Prospect Markets Announces Closing of Strategic Non-Brokered Private Placement for Gross Proceeds of C$2,000,000

Executive Summary

• Prospect Prediction Markets Inc. has closed a non-brokered private placement of 5,000,000 common shares at $0.40 per share, raising $2,000,000 in aggregate gross proceeds.
• The offering was led by Matco Financial, Lucida Capital, and AlphaNorth Asset Management, with additional participation from the company's management team and insiders.
• Net proceeds will be directed toward general corporate and working capital purposes, subject to a four-month statutory hold period and pending final TSXV approval.

Key Details

• Shares Issued: 5,000,000 common shares
• Price per Share: $0.40
• Gross Proceeds: $2,000,000
• Lead Investors: Matco Financial, Lucida Capital, and AlphaNorth Asset Management
• Insider Participation: Insiders purchased an aggregate of 187,500 shares, constituting a related party transaction under MI 61-101 (exempt from formal valuation and minority approval requirements as the fair market value does not exceed 25% of the company's market capitalization)
• Use of Proceeds: General corporate and working capital purposes
• Hold Period: Four-month hold period required under applicable securities laws
• Finder's Fee: $6,000 cash fee paid to qualified finders (equivalent to 6% of gross proceeds raised from subscribers introduced by such finders)
• Regulatory Status: Conditional approval received from the TSXV on May 22, 2026 via a price reservation form; final approval remains pending as of the release date
• Warrants: None issued in connection with this offering

Notable Quotes

• "This financing is an important milestone for Prospect Markets, and we're proud to have the backing of leading institutional investors: Matco Financial, Lucida Capital, and AlphaNorth Asset Management, alongside meaningful participation from our own management team," said Johnny Chen, Founder and Chief Executive Officer. "The capital raised will allow us to accelerate product development, scale our team, and execute on the strategic roadmap we have been building toward."