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January 23, 2014

Plandaí Sits at the Head of the Medical Marijuana Class

With the announcement of its recent license agreement with Diego Pellicer, Inc. and Diego Pellicer Worldwide Inc., Plandaí Biotechnology, Inc. (OTCQB –PLPL - $0.49 – Spec Buy) has positioned itself at the head of the class in the medical marijuana industry. The license enables Plandaí to use the Diego Pellicer name for its Phytofare™ cannabis extracts in medical and pharmaceutical marijuana applications.  Tracing its roots back over one hundred years, the Diego Pellicer name and legacy represents the Rolls Royce of brands in the cannabis industry. 

For Plandaí, being able to sell its cannabinoid extracts under the Diego Pellicer moniker will bring tremendous name recognition, branding, and a highly respected status in the medicinal cannabis industry. Moreover, this partnership validates the Company’s Phytofare™ technology, bioavailability and approach to medical marijuana. Clearly, both companies believe this one-two punch will prompt users to be drawn to what could emerge as a leading offering in the space. This outlook is based upon the combination of the power of the Diego Pellicer brand and the Plandaí product’s high bioavailability, which will result in lower dosages and lower costs.

Separately, the news could not come at a better time for Plandaí and its shareholders. In recent days, President Obama has tacitly endorsed the use of marijuana by noting that it is less dangerous than alcohol. Moreover, Proponents of medical marijuana will likely use the 2-week Super Bowl marketing period to flood the media with stories on the topic, placing it near the top of the talking points food chain. Of course it doesn’t hurt that the two Super Bowl representatives are from the two states that have legalized marijuana. After all, exceeding all expectations, Colorado pot shops cannot keep product in the stores fast enough which may result in higher tax collections on these sales than previously ascertained. Cash-strapped states and municipalities may view a softening stance on this topic as tangible opportunity to generate real revenue.

These events have clearly placed medical marijuana front and center as a strong, new investment category, as well as at the top of the list of discussions be legislators and consumers alike. As a result, investors should expect that medical marijuana companies and their stocks will remain under accumulation for the foreseeable future.

For more information, refer to our previous sponsored PLPL Reports, Updates and Hot Topics by visiting www.GoldmanResearch.com

Senior Analyst: Robert Goldman
Rob Goldman has over 20 years of investment and company research experience as a senior research analyst and as a portfolio and mutual fund manager. During his tenure as a sell side analyst, Rob was a senior member of Piper Jaffray's Technology and Communications teams. Prior to joining Piper, Rob led Josephthal & Co.'s Washington-based Emerging Growth Research Group. In addition to his sell-side experience Rob served as Chief Investment Officer of a boutique investment management firm and Blue and White Investment Management, where he managed Small Cap Growth portfolios and The Blue and White Fund.

Analyst Certification
I, Robert Goldman, hereby certify that the view expressed in this research report accurately reflect my personal views about the subject securities and issuers. I also certify that no part of my compensation was, is, or will be, directly or indirectly, related to the recommendations or views expressed in this research report.

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