• Binding commitments received to raise A$2.4m via Loan Note issue
• Funds to be used for inventory build, capex, and working capital
• Convertible Notes to be approved by shareholders

Peak Processing Limited (ASX:PKP), a leading manufacturer of THC-infused beverages, has received binding commitments from sophisticated and professional investors to raise A$2.4 million (before costs) via the issue of unsecured Loan Notes. The Capital Raise provides the working capital and inventory funding to deliver on the Company's contracted Q4 FY26 production volumes following the operational and management reset executed under new management. Following the conversion of the Notes, the Company is expected to have a positive working capital position for the first time in recent reporting periods. The Capital Raise follows the Q3 FY26 quarterly activities and cashflow reports, in which the Company reported ~1m beverage units produced, 99.95% OTIF performance, and an upgraded Q4 FY26 production forecast of ~1.5m beverage units (+50% QoQ) underpinned by confirmed customer purchase orders. The funds will be used for inventory build to deliver the ~1.5m beverage units of confirmed Q4 FY26 production, accretive capex initiatives across the Windsor, Ontario facility, and general working capital. The financial reset is now complete, with A$2.25m in annualised cost savings, the CRA payable reduced, and the balance sheet repositioned to support the contracted Q4 FY26 production ramp. High-conviction investment specialist Powerhouse Ventures (ASX: PVL) acted as sole lead manager and was a cornerstone investor.

The Company has forecast ~1.5m beverage units of production in Q4 FY26, representing a 50% increase quarter-on-quarter.

The successful capital raise provides the inventory, working capital, and capex funding required to execute on the Company's contracted Q4 FY26 production volumes and continue building the US operating footprint.