INEO Issues Notice of Material Breach to Bon Intelligence and Terminates Reseller Agreement

Rhea-AI Summary

INEO Tech Corp (TSXV: INEO / OTCQB: INEOF) delivered a formal notice of material breach to Bon Intelligence under a May 27, 2025 license agreement, citing missed payment and reporting obligations, and demanded cure within contractual periods.

INEO Solutions also terminated a January 30, 2025 reseller agreement effective immediately and said Bon must cease reseller representations. The company noted $206,625 of revenue recognized in Q4 2025 tied to the Bon arrangement that may be written off or adjusted pending audit review.

Positive

• Reseller agreement terminated effective immediately
• Company asserted contractual rights to enforce remedies

Negative

• Potential write-off of $206,625 revenue from Bon agreement
• License agreement may be terminated if breaches are not cured
• Bon allegedly failed to meet payment and reporting obligations

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Surrey, British Columbia--(Newsfile Corp. - January 21, 2026) - INEO Tech Corp. (TSXV: INEO) (OTCQB: INEOF) (the "Company" or "INEO"), a technology leader at the intersection of in-store retail media and loss prevention, announces that its wholly owned subsidiary, INEO Solutions Inc. ("INEO Solutions"), has delivered a formal notice of material breach (the "Notice") to Bon Intelligence Inc. ("Bon") under the license agreement between INEO Solutions and Bon dated May 27, 2025 (the "License Agreement").

The Notice identifies multiple material breaches of the License Agreement. These include, among other things, failure to meet payment and reporting obligations.

INEO Solutions has demanded that Bon remedy the identified breaches within the applicable contractual cure periods. If Bon fails to cure the breaches within those cure periods, INEO Solutions intends to proceed promptly with termination of the License Agreement and will pursue all other rights and remedies available under the License Agreement and at law.

There can be no assurance that Bon will cure the breaches identified in the Notice or that the License Agreement will continue in effect. The Company is assessing the accounting impact of these matters and based on its preliminary review, notes that $206,625 of revenue was recognized in the quarter ended June 30, 2025 in connection with the Bon agreement. This revenue may be subject to write-off or other adjustment, depending on the outcome of the Company's review and discussions with its auditors.

Separately, INEO Solutions has delivered notice terminating the reseller agreement between INEO Solutions and Bon dated January 30, 2025 (the "Reseller Agreement"), effective immediately pursuant to INEO Solutions' contractual rights. As a result, Bon is no longer authorized to market, sell, distribute or represent itself as a reseller, distributor or agent for INEO products or services. INEO Solutions has also demanded that Bon cease any such representations immediately.

INEO Tech Corp.

Per: "Kyle Hall"

Kyle Hall, Chief Executive Officer and Director

About INEO Tech Corp. (TSXV: INEO) (OTCQB: INEOF)

INEO Tech Corp. builds technology at the intersection of in-store retail media and loss prevention. Through its wholly owned subsidiary INEO Solutions Inc., the company operates the INEO Media Network, a digital signage and retail analytics platform, and INEO Retail Media, which sells and manages advertising across in-store screens. INEO's patented integration of Electronic Article Surveillance (EAS) pedestals with digital displays helps retailers reduce theft while generating incremental media revenue from the same footprint. INEO is headquartered in Surrey, British Columbia, Canada, and is publicly traded on the TSX Venture Exchange (INEO) and the OTCQB (INEOF).

Websites: www.ineosolutionsinc.com
www.ineoretailmedia.com

LinkedIn: www.linkedin.com/company/ineosolutions

Forward-Looking Statements

This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events or results to differ materially from current expectations. Forward-looking statements in this news release include statements regarding INEO's intentions with respect to enforcement of its contractual rights, including potential termination of the License Agreement if the identified breaches are not cured within the applicable cure periods. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this news release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For further information:

Kyle Hall
CEO, INEO Tech Corp.
604-244-1895
investor@ineosolutionsinc.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/281081

FAQ

What did INEOF announce about the Bon Intelligence license on April 29, 2026?

INEO issued a formal notice of material breach to Bon Intelligence. According to the company, breaches include alleged failures to meet payment and reporting obligations and a cure period was demanded.

Has INEO terminated its reseller agreement with Bon Intelligence (INEOF)?

Yes. INEO Solutions terminated the reseller agreement effective immediately. According to the company, Bon is no longer authorized to market or represent INEO products or services.

Will INEO write off revenue tied to the Bon Intelligence agreements (INEOF)?

INEO said $206,625 recognized in the quarter ended June 30, 2025 may be written off or adjusted. According to the company, the outcome depends on its review and auditor discussions.

What happens if Bon Intelligence fails to cure the breaches under the INEOF license?

INEO intends to terminate the license and pursue contractual and legal remedies. According to the company, termination will proceed promptly if breaches are not cured within cure periods.

How is INEO assessing the financial impact of the Bon dispute for INEOF shareholders?

The company is assessing accounting impact and discussing with auditors. According to the company, adjustments or write-offs could follow based on that review and its findings.