Mr. Eli Dadouch reports

FIRM CAPITAL MORTGAGE INVESTMENT CORPORATION COMPLETES $25 MILLION BOUGHT DEAL FINANCING

Firm Capital Mortgage Investment Corp. has closed its previously announced public offering of $25-million aggregate principal amount of 5.50 per cent convertible unsecured subordinated debentures due Dec. 31, 2032, of the corporation with a syndicate of underwriters bookrun by CIBC Capital Markets and TD Securities Inc., and including Canaccord Genuity Corp., National Bank Financial Inc., RBC Capital Markets, Bank of Nova Scotia, ATB Securities Inc., Desjardins Securities Inc., iA Private Wealth Inc., Raymond James Ltd. and Ventum Financial Corp. The corporation granted the underwriters an overallotment option to purchase up to $3.75-million additional aggregate principal amount of debentures, exercisable, in whole or in part, at any time until 30 days following today's closing. If the overallotment option is exercised in full, the gross proceeds of the offering will total $28.75-million.

The debentures will trade on the Toronto Stock Exchange under the symbol FC.DB.M.

The net proceeds of the offering will be used by the corporation to repay indebtedness.

The debentures bear interest at a rate of 5.50 per cent per annum, payable semi-annually in arrears on the last day of June and December in each year, commencing on Dec. 31, 2025, and mature on Dec. 31, 2032. The debentures are convertible at the holder's option into common shares of the corporation at any time prior to the close of business on the earlier of the maturity date and the business day immediately preceding the date fixed for redemption at a conversion price of $14.06 per share, subject to adjustment in certain circumstances.

The debentures are not be redeemable before Dec. 31, 2028. On and after Dec. 31, 2028, and prior to Dec. 31, 2030, the debentures are redeemable in whole or in part, from time to time, at the corporation's option, at par plus accrued and unpaid interest, provided that the weighted average trading price of the shares on the TSX during the 20 consecutive trading days ending on the fifth trading day preceding the date on which notice of redemption is given is not less than 125 per cent of the conversion price. On and after Dec. 31, 2030, the debentures are redeemable, in whole or in part, from time to time, at the corporation's option, at any time, at par plus accrued and unpaid interest.

The debentures are direct, unsecured obligations of the corporation, subordinated to senior indebtedness of the corporation, ranking pari passu to the corporation's existing convertible unsecured subordinated debentures.

Subject to specified conditions, the corporation has the right to repay the outstanding principal amount of the debentures, on maturity or redemption, through the issuance of shares. The corporation also has the option to satisfy its obligation to pay interest through the issuance and sale of shares.

Further details of the offering are described in the corporation's prospectus supplement dated Oct. 8, 2025, supplementing the corporation's short form base shelf prospectus dated July 29, 2024, filed with Canadian securities commissions or similar regulatory authorities of each province of Canada. A copy of the prospectus is available under the corporation's profile on SEDAR+.

About Firm Capital Mortgage Investment Corp.

The corporation, through its mortgage banker, Firm Capital Corp., is a non-bank lender providing residential and commercial short-term bridge and conventional real estate financing, including construction, mezzanine and equity investments. The corporation's investment objective is the preservation of shareholders' equity, while providing shareholders with a stable stream of monthly dividends from investments. The corporation achieves its investment objectives through investments in selected niche markets that are underserviced by large lending institutions. Lending activities to date continue to develop a diversified mortgage portfolio, producing a stable return to shareholders. Full reports of the financial results of the corporation for the year are outlined in the audited consolidated financial statements and the related management's discussion and analysis of the corporation, available on SEDAR+. In addition, supplemental information is available on the corporation's website.

We seek Safe Harbor.