SABIO ANNOUNCES DEBENTURE EXTENSIONS AND SHARES FOR DEBT SETTLEMENT

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SABIO ANNOUNCES DEBENTURE EXTENSIONS AND SHARES FOR DEBT SETTLEMENT

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TORONTO, Aug. 25, 2026 /CNW/ -- Sabio Holdings Inc. (TSXV: SBIO) (OTCQB: SABOF) (the "Company" or "Sabio"), a Los Angeles-based creator-led, data-driven and AI-powered ad-tech company helping global brands reach, engage and validate (R.E.V.) streaming TV audiences, announces that it has entered into agreements with certain holders (the "Debenture Holders") of its outstanding unsecured subordinated debentures maturing on August 25, 2026 (the "Debentures") to amend and extend an aggregate principal amount of $780,000 of Debentures for an additional three-month term.

Under the extension arrangements, participating Debenture Holders have agreed to extend the maturity date of their Debentures for three months. During the extension period, the Debentures will bear interest at a rate of 24% per annum, payable monthly. The Company will retain the right to prepay the Debentures at any time without penalty.

As consideration for agreeing to the extension, the Company proposes to issue an aggregate of 259,995 common shares (the "Extension Shares") to the participating Debenture Holders at a deemed price of $0.095 per common share, representing consideration equal to 3% of the aggregate principal amount of Debentures extended.

In addition, the Company has entered into agreements with certain Debenture Holders to settle an aggregate of $163,500 of accrued interest owing under the Debentures through the issuance of common shares of the Company (the "Interest Shares"). The Company proposes to issue an aggregate of 1,923,525 Interest Shares at a deemed price of $0.085 per common share in full satisfaction of such accrued interest obligations.

The Company is not settling any principal amount of the Debentures through the issuance of shares. The shares-for-debt settlement relates solely to accrued interest owing under the Debentures.

The issuance of the Interest Shares constitutes a shares-for-debt transaction pursuant to TSX Venture Exchange Policy 4.3. The issuance of the Interest Shares and Extension Shares remains subject to the acceptance of the TSX Venture Exchange. All securities issued in connection with the transactions will be subject to a statutory hold period of four months and one day from the date of issuance in accordance with applicable securities laws.

No insiders, related parties or non-arm's length parties of the Company are participating in the proposed issuance of Interest Shares or Extension Shares.

About Sabio

Sabio Holdings (TSXV: SBIO, OTCQB: SABOF) is a technology and services leader in the fast-growing ad-supported streaming space. Its cloud-based, end-to-end technology stack works with top blue- chip, global brands and the agencies that represent them to reach, engage, and validate (R.E.V.) streaming audiences.

Sabio consists of a proprietary ad-serving technology platform that partners with the top ad- supported streaming platforms and apps in the world and App Science™, a non-cookie-based software as a service (SAAS) analytics and insights platform with AI natural language capabilities, and Creator Television® (Creator TV), the first creator-led streaming network and content studio dedicated to bringing the authenticity and energy of social media storytelling to TV.

For more information, visit: sabio.inc

Forward-Looking Statements

This news release contains certain forward-looking information and forward-looking statements (collectively, "forward-looking statements") within the meaning of applicable Canadian securities laws. Forward-looking statements are frequently, but not always, identified by words such as "anticipates", "believes", "expects", "intends", "plans", "will", "may", "should", "could", "would" and similar expressions, including negative variations thereof.

Forward-looking statements in this news release include, without limitation, statements regarding: (i) the proposed amendment and extension of certain outstanding debentures of the Company; (ii) the settlement of accrued interest through the issuance of Interest Shares; (iii) the issuance of Extension Shares; (iv) the anticipated number of Interest Shares and Extension Shares to be issued; (v) the receipt of acceptance from the TSX Venture Exchange; and (vi) the completion of the transactions described herein on the terms described or at all.

Forward-looking statements are based on a number of assumptions believed by management to be reasonable as of the date hereof, including assumptions regarding the receipt of all required approvals, including acceptance of the TSX Venture Exchange, the continued availability of the exemptions required to complete the proposed share issuances, and the ability of the parties to satisfy the conditions to completion of the proposed transactions. However, forward-looking statements are subject to numerous business, economic and regulatory risks and uncertainties and other factors, many of which are beyond the Company's control, which could cause actual results or events to differ materially from those disclosed in or implied by such forward-looking statements.

Readers are cautioned not to place undue reliance on forward-looking statements. Additional information regarding risks and uncertainties applicable to the Company can be found in the Company's continuous disclosure filings available under the Company's profile on SEDAR+ at www.sedarplus.ca.

The forward-looking statements contained in this news release are made as of the date hereof and are expressly qualified in their entirety by this cautionary statement. Except as required by applicable securities laws, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any securities in any jurisdiction.

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For further information: Sajid Premji, Chief Financial Officer, investor@sabio.inc, Phone: 1.844.974.2662; Sam Wang, Investor Relations, investor@sabio.inc

SOURCE Sabio Inc.