QSE Renews Enterprise Agreement with The Muthoot Group in India Covering Approximately 14,000 User Licenses

Rhea-AI Summary

Quantum Secure Encryption (OTCQB: QSEGF) renewed an enterprise agreement with The Muthoot Group in India covering approximately 14,000 user licenses. The renewal has been executed and invoiced and reinforces QSE's India market focus and post-quantum readiness strategy. QSE says expansion talks for more licenses, modules, and potential multi-year alignment will continue through 2026, with further updates expected in Q2–Q3 2026.

Positive

• 14,000 user licenses renewed, confirming a large active enterprise deployment
• Renewal has been executed and invoiced, indicating near-term commercial recognition
• Reinforces India market strategy and presence in regulated financial services
• Ongoing discussions for expanded licenses and services create potential revenue upside in 2026

Negative

• None.

Vancouver, British Columbia--(Newsfile Corp. - February 5, 2026) - QSE - Quantum Secure Encryption Corp. (CSE: QSE) (OTCQB: QSEGF) (FSE: VN80) (the "Company" or "QSE") is pleased to announce the renewal of its enterprise customer agreement in India with The Muthoot Group ("Muthoot"), one of the country's largest and most established financial services organizations.

The renewal supports QSE's strategy of strengthening its presence in the Indian market while continuing to expand the Company's footprint within highly regulated financial services environments. The agreement covers approximately 14,000 user licenses (seats), representing a significant active enterprise deployment of QSE's secure access and post-quantum readiness platform.

Investor Highlights

• India market focus: Renewal reinforces QSE's long-term strategy to deepen its presence in India

• Enterprise-scale deployment: Approximately 14,000 user licenses under the renewed agreement

• Institutional validation: Continued adoption by a leading security-sensitive financial services organization

• Expansion potential: Ongoing discussions regarding extended contract duration, broader deployment scope, and additional platform services

Renewal Strengthens QSE's Position in India's Financial Sector

Muthoot is widely recognized as one of India's leading financial services organizations, with a longstanding national presence and extensive customer reach. The continued use of QSE's platform at this scale reflects the growing importance of secure access, encryption readiness, and post-quantum security planning across highly regulated industries.

The renewed agreement has been executed and invoiced, with commercial terms structured to evolve over time as deployment requirements expand and additional service capabilities are introduced.

Deployment Scope and Expansion Path

The renewal maintains an enterprise footprint of approximately 14,000 user licenses across the organization.

QSE intends to continue discussions throughout 2026 regarding potential future extensions, including:

• Increased license volumes across the organization

• Adoption of additional QSE platform modules

• Expanded services aligned with a longer-term post-quantum security roadmap

• Potential multi-year contract alignment

The Company anticipates providing further updates as these discussions progress through the second and third quarters of 2026, as appropriate.

Management Commentary

"This renewal, covering approximately 14,000 user licenses, represents an important milestone as we continue to strengthen QSE's presence in the Indian market," said Ted Carefoot, CEO of QSE.

"Muthoot's scale and reputation underscore the trust placed in our platform by large, security-sensitive institutions. We view this renewal as a strong foundation for continued expansion-both within this enterprise deployment and as we build broader market awareness and momentum across India."

Strategic Importance: Platform Expansion Opportunity

This renewal aligns with QSE's commercialization approach, where secure access deployments serve as a foundation for broader platform adoption over time.

As customer requirements evolve, QSE may explore opportunities to introduce additional post-quantum security services, including:

• Quantum preparedness and assessment services

• Modular entropy and key delivery capabilities

• Secure workflow integrations through QSE platform APIs

These expansion pathways represent potential opportunities to increase contract value over the life of the customer relationship.

About QSE - Quantum Secure Encryption Corp.

QSE - Quantum Secure Encryption Corp. is a Canadian technology company specializing in post-quantum data security, encryption, and secure data infrastructure. Built around quantum-delivered entropy and zero-knowledge architecture, QSE's solutions help protect sensitive data from current cyber threats and future quantum-enabled attacks. QSE serves organizations across commercial, enterprise, and public-sector environments requiring long-term data confidentiality and resilience.

For more information on QSE's quantum security solutions, visit www.qse.group or contact sales@qse.group

Contact Information

Ted Carefoot
Chief Executive Officer
QSE - Quantum Secure Encryption Corp

Email: ted@qse.group
Website: www.qse.group

Cautionary Note Regarding Forward-Looking Statements

This news release contains forward-looking statements that constitute forward-looking information (collectively, "forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements in this news release that are not purely historical statements of fact are forward-looking statements and include statements regarding beliefs, plans, expectations, future, strategy, objectives, goals and targets, and more specifically, the use of proceeds of the Offering. Although the Company believes that such statements are reasonable and reflect expectations of future developments and other factors which management believes to be reasonable and relevant, the Company can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: "believes", "expects", "aim", "anticipates", "intends", "estimates", "plans", "may", "should", "would", "will", "potential", "scheduled" or variations of such words and phrases and similar expressions, which, by their nature, refer to future events or results that may, could, would, might or will occur or be taken or achieved. Forward-looking statements involve known and unknown risks and are based on assumptions and analyses made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, including, but not limited to, those risks and assumptions described in the Company's latest management discussion and analysis, a copy of which is available under the Company's profile on SEDAR+ at www.sedarplus.ca. While Scope considers these assumptions to be reasonable, based on information currently available, they may prove to be incorrect. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date of this press release. In addition, forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions, continued satisfaction of Canadian Securities Exchange requirements, product safety and recalls, regulatory compliance and risks associated with the Company's business. Forward-looking statements are made as of the date of this news release and, unless required by applicable law, the Company assumes no obligation to update the forward looking statements or to update the reasons why actual results could differ from those projected in these forward-looking statements. All forward-looking statements are qualified in their entirety by this cautionary statement.

The Canadian Securities Exchange has in no way passed upon the merits of the business of the Company and has neither approved nor disapproved the contents of this news release and accepts no responsibility for the adequacy or accuracy hereof.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/282811

FAQ

What does the QSEGF renewal with The Muthoot Group cover?

It covers approximately 14,000 user licenses, executed and invoiced. According to the company, this maintains a large enterprise footprint and supports QSE's post-quantum and secure access platform adoption in India.

How does the QSEGF renewal affect QSE's presence in India?

The renewal strengthens QSE's India market focus and institutional validation. According to the company, continued adoption by a major financial services group supports broader commercialization and market momentum.

Are there plans to expand the QSEGF agreement with Muthoot in 2026?

Yes, QSE is pursuing expanded license volumes and additional modules through 2026. According to the company, discussions target multi-year alignment and added services with updates expected in Q2–Q3 2026.

Was the Muthoot renewal invoiced and commercially finalized for QSEGF?

Yes, the renewal has been executed and invoiced, reflecting immediate commercialization. According to the company, commercial terms are structured to evolve as deployment requirements expand.

What future services might QSEGF offer under the renewed Muthoot agreement?

Potential services include quantum preparedness, modular entropy/key delivery, and secure workflow integrations. According to the company, these are expansion pathways tied to the customer's evolving post-quantum security needs.