Carebook Technologies Inc. announced it has renewed and amended its existing senior credit facilities with a leading Canadian Schedule I bank (the "Lender"), effective as of October 19, 2023 (the "Renewal Date"). Under the amendment, the Lender has agreed to (i) continue providing the Company with a CAD 3 million revolving facility (the "Revolving Facility") and (ii) be subrogated to all rights of its affiliate regarding a CAD 1.4 million non-revolving term loan facility (the "Term Loan Facility" and together with the Revolving Facility, the "Credit Facilities"). Moreover, the maturity date of Credit Facilities has been extended until September 30, 2024 (the "Maturity Date").

Beginning on the Renewal Date, the applicable margin on the Revolving Facility has been decreased to 5.8% over prime, and the applicable margin on the Term Loan Facility has been decreased to 5.3% over prime. Applicable margins under both facilities are subject to additional reductions should the Company complete an additional capital raise for aggregate minimum gross proceeds equal to $2.0 Million on or before the Maturity Date. The Term Loan Facility is subject to mandatory monthly prepayments of CAD 50,000 on the 15(th) of each month, commencing on November15(th), 2023, such that the Term Loan Facility will be reduced to $0.8 million by the Maturity Date.

As at the date hereof, the Term Loan Facility has been fully drawn and the Company may not borrow any other borrowings under the Term Loan Facility. The Credit Facilities are subject to new financial covenants, where the Company must maintain a minimum cash runway and demonstrate minimum revenue growth. The Credit Facilities continues to be secured by a first-ranking security interest in all of the present and future property and assets of the Company and certain of its subsidiaries.