/C O R R E C T I O N -- Above Food Ingredients Inc./

Rhea-AI Summary

Above Food Ingredients Inc. (NASDAQ: ABVE) has announced a major strategic joint venture called Palm Promax Investments between Palm Global Technologies and Abu Dhabi's Promax United LLC. The venture launches with $350 billion in U.S. gold-based assets and aims to expand to $1.5 trillion in AA and AAA-rated Real-World Assets. Palm Promax's objectives include creating the world's leading digital fixed-income platform and establishing a globally recognized stablecoin, supported by partnerships with fifteen sovereign nations. Through Palm Global's 30% ownership stake, Above Food will benefit from the joint venture's revenue, earnings, and cash flows. The initiative combines Promax UAE's asset access and Palm Global's AI-driven DeFi ecosystem to transform global finance and strengthen Abu Dhabi's position as a financial hub.

[ "Initial injection of $350 billion in U.S. gold-based assets with plans to expand to $1.5 trillion", "Strategic partnerships with fifteen sovereign nations and central banks", "30% ownership stake providing high-margin revenues, earnings, and cash flows", "Strong backing from UAE's semi-government entities and central bank access", "Integration of valuable real-world assets including gold, infrastructure, and carbon credits" ]

Positive

• None.

Negative

• Complex regulatory environment for cryptocurrencies and digital assets
• Execution risks in implementing large-scale financial technology infrastructure
• Potential challenges in global stablecoin adoption and acceptance

In the news release, Palm Global Partners with Abu Dhabi's Promax United to Transform Global Finance, Creating the World's Largest Portfolio of Real-World Asset-Backed Investment Products, Fixed-Income Funds, and Stablecoins, issued 05-May-2025 by Above Food Ingredients Inc. over PR Newswire, we are advised by the company that the first paragraph has been amended, as well as an additional quote and thirteenth and fourteenth paragraph, as originally issued inadvertently. The complete, corrected release follows:

Palm Global Partners with Abu Dhabi's Promax United to Transform Global Finance, Creating the World's Largest Portfolio of Real-World Asset-Backed Investment Products, Fixed-Income Funds, and Stablecoins

REGINA, SK, May 5, 2025 /PRNewswire/ - Above Food Ingredients Inc. (Nasdaq: ABVE) ("Above Food" and the "Company") has today announced the launch of Palm Promax Investments ("Palm Promax"), a strategic joint venture between Palm Global Technologies ("Palm Global") and Abu Dhabi conglomerate, Promax United LLC ("Promax").

Palm Promax seeks to redefine the global financial landscape through the development of next generation investment products and platforms powered by Palm Global's advanced blockchain, Artificial Intelligence and Web-3 technologies. Its vision is built upon two primary objectives, the creation of the world's leading digital fixed-income platform and the establishment of the world's most globally recognized stablecoin digital asset. Both initiatives are anchored by the tokenization of over $1.5 trillion in AA and AAA-rated Real-World Assets and backed by sovereign partnerships in more than fifteen nations.

Underpinned by Promax UAE's unparalleled access to Real-World Assets and powered by Palm Global's highly scalable AI driven DeFi ecosystem, Palm Promax has launched with an initial injection of approximately $350 billion in U.S. gold-based assets onto the joint venture's balance sheet. These assets serve to securitize and anchor its fixed income platform and stablecoin. Through Palm Global's 30% ownership stake in Palm Promax and its underlying assets, Palm Global will recognize its share of the substantial high-margin revenues, earnings and cash flows generated by the joint venture's operations.

Promax UAE owns a number of semi-government subsidiary companies, which provide strategic financial access through their direct engagement with central banks globally. This is expected to facilitate the widespread adoption of Palm Promax's gold-backed stablecoin. With more than fifteen sovereign partnerships already committed to the project, the stablecoin is also designed to address challenges faced by nations whose domestic currencies are not widely accepted for international trade, providing a viable solution to facilitate global commerce.

Chairman of Palm Global, Peter Knez, commented: "As the global financial landscape undergoes a seismic shift and the digital world enters a new paradigm, with the United States and other nations introducing regulatory frameworks and strengthening oversight of cryptocurrencies and tokenization, investor confidence in digital assets continues to grow.

Meanwhile, trillions of dollars in private assets, gold, real estate, infrastructure remain trapped in illiquidity, inaccessible to investors and undervalued by markets. With Palm Promax's unique combination of institutional expertise, highly scalable artificial intelligence and cutting-edge blockchain technologies, we are poised to unlock this vast potential, not merely as participants in the financial transformation but to lead as its architects.

I am thrilled that, through our partnership with Promax UAE, Palm Promax is positioned to become the world's leading provider of tokenized asset-backed fixed-income funds, stablecoins, and investment platforms. With assets collateralized by gold, AA- and AAA-rated instruments, distinguished by strong histories of positive cash flow, our products and platforms will gain global recognition, enabling us to compete directly with government treasuries and bonds while offering competitive yields. This, I believe, will be truly transformative for the fixed-income investment market and the broader financial sector.

Our distinct advantages have already attracted the support of numerous sovereign wealth funds and central banks, including our esteemed partner, the Central Bank of the UAE. As part of our strategic vision, we are set to launch what we anticipate will be the world's largest asset-backed stablecoin. This initiative is designed to empower developing economies, including the fifteen African nations we are already working with, by providing a currency that is freely tradable and globally accepted, significantly strengthening their economic standing.

Beyond conventional assets, Palm Promax is pioneering the valuation of nature itself. Carbon credits, biodiversity reserves, AgTech and ecosystem services will soon be integrated into our platform, because true sustainability must align profitability with planetary stewardship. Tokenization is not merely a financial innovation; it is a catalyst for redefining how the world invests in its future."

His Excellency Louai Mohamed Ali, Group President of Promax United LLC, commented: "We are thrilled to partner with Palm Global, bringing together all the essential elements to establish a universally recognized, world-leading fixed-income platform, a ubiquitous digital currency, and an unrivaled position as the global leader in the tokenization of real-world assets.

It has been many years since Peter was at the forefront of the ETF industry at Barclays and BlackRock, helping to shape what is now a $14 trillion market. Today, with Palm Promax, we stand at the precipice of an even greater financial evolution. We are poised to introduce a portfolio of products that will not only surpass this achievement but redefine the investment landscape, with our tokenized, real-world asset-backed funds, products, and stablecoin at its core.

The integration of hundreds of billions of dollars in U.S. and UAE-based assets, with plans to expand to over $1.5 trillion, combined with Palm Global's cutting-edge technology and exceptional leadership team, led by Peter, presents an extraordinary opportunity. This initiative will not only propel Palm Promax to the forefront of the financial industry but also solidify Abu Dhabi's position as one of the world's most influential financial hubs."

Lionel Kambeitz, Chairman and CEO of Above Food Ingredients commented: "We were proud to witness and be part of this launch last week in Abu Dhabi in the presence of very esteemed company. There is no doubt that Above Food's acquisition of Palm Global will significantly enhance shareholder value.

We are very excited about the magnitude of this deal and its contribution to our balance sheet, and what this clearly means to the future of the company. We are very much looking forward to working with our new partners on this transformational journey, and for the benefit of all our shareholders.

About Above Food

Above Food Corp. is a differentiated, regenerative ingredient company that produces products made with real nutritious, flavorful ingredients and delivered with transparency. Above Food's vision is to create a sustainable healthier world — one seed, one field, and one bite at a time. With a robust chain of custody of plant proteins, enabled by scaled operations and infrastructure in primary agriculture and processing, Above Food delivers nutritious food ingredients to businesses and consumers with traceability and sustainability.

About Promax United Investments and Preferred Partners

Promax United Investments with extensive global network of government, semi-government, and institutional partnerships unlocking access to high-value strategic assets and advanced infrastructure technologies. Spearheads the digital transformation in finance, offering comprehensive solutions, a diverse investment portfolio, and strategic partnerships that promote collaboration and mutual success. It's strategic positioning aligns with Abu Dhabi Economic Vision 2030, placing the United Arab Emirates at the forefront of evolving market dynamics and progressive industry trends. Promax creates a sustainable business model that prioritize both financial success and social impact, paving the way for a future where profit and purpose harmoniously drive positive change. Promax United website is available at: www.promaxunited.com

About Palm Global

Palm Global is a next-generation innovator in digital financial products and platforms, asset tokenization, super-apps, AgTech, and sustainability, operating out of San Francisco, Dubai, Hong Kong, and Singapore. Utilizing AI, blockchain, and decentralized finance (DeFi) technologies, Palm Global delivers highly scalable solutions that drive economic empowerment and financial inclusion for all.

As part of its offering, Palm Global's AgTech division serves millions of farmers across Africa, Southeast Asia, and the Americas, facilitating access to credit, insurance, and advanced agricultural technologies through its platforms and super-apps, driving sustainable growth and food security at scale.

Through strategic partnerships with governments, global institutions, and NGOs, Palm Global is accelerating the adoption of digital solutions that transform global agriculture and strengthen financial resilience in underserved markets. The Palm Global website is available at www.palmglobal.ai

Cautionary Statements

This press release contains certain forward-looking information and forward-looking statements within the meaning of applicable securities laws (collectively "forward-looking information"), which are based on Above Food's and Palm Global's current internal expectations, estimates, projections, assumptions and beliefs. The use of any of the words "believe", "estimate", "anticipate", "expect", "plan", "predict", "outlook", "target", "project", "plan", "may", "could", "will", "shall", "should", "intend", "potential", "seek", "future", "outlook" and similar expressions that predict or indicate future events or trends or events that are not statements of historical matters are intended to identify forward-looking information. Forward-looking information in this press release includes, but is not limited to: statements regarding the anticipated benefits of the acquisition, particularly that the acquisition will offer certain advantages to Above Food's shareholders and its business as a whole; the expectation that following completion of the acquisition, the Above Food's shareholders and Palm Global's shareholders will continue to participate in the upside of the combined company; and statements regarding estimates and forecasts of financial and performance metrics and projections of market opportunity. Forward-looking information is not intended to serve as, and must not be relied on by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability.

Above Food and Palm Global currently believe the expectations reflected in the forward-looking information in this press release are reasonable, but no assurance can be given that these expectations will prove to be correct, and readers should not place undue reliance on such forward-looking information. The forward-looking information in this press release is subject to a number of known and unknown risks and uncertainties that could cause actual events or results to differ materially, including, but not limited to: (i) changes in domestic and foreign business, market, financial, political and legal conditions; (ii) the expected benefits of the acquisition are not obtained; (iii) the ability to meet stock exchange listing standards following the consummation of the acquisition; (v) the risk that the acquisition disrupts current plans and operations of Above Food as a result of the consummation of the acquisition; (vi) failure to realize the anticipated benefits of the acquisition, which may be affected by, among other things, competition, the ability of the combined company to grow and manage growth profitably, maintain relationships with customers and suppliers and retain its management and key employees; (vii) costs related to the acquisition; (viii) changes in applicable law or regulations; (ix) risks relating to the stewardship of Above Food by a newly appointed chairman and CEO; * the outcome of any legal proceedings that may be instituted against Palm Global or Above Food; (xi) the effects of competition on Above Food's future business; (xii) the ability of Palm Global or the combined company to issue equity or equity-linked securities or obtain debt financing; (xiii) the enforceability of Above Food's intellectual property rights, including its copyrights, patents, trademarks and trade secrets, and the potential infringement on the intellectual property rights of others; and (xiv) Above Food's ability to execute its planned acquisition strategy, including to successfully integrate completed acquisitions and realize anticipated synergies. If any of these risks materialize or our assumptions prove incorrect, actual results could differ materially from the results implied by the forward-looking information. There may be additional risks that Above Food does not presently know or that Above Food currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking information.

In addition, forward-looking information reflects Above Food's expectations, plans or forecasts of future events and views as of the date of this press release. Above Food anticipates that subsequent events and developments may cause Above Food's assessments to change. However, while Above Food may elect to update the forward-looking information at some point in the future, Above Food specifically disclaims any obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Nothing in this press release should be regarded as a representation by any person that the forward-looking information set forth herein will be achieved or that any of the contemplated results of such forward-looking information will be achieved. Accordingly, undue reliance should not be placed upon the forward-looking information. The forward-looking information contained herein is expressly qualified in its entirety by this cautionary statement.

Additional Information and Where to Find It:

INVESTORS AND SECURITY HOLDERS OF ABOVE FOOD ARE URGED TO READ THE DOCUMENTS FILED WITH THE SEC, CAREFULLY AND IN THEIR ENTIRETY BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT ABOVE FOOD. Investors and security holders will be able to obtain free copies of the documents filed with the SEC by Above Food through the website maintained by the SEC at http://www.sec.gov. Copies of the documents filed with the SEC by Above Food will also be available free of charge on Above Food's website at https://abovefood.com or by contacting Above Food's Investor Relations Department at 2305 Victoria Ave #001, Regina, Saskatchewan, Canada, S4P 0S7.

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SOURCE Above Food Ingredients Inc.

FAQ

What is the value of Palm Promax's initial asset base and target expansion?

Palm Promax launches with $350 billion in U.S. gold-based assets and plans to expand to over $1.5 trillion in AA and AAA-rated Real-World Assets.

How will Above Food (ABVE) benefit from the Palm Promax joint venture?

Above Food will benefit through Palm Global's 30% ownership stake in Palm Promax, which will provide high-margin revenues, earnings, and cash flows from the joint venture's operations.

What are the main objectives of the Palm Promax joint venture?

The joint venture aims to create the world's leading digital fixed-income platform and establish a globally recognized stablecoin, backed by real-world assets and sovereign partnerships.

How many sovereign partnerships has Palm Promax secured?

Palm Promax has secured partnerships with more than fifteen sovereign nations, including African nations, to support its stablecoin initiative.

What types of assets will Palm Promax incorporate into its platform?

Palm Promax will incorporate gold, AA and AAA-rated assets, carbon credits, biodiversity reserves, AgTech, and ecosystem services into its platform.