Surrey, British Columbia--(Newsfile Corp. - May 4, 2026) - INEO Tech Corp. (TSXV: INEO) (OTCQB: INEOF) (the "Company" or "INEO") announces it has entered into an agreement with Pathfinder Asset Management Ltd. ("Pathfinder") to extend the maturity date of the Company's existing $1,000,000 principal indebtedness owing to Pathfinder from May 17, 2026 to December 17, 2027, subject to the Company completing a minimum $500,000 financing and the conversion of accrued interest owing to Pathfinder.

INEO intends to complete the extension as part of a broader financing plan intended to strengthen the Company's working capital position, reduce near-term debt obligations and support INEO's ongoing commercial growth initiatives. In connection with the plan, the Company intends to:

• complete a non-brokered private placement for gross proceeds of up to $1,100,000, with a minimum closing condition of $500,000, at a target price equivalent to $0.01 per pre-consolidation common share;
• convert existing debt of approximately $468,000, including accrued interest owing to Pathfinder and certain additional indebtedness, into equity of the Company at the same pricing basis; and
• complete a 1-for-10 consolidation of the Company's issued and outstanding common shares immediately prior to closing of the financing.

"We appreciate Pathfinder's continued support," said Kyle Hall, Chief Executive Officer of INEO. "Extending the maturity of this loan to December 2027 provides additional financial flexibility as we allocate working capital toward production and fulfillment of our large order backlog."

The Company intends to complete the non-brokered private placement at a price of $0.01 per common share on a pre-consolidation basis, or $0.10 per common share on a post-consolidation basis, assuming completion of the 1-for-10 share consolidation (the "Share Consolidation"). The Company expects to use the net proceeds from the financing for working capital, inventory purchases, production requirements, customer deployment costs and general corporate purposes.

As part of the financing plan, Pathfinder has agreed to convert accrued and unpaid interest under the existing promissory note in the amount of approximately $341,288, calculated as of May 17, 2026, into common shares of the Company at the same pricing basis as the financing. Based on a deemed price of $0.10 per post-consolidation common share, the Company expects to issue approximately 3,412,881 post-consolidation common shares to Pathfinder. The Company also intends to convert approximately $116,600 of additional indebtedness owing to certain Insiders into 1,166,000 post-consolidation common shares. This is a related party transaction under Multilateral Instrument 61-101. The settlement will be exempt from the formal valuation and minority shareholder approval requirements on the basis that the fair market value of the consideration does not exceed 25% of the Company's market capitalization.

Following May 17, 2026, interest on the remaining $1,000,000 principal amount will continue to accrue at a rate of 10% per annum and will be payable on the amended maturity date of December 17, 2027, unless otherwise agreed by the Company and Pathfinder. The principal amount will continue to be secured under the existing general security agreement between the Company and Pathfinder.

Completion of the financing, the debt conversions, the Share Consolidation and the amendment to the Pathfinder promissory note remain subject to customary conditions, including TSX-V approval. The extension of the maturity date of the Pathfinder promissory note is conditional upon, among other things, the Company completing a minimum $500,000 financing and the conversion of accrued interest owing to Pathfinder. All securities issued in connection with the financing and debt conversion transactions will be subject to applicable resale restrictions, including a statutory hold period of four months and one day from the date of issuance. The Company may pay finder's fees in connection with the financing in accordance with TSX-V policies.

The securities of the Company have not been registered and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.

INEO Tech Corp.

Per: "Kyle Hall"

Kyle Hall, Chief Executive Officer and Director

About INEO Tech Corp. (TSXV: INEO) (OTCQB: INEOF)

INEO Tech Corp. builds technology at the intersection of in-store retail media and loss prevention. INEO's patented integration of Electronic Article Surveillance (EAS) pedestals with digital displays helps retailers reduce theft while generating incremental retail media revenue from the same footprint. INEO is headquartered in Surrey, British Columbia, Canada, and is publicly traded on the TSX Venture Exchange (INEO) and the OTCQB (INEOF).

Websites: www.ineosolutionsinc.com 
www.ineoretailmedia.com
LinkedIn: www.linkedin.com/company/ineosolutions

Forward-Looking Statements

This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectations. Important factors - including the availability of funds, acceptance of the Company's products, competition, and general market conditions - that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed on SEDAR, including the Annual Financial Statements and MD&A for the year ended June 30, 2025 and its subsequently filed interim financial statements and MD&A. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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.

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

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/295838

Source: INEO Tech Corp.