Plurilock to sell CloudCodes business to Scope

Mr. Ian Paterson reports PLURILOCK SECURITY INC. ANNOUNCES SALE OF CLOUDCODES ASSETS TO SCOPE TECHNOLOGIES CORP. Plurilock Security Inc. and its subsidiary, Plurilock Security Solutions Inc., have entered into a definitive asset purchase agreement (APA) dated Aug. 20, 2025, with Scope Technologies Corp. to sell certain assets of its CloudCodes business. Pursuant to the terms of the APA, Scope has agreed to acquire the company's subsidiary, Plurilock Security Private Ltd., and certain assets relating to the CloudCodes business. In consideration, Scope has agreed to pay the company $100,000 in cash and issue to the company a total of 4.2 million common shares of Scope for total consideration of $1.78-million. The transaction is subject to customary closing conditions and regulatory approvals. The company expects to close the transaction on or around Sept. 15, 2025. This transaction is an arm's-length transaction. In connection with the transaction, the company will pay Canaccord Genuity Corp. an advisory fee of $40,000, payable in common shares of the company, subject to TSX Venture Exchange approval. All of the securities that may be issued in connection with the transaction will be subject to a hold period under applicable Canadian securities laws of four months and one day from the date of issuance. "Over the past three years, Plurilock has evolved from serving the SME marketplace to focusing on large enterprises, government and Fortune 500 clients," said Ian L. Paterson, chief executive officer of Plurilock Security. "As a result, the SME segment is no longer core to our strategy. CloudCodes is a strong asset with deep roots in the small- and medium-business market, and we are pleased to see it continue under Scope Technologies leadership. We are fully aligned in supporting CloudCodes' growth and success, while we continue to streamline our operations and focus on critical services. Further details will be available during our second quarter fiscal 2025 financial results webinar later today at 11 a.m. ET." About Plurilock Security Inc. Plurilock is a services-led, product-enabled, AI-native (artificial intelligence) cybersecurity company that solves complex cyber problems in high-stakes environments where failure is not an option. Trusted by Five-Eyes governments, NATO-aligned agencies and Global 2000 enterprises, the company defends critical infrastructure and safeguards the systems that power modern life. Its critical services division delivers operational resilience through unmatched expertise, proprietary IP (intellectual property) and AI-driven playbooks. We seek Safe Harbor.