Mr. Louis Dron reports

REDWOOD AI CORP. ANNOUNCES ENGAGEMENT FOR IR SERVICES

Redwood AI Corp. has engaged MCS Market Communication Service GmbH (business address: Saarlandstrase 28 58511 Ludenscheid, Germany, e-mail: info@mcsmarket.de; telephone: 491772481220) for the provision of a range of online marketing services, including campaign creation, production of marketing materials, as well as research and analytics. The services are expected to run until April 20, 2026, or budget exhaustion. The company has paid MCS $1-million as consideration for its services. No securities have been provided to MCS or its principals as compensation for the services. The services will be executed via digital channels, including Google Ads and native advertising.

The company also announces that it has entered into debt settlement agreements dated Feb. 20, 2026, with a director of the company and certain creditors. Pursuant to the settlement agreements, the company has agreed to issue an aggregate of 236,003 common shares of the company at a deemed price of $1.71 per share in full settlement of an aggregate amount of $403,571.96 of outstanding indebtedness.

The settlement is subject to approval of the Canadian Securities Exchange. Closing of the settlement is expected to occur on or about Feb. 27, 2026.

The securities to be issued to Thorlund Holdings, an entity controlled by Kristian Thorlund, and to Mr. Thorlund constitute a related party transaction within the meaning of Multilateral Instrument 61-101, Protection of Minority Security Holdings in Special Transactions. The company relied on exemptions from the formal valuation and minority approval requirements of MI 61-101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, as neither the fair market value of the shares, nor the consideration paid for the shares, exceeded 25 per cent of the company's market capitalization. The securities will be subject to a hold period of four months and one day pursuant to applicable securities laws.

The company did not file a material change report more than 21 days before the expected closing of the settlement because the details were not settled until shortly prior to closing of the settlement and the company wished to close on an expedited basis for business reasons.

About Redwood AI Corp.

Redwood AI is a Vancouver-based artificial intelligence company providing software and analytics solutions for chemical and pharmaceutical development. Its platform integrates state-of-the-art AI (artificial intelligence) models, cheminformatics and operational data to support synthesis planning, process optimization and supply chain decision-making, helping reduce time, cost and risk from early development through commercialization.

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