THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY THE COMPANY TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION(EU) NO. 596/2014, AS AMENDED WHICH, BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018, FORMS PART OF UK LAW. ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE ("RIS"), THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

Sealand Capital Galaxy Limited

("Sealand" or the "Company")

EXERCISE OF CONVERTIBLE LOAN NOTE ("CLN") OPTION WITH EVOO AI PLC

Sealand Capital Galaxy Limited [LSE: SCGL] ("Sealand" or the "Company"), an IT, Social Media & Technology company focused on consolidating compelling technology opportunities in the global marketplace, is pleased to announce that further to the CLN & Partnership agreement entered with EVOO AI PLC ("EVOO") on 10^th January 2025 that can be viewed here the Company has exercised its option under the Convertible Loan Note Agreement to extend a further £100,000 under the terms entered.

Chief Executive Officer, Dr. Thomas Sawyer commented,

"It continues to be an active and busy start to 2025 as the Company works on driving value through progressing exciting opportunities and generating value across our portfolio businesses. We continue to proactively work with the EVOO team, with the recent launch of SEA-VOO representing a promising opportunity for our APAC business interests at a time when the competitive landscape for the utilisation of large language AI models has been positively impacted by the launch of DeepSeek AI.

Our decision to extend EVOO further capital under the CLN structure entered into earlier this month signifies our commitment to the working partnership and a belief in the future value that this can bring. The immense global interest in AI and related generative models is providing huge opportunity to leverage these in real-world, impactful business models. However, this ease of access also brings a risk of oversaturation in crowded marketplaces that may struggle to create material brand identities. EVOO's expertise and positioning in a unique marketplace for luxury goods that, if executed effectively, will consolidate e-commerce and social media to add genuine value using this creative technology. These are important themes that we are committed to delivering on, and the Sealand team and I look forward to providing further updates."

Terms of the CLN & Partnership Agreement with EVOO AI plc

EVOO AI PLC is a proprietary data platform with specialized AI learning models tailored to drive meaningful commercial and consumer insights in the luxury goods sector. Integrating proprietary, open-source, and partner AI models, the platform delivers in-depth, actionable intelligence on market trends and consumer behaviours. These insights are primarily derived from applications targeted at consumers, retailers, and brands. Its flagship application, Olive, is a luxury e-commerce marketplace that features influencer-curated boutiques, offering consumers a personalized shopping experience.

The total principal amount of the loan facility is £300,000, to be advanced in two separate tranches as follows:

·    Tranche 1: £200,000 - to be advanced on or before 30 days from the date of this instrument.

·    Tranche 2: £100,000 - to be advanced at the election of the Lender, but on or before 60 days from the date of this instrument.

Interest (Coupon): Interest shall accrue on each Tranche at a fixed rate of 12% over the course of the 18-month term of each Tranche. The full amount of interest for each Tranche shall be rolled-up immediately upon advancement of the respective Tranche. The rolled-up interest shall be payable upon the Maturity Date of each Tranche, or upon conversion into shares, whichever event occurs.

Structural Fee: In consideration of the Loan Notes, the Lender shall receive 1,000,000 Share Purchase Warrants with an exercise price of €0.06 per share and a life to expiry of 5 (five) years from the date of grant. Should the Company complete an Initial Public Offering (IPO) at a price lower than €0.06 per share, the exercise price of the Share Purchase Warrants shall be adjusted to match the IPO price per share.

Conditions Attaching: No shares in the Company shall be issued other than in the following circumstances:

·    With the prior written consent of the Lender; or

·    The issuance of shares in connection with the Company's IPO under an IPO Subscription-Receipts agreement.

The Loan Notes are issued subject to, and benefit from, the endorsed conditions, which are duly incorporated into this certificate.

Terms of Conversion:

·     The Lender shall have the right, at any time prior to the Maturity Date, to convert all outstanding sums, including interest, into ordinary shares of the Company. The conversion price per share shall be the lower of (i) €0.03, or (ii) a 50% discount to the IPO price.

·     All notes elected for conversion, shall be converted into ordinary shares of the Company, ranking pari passu with existing ordinary shares. Each conversion share will have an attaching share purchase warrant, with a strike price the lower of (i) €0.09, or (ii) a 50% premium to the IPO price. The share purchase warrant shall have a life to expiry of 3 (three) years from the date of admission of the conversion shares to trading on a recognised stock exchange.

·     Replacement Warrant Entitlement: Should the Lender elect to exercise their share purchase warrants in whole or in part within 6 (six) months from the date of grant, the Lender shall be entitled to receive 1 (one) replacement warrant for every 2 (two) share purchase warrants exercised. The replacement warrants shall have the a strike price of €0.12, or (ii) a 100% premium to the IPO price, and shall have a life to expiry of 3 (three) years from the date of admission of the conversion share purchase warrants to trading on a recognised stock exchange.

·     Triggering Event and Forced Conversion: In the event that the Borrower completes a Triggering Event, which includes an Initial Public Offering (IPO), Reverse Takeover (RTO), or any Go-Public Transaction, prior to the Maturity Date, the Lender shall be subject to a mandatory conversion of all outstanding sums, including Principal, Accrued Interest, and any applicable fees (e.g. Structural Fee). The conversion shall be executed in accordance with the terms set out in Clause 5 at the lower of €0.03 or a 50% discount to the IPO price, with all converted shares ranking pari passu with the Borrower's ordinary shares.

Co-Investment Rights

The Lender's Co-Investment Rights, as detailed below, will be subject to a separate co-investment agreement, which shall come into effect upon the conversion of Tranche 1 or Tranche 2 of the Convertible Loan Note (CLN) into equity of the Borrower.

·     Right of First Refusal: In the event that the Lender converts Tranche 1 or 2, or both Tranches, into equity of the Borrower, the Lender shall be granted a 3-year right of first refusal to co-invest alongside the Borrower in all future investment opportunities.

·     Duration of Co-Investment Agreement: The Co-Investment Agreement shall commence upon the Lender's conversion of Tranche 1 or Tranche 2 into equity of the Borrower and shall remain in effect for 3-years, providing the Lender with the right to participate in all future investment opportunities undertaken by the Borrower.

·     Participation Terms: The Lender shall have a period of 30 days to exercise its right of first refusal and participate on the same terms and conditions as the Borrower in any future investment opportunities. During this period, the Borrower shall provide all relevant documentation and terms of the investment to the Lender.

·     Limited Participation Right:  The Lender's right to participate in future investment opportunities shall be limited to a maximum of 50% of each investment opportunity, unless otherwise agreed in writing by both the Lender and the Borrower. Any capital restrictions imposed by the investee company seeking to raise funds will also apply.

·     Penalty for Breach: Should the Borrower fail to comply with the terms of the Co-Investment Agreement, the Borrower shall assign 90% of its position in the relevant investee company to the Lender. Additionally, the Borrower shall incur a penalty cost of £100,000 for failing to disclose or adhere to the Co-Investment Agreement.

Total Voting Rights

Further to the Company's announcement of 11 September 2024, an application has been made for 31,000,000 ordinary shares to be admitted to trading on the Transition Category of the London Stock Exchange plc ("Admission"). It is expected that Admission will become effective on or around 8.00 a.m. on 4 February 2025.

For the purposes of the Financial Conduct Authority's Disclosure and Transparency the Company announces that, as of 31 January 2025, the Company's total issued share capital consists of 866,905,989 ordinary shares, with one voting right per share.

The total number of voting rights in the Company is therefore 866,905,989.

This figure of 866,905,989 ordinary shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018 (as amended).

-Ends-

Enquiries:

Sealand Capital Galaxy Limited

Dr. Thomas Sawyer (Chief Executive Officer)

Ms. Elena Law (Chairwoman)

Mr. Geoffrey Griggs (Non-Executive Director)

Bowsprit Partners Limited (Financial Adviser)                              +44 (0) 203 833 4430

Stockbox Media (PR/IR)

[email protected]

Notes to Editors:

The Company's Shares are traded on the transition category of the London Stock Exchange under the ticker LSE: SCGL

Further information on Sealand Capital Galaxy Limited is available on its www.sealandcapitalgalaxy.com