Mr. George Wentworth reports

DELPHX ANNOUNCES THE ISSUANCE OF SHARES FOR SERVICES

Delphx Capital Markets Inc., pursuant to an agreement with a consultant for services in connection with the conclusion of a non-binding letter of intent with multiple hedge fund counterparties for the offering of up to $3-billion of notional credit spread protection via Delphx's credit rating securities (CRS) program (announced Aug. 28, 2024), will issue 138,888 common shares to the consultant in satisfaction of the $25,000 fee payable to the consultant.

The common shares will be issued at a deemed price of 18 cents per share, being the closing price of the common shares on the TSX Venture Exchange on Aug. 28, 2024. The issuance of the common shares will be subject to the approval of the TSX Venture Exchange.

The issuance of common shares will not result in a new control person and, subsequent to the issuance, Delphx will have 181,812,350 common shares outstanding.

About Delphx Capital Markets Inc.

Delphx is a technology and financial services company focused on developing and distributing the next generation of structured products. Through its special-purpose vehicle, Quantem LLC, the company enables fixed income dealers to offer new private placement securities that provide mitigation of spread and capital charge losses when downgrades occur, while allowing for attractive returns. The new Delphx securities will enable dealers and their qualified institutional investors (QIBs) accounts to competitively structure, sell and make markets in:

• Collateralized put options (CPOs) that provide secured rating downgrade protection for underlying corporate bonds;
• Collateralized reference notes (CRNs) that enable investors to take on a capped rating downgrade exposure of an underlying security in exchange for attractive returns.

All CPOs and CRNs are fully collateralized and held in custody by BNY Mellon. CPOs and CRNs are proprietary products created and owned by Delphx Capital Markets.