Mr. Robert Thast reports

IZOTROPIC CLOSES NON-BROKERED PRIVATE PLACEMENT AND ANNOUNCES DEBT SETTLEMENT

Further to Izotropic Corp.'s Jan. 28, 2026, the company has completed a non-brokered private placement financing and that is has entered into a debt settlement agreement with a lender to settle outstanding interest payable pursuant to a promissory note originally issued by the company.

In connection with the closing of the offering, the company issued 1.2 million units at a price of 25 cents per unit for gross proceeds of $300,000. Each private placement unit consists of one common share and one transferable warrant, and each warrant entitles the holder to purchase one additional share at a price of 25 cents per share for a period of three years from closing of the offering.

The use of proceeds from the offering will be used for general working capital.

Completion of this offering is subject to a number of conditions, including, without limitation, receipt of all necessary regulatory approvals.

The company previously entered into a promissory note dated April 1, 2022, with the lender in the principal amount of $2-million. As of the date hereof, the company owed the lender $60,000 in accrued interest, representing three months of interest for the period from October to December, 2025.

Pursuant to the agreement, the company will settle the interest through the issuance of 240,000 units at a price of 25 cents per unit, in full settlement of the interest. Each settlement unit consists of one common share and one transferable warrant, and each settlement warrant entitles the holder to purchase one additional share at a price of 25 cents per share for a period of three years from the date of issuance.

All securities to be issued in connection with the offering and interest settlement will be subject to a statutory hold period of four months and one day, in accordance with applicable securities laws.

Completion of the interest settlement remains subject to the approval of the Canadian Securities Exchange.

We seek Safe Harbor.