An anonymous director reports

QUARTERHILL INC. ANNOUNCES $35 MILLION BOUGHT DEAL PRIVATE PLACEMENT

Quarterhill Inc. has entered into an agreement with ATB Cormark Capital Markets and Roth Canada Inc., as co-lead underwriters and joint bookrunners, on behalf of a syndicate of underwriters, pursuant to which the underwriters have agreed to purchase, on a bought deal private placement basis, 14,113,000 common shares of the company at a price of $2.48 per share for aggregate gross proceeds of $35,000,240.

The company has agreed to grant the underwriters an option to purchase up to an additional 15 per cent of the shares at the issue price, exercisable in whole or in part, at any time up to 48 hours prior to the closing date (as defined below). If the underwriters' option is exercised in full, additional proceeds of approximately $5,250,160 will be raised pursuant to the offering, and the aggregate proceeds of the offering will be approximately $40,250,400.

The company intends to use the net proceeds from the offering for general corporate purposes, for working capital and to finance growth initiatives, including future acquisitions.

The offering is expected to close on or about Sept. 16, 2026, and is subject to the company receiving all necessary regulatory approvals, including the conditional approval of the Toronto Stock Exchange.

The shares will be offered for sale on a private placement basis in all provinces and territories of Canada pursuant to applicable prospectus exemptions. The shares may also be offered by way of private placement in the United States pursuant to available exemptions from registration under the U.S. Securities Act of 1933, as amended, and in such other jurisdictions as are agreed to by the company and the underwriters. All securities issued pursuant to the offering will be subject to a statutory hold period in Canada expiring four months and one day from the closing date in accordance with applicable securities laws.

About Quarterhill Inc.

Quarterhill is a global leader in the intelligent transportation system industry, advancing mobility through smart infrastructure solutions that reduce congestion, improve roadway safety and create more sustainable travel. Each year, Quarterhill's platforms process billions of transactions, perform compliance and safety inspections on millions of commercial vehicles, and enable transportation agencies worldwide to optimize thousands of lanes to improve travel for everyone. Leveraging advanced artificial intelligence and machine learning technologies, Quarterhill's platform delivers automation and predictive insight to help agencies manage transportation networks more efficiently. By working in close partnership with governments, communities and industry leaders, Quarterhill is building today's connected roadways while shaping the next generation of intelligent, resilient mobility. Quarterhill is listed on the Toronto Stock Exchange under the symbol QTRH and on the OTCQX Best Market under the symbol QTRHF.

We seek Safe Harbor.