Elysee prepays $2.1-million in debenture obligations

Mr. Guido Cloetens reports ELYSEE REDEEMS $1,685,000 OF CONVERTIBLE DEBENTURES Elysee Development Corp. has provided notice to the holders of its 8 per cent unsecured convertible debentures that it would prepay its obligations under the debentures on Dec. 16, 2025. As such, the company has proceeded with such prepayment and paid an aggregate of $2,106,250 plus accrued interest to such holders, settling debentures with an aggregate principal amount of $1,685,000. As of today, the amount outstanding of the debentures is $265,000. As a result of this redemption, potential dilution from future conversion to equity has been dramatically reduced, as well as the company's annual interest expense moving forward. There will, however, be a one-time cash charge of $421,250 on the company's statement of earnings during the current period. After the redemption of these debentures, Elysee's cash balance is approximately $5-million. Corporate update The company is also pleased to report that Probe Gold Inc., one of Elysee's top-10 investments by value, has received a takeover offer from Fresnillo PLC at a premium of 39 per cent compared with its closing stock price before the offer. In addition, another one of its investments, Solgold PLC, has agreed to be taken over by Jiangxi Copper for $1.12-billion (U.S.) (28 British pence per share), approximately four times the average price paid by Elysee. Finally, the company has also agreed to grant 250,000 incentive stock options to directors and officers of the company exercisable at a price of 50 cents per share for a period of five years from the date of grant. These options will vest immediately and are subject to the policies of the TSX Venture Exchange. We seek Safe Harbor.