed a registration statement under the federal laws of the United States or under the laws of any State of the United States of America nor are any of the securities of HiPoint Agro Bedding Corp. subject to any prospectus filed with any securities commission of any province of Canada. Any issuance or sale of securities will be made pursuant to exemptions from such requirements in any applicable jurisdiction including as a private company and/or private issuer or pursuant to private placement, sophisticated and/or accredited investor exemptions. To the extent required by law, a fully executed risk acknowledgment private placement document will be provided. HPAB and the Reader each acknowledge that this document contains forward-thinking statements and is not a guarantee of earnings. You agree to this Disclaimer in full.

1. company summary. waste nothing. gain everything

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