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. entered into a convertible security financing agreement with Lind Global Fund III for up to US $1.5 million (US $1.25 M principal + US $0.25 M prepaid interest).
• The investor receives 3,943,948 common‑share purchase warrants at C$0.2526 exercisable for 24 months and has a re‑investment option for an additional US $1.25 M on the same terms.
• Net proceeds are earmarked for working capital and general corporate purposes; closing is expected around February 20, 2026 pending exchange approval.

Key Details

• Principal Amount: US $1,250,000
• Pre‑paid Interest: US $250,000 (accrues monthly)
• Aggregate Face Value: US $1,500,000
• Term: 24 months; convertible at C$0.205 per share (based on last TSX‑V closing price prior to execution).
• Closing Fee: US $62,500 (deducted from principal).
• Repayment Schedule: US $75,000 monthly after the first four months until face value is repaid; repayments may be reduced by any shares converted.
• Repayment Shares: Can be issued at 90% of prior‑day market price, not below the conversion price.
• Re‑Investment Option: Up to an additional US $1,250,000 principal + up to US $250,000 interest on pro‑rata terms; same conversion price and repayment mechanics.
• Warrants Issued: 3,943,948 warrants at C$0.2526 exercise price, expiring 24 months from issuance.
• Additional Warrants (if Re‑Investment exercised): Exercise price equal to 130% of the 20‑day VWAP immediately prior to election of the option.
• Buy‑Back Rights: Company may repurchase outstanding convertible security at any time; upon buy‑back or change of control, investor can convert 100% of prepaid interest and up to 33% of principal.
• Debt Cap Trigger: If total debt exceeds US $20 million, investor may require proceeds be used to repay the convertible security.
• Use of Proceeds: Working capital and general corporate purposes.
• Expected Closing: On or about February 20, 2026, subject to TSX‑V approval and customary conditions.

Notable Quotes

“Mark A. Smith”, Chairman of the Board – No direct quote provided in the release.