CORRECTION FROM SOURCE: IBC Advanced Alloys Announces Execution of Definitive Funding Agreement with The Lind Partners for an Initial Funding of US$1,250,000

Executive Summary

• IBC Advanced Alloys Corp. has executed a convertible security funding agreement with Lind Global Fund III, LP, for an initial principal amount of US$1,250,000 (C$1,702,125), with an aggregate face value of US$1,500,000 (C$2,042,550) including pre-paid interest.
• The financing includes a 24-month term, monthly repayment obligations, and a Re-Investment Option allowing the Investor to contribute an additional US$1,250,000 under pro-rata terms.
• The Investor receives common share purchase warrants and has specific conversion rights, buy-back protections, and debt covenants tied to the company's total debt levels.

Key Details

• Principal Amount: US$1,250,000 (C$1,702,125).
• Pre-paid Interest: US$250,000 (C$340,425).
• Aggregate Face Value: US$1,500,000 (C$2,042,550).
• Term: 24 months.
• Closing Fee: US$62,500 (C$85,106.25) deducted from the Principal Amount.
• Conversion Price: Fixed at C$0.205 per common share (based on the last closing price on the TSX Venture Exchange prior to execution).
• Repayment Structure: Monthly repayments of US$75,000 (C$102,127.50) starting after the first four months until the Face Value is repaid; repayments are reduced by amounts converted into common shares.
• Repayment Shares: Company may repay in common shares at 90% of the market closing price, provided the price is no lower than the Conversion Price (C$0.205).
• Re-Investment Option: Investor has the right to invest an additional US$1,250,000 with an additional interest amount of up to US$250,000, subject to pro-rata terms and fees.
• Warrants (Initial): 3,943,948 common share purchase warrants issued to the Investor.
• Warrant Exercise Price (Initial): C$0.2526.
• Warrant Expiration: 24 months from the date of issue.
• Warrants (Re-Investment): Additional warrants issued if the Re-Investment Option is exercised, with an exercise price equal to 130% of the 20-day volume weighted average trading price of the Common Shares at the closing of the last trading day prior to the election date.
• Buy-Back Rights: Company has the right to buy back the outstanding amount at any time.
• Change of Control/Buy-Back Conversion: In the event of a change of control or if the Company exercises its buy-back right, the Investor may convert 100% of the pre-paid interest (accrued and not yet accrued) and up to 33% of the Principal Amount into common shares.
• Debt Covenant: If the Company increases total debt above US$20 million, the Investor has the right to require that such proceeds be used to repay the outstanding amount under the Convertible Security.
• Default Rights: Upon certain events of default, the Investor may declare all outstanding amounts immediately due and payable or terminate the Agreement.
• Use of Proceeds: Working capital and general corporate purposes.
• Hold Period: 4 months plus one day.
• Interest Conversion: Pre-paid interest accrues monthly; Investor may convert accrued interest into common shares once every 90 days at 90% of the last closing price of the Common Shares on the day prior to conversion.
• Closing Date: Expected on or about February 20, 2026, subject to regulatory approvals (including TSX Venture Exchange).

Notable Quotes

• None provided in the text.