Announcement • Jun 12
Prospect Prediction Markets Inc. announced that it has received CAD 2 million in funding from Matco Financial, Inc., Lucida Capital Inc., AlphaNorth Asset Management Prospect Prediction Markets Inc. has issued non-brokered private placement offering 5,000,000 common shares of the company at a price of CAD 0.40 per Share for aggregate gross proceeds of CAD 2,000,000 On June 10, 2026. The transaction involves new investors participation from Matco Financial, Inc., Lucida Capital Inc., AlphaNorth Asset Management,alongside meaningful participation from our own management team. The Company received conditional approval for the Offering from the TSX Venture Exchange and offering is subject to final approval of the TSXV. All securities issued in connection with the offering will be subject to a statutory hold period of four months from the date of issuance. In connection with the Offering, the Company paid certain qualified finders a cash finder's fee equal to CAD 6,000, being 6% of the gross proceeds raised from subscribers introduced by such finders. Certain Insiders of the Company as such term is defined under the policies of the TSXV purchased an aggregate of 187,500 Shares under the Offering New Risk • May 31
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -CA$2.0m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-CA$2.0m free cash flow). Share price has been highly volatile over the past 3 months (21% average weekly change). Shareholders have been substantially diluted in the past year (420% increase in shares outstanding). Revenue is less than US$1m. Minor Risk Market cap is less than US$100m (CA$29.2m market cap, or US$21.2m). New Risk • Apr 16
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: CA$12.9m (US$9.42m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (20% average weekly change). Shareholders have been substantially diluted in the past year (410% increase in shares outstanding). Revenue is less than US$1m. Market cap is less than US$10m (CA$12.9m market cap, or US$9.42m). 
