Lexaria Bioscience Creates and Brands Subsidiary Companies Kelowna, British Columbia

Lexaria Bioscience Creates and Brands Subsidiary Companies

Kelowna, British Columbia October 10, 2018 Lexaria

Bioscience Corp. (OTCQX: LXRP) (CSE: LXX) (the Company or Lexaria ), a drug

delivery platform innovator, is pleased to announce it has completed the

creation of four wholly-owned subsidiary companies.

This new corporate structure more suitably reflects the

distinct customer bases and business applications for each subsidiary, thereby

allowing the Company to focus its future research and consider financing

structures and industry partnerships specifically optimized to each.

Each of the companies has a new website currently under

construction that is individualized for corporate purposes specific to that

company, but also clearly branded as part of the Lexaria group of companies. The

subsidiaries are each empowered with Lexaria s patented DehydraTECHTM

Lexaria CanPharm Corp., a Canadian company focused on

providing DehydraTECH technology and other enhancements to the global cannabis

industry. Lexaria CanPharm Corp. administers the Company s current

cannabis-related patent portfolio, which is one of the largest cannabis-focused

intellectual property suites in the world. Lexaria CanPharm is in active

discussions related to licensing its technology to companies located in Canada,

the USA, and Europe.

Lexaria Nicotine Corp., a US company with a global

license to provide DehydraTECH technology to the global nicotine and tobacco

industries. Lexaria Nicotine Corp. administers the Company s nicotine-related

patent portfolio. Since mid 2017 the Company has had discussions with several

leading nicotine/tobacco companies around the world and will continue to work

towards a healthier consumer nicotine sector with potential industry partners

well-established in the industry. Lexaria Nicotine Corp. is focused on

reduced-risk nicotine solutions to help hundreds of million of existing smokers

lead healthier lives with lessened risk of cancer through avoidance of

combustible products.

Lexaria Hemp Corp., a US company globally licensed to

provide DehydraTECH to the rapidly growing hemp-based foods and supplements

industries. Lexaria Hemp Corp. is currently involved in discussions with a

number of companies regarding the utilization of its technology in CBD-from-hemp

products for the Canadian and US markets following recent announcements of

regulatory advancement in both countries. Discussions with companies in other

global markets are also underway with reportable progress expected soon. Lexaria

Hemp Corp. will also soon announce the creation of a new wholly-owned brand that

will be introducing a new category-killer product at the upcoming MJBiz

conference in Las Vegas on November 14-16, 2018 where Lexaria will be exhibiting

at booth 3227. Lexaria will set new standards that exceed consumers expectations

and continue to advance the industry as we have done so since 2014.

Lexaria Pharmaceutical Corp., a US company globally

empowered to license DehydraTECH to the large and diverse pharmaceutical

sectors, including pain relief, vitamins, PDE5 inhibitors, hormone treatments,

central nervous system conditions, and more. Lexaria Pharma will manage the

broadest set of intellectual property of all the Lexaria family of companies and

is in the R&D and product development phase.

Lexaria also announces it will utilize wholly-owned Poviva Tea

Corp., to advance the existing ViPova Tea and Coffee consumer brands. Recent

signs of legislative easing in the US support the possibility of renewed

distribution possibilities for these brands.

Separately, Lexaria has received US$33,000 from the

exercise of 330,000 options at the price of US$0.10 previously granted to a

third party who is neither an officer nor director of the Company. No

commissions or placement fees have been paid related to the funds received from

these options exercised. Proceeds will be used for general corporate

Lexaria Bioscience Corp. has developed

and out-licenses its disruptive delivery technology that promotes healthier

ingestion methods, lower overall dosing and higher effectiveness of lipophilic

active molecules. Lexaria has eight patents granted in the USA and in

Australia and has filed over 50 patent applications worldwide

across ten patent families. Lexaria s technology provides increases in

intestinal absorption rates; more rapid delivery to the bloodstream; and

important taste-masking benefits, for orally administered bioactive molecules

including cannabinoids, vitamins, non-steroidal anti-inflammatory drugs

(NSAIDs), nicotine and other molecules. www.lexariabioscience.com

FORWARD-LOOKING STATEMENTS

This release includes

forward-looking statements. Statements which are not historical facts are

forward-looking statements. The Company makes forward-looking public statements

concerning its expected future financial position, results of operations, cash

flows, financing plans, business strategy, products and services, competitive

positions, growth opportunities, plans and objectives of management for future

operations, including statements that include words such as "anticipate," "if,"

"believe," "plan," "estimate," "expect," "intend," "may," "could," "should,"

"will," and other similar expressions are forward-looking statements, including

but not limited to: that any additional stock warrants or stock options will be

exercised. Such forward-looking statements are estimates reflecting the

Company's best judgment based upon current information and involve a number of

risks and uncertainties, and there can be no assurance that other factors will

not affect the accuracy of such forward-looking statements. Factors which could

cause actual results to differ materially from those estimated by the Company

include, but are not limited to, government regulation, managing and maintaining

growth, the effect of adverse publicity, litigation, competition, the patent

application and approval process and other factors which may be identified from

time to time in the Company's public announcements and filings. There is no

assurance that existing capital is sufficient for the Company's needs or that it

will be able to raise additional capital. There is no assurance that Lexaria

will successfully complete any other contemplated or existing technology license

agreements; or that results from any studies will be favorable or in any way

support future business activities of any kind. Scientific R&D is often

unpredictable and unanticipated results could emerge from any study and have a

material impact as can any results that cannot be reproduced in subsequent

testing. There is no assurance that any planned corporate activity, scientific

study, R&D, business venture, or initiative will be pursued, or if pursued,

will be successful. There is no assurance that any of Lexaria s postulated uses,

benefits, or advantages for the patented and patent-pending technology will in