Scope Technologies Acquires Cloud Codes Expanding Authentication and Storage Ecosystem

Rhea-AI Summary

Scope Technologies (OTCQB: SCPCF) has acquired Cloud Codes from Plurilock Security Inc. for CAD $1.78 million, paid through CAD $100,000 cash and 4.2 million shares at $0.40 per share. Cloud Codes, founded in 2011, is an Indian corporation specializing in Single Sign-On (SSO) and distributed storage solutions.

Cloud Codes serves 270 business clients with 88,000 end-users globally, generating annual revenues of CAD $673,012 (2025) and net income of CAD $228,131. The company will be rebranded under the QSE Group ecosystem and integrated into Scope's quantum-secure infrastructure, focusing on regulated enterprises, banking, and healthcare sectors.

Positive

• None.

Negative

• Share dilution through issuance of 4.2 million new shares for the acquisition
• Revenue decline from CAD $723,487 in 2024 to CAD $673,012 in 2025 (-7%)

VANCOUVER, BC, Sept. 10, 2025 /PRNewswire/ -- Scope Technologies Corp. (CSE: SCPE) (OTCQB: SCPCF) (FSE: VN8) ("Scope Technologies" or the "Company") has acquired Plurilock Security Private Limited ("Cloud Codes"), an Indian corporation that operates the "Cloud Codes", pursuant to the terms of an asset purchase agreement (the "Agreement") with Plurilock Security Inc., being a company listed TSX Venture Exchange.  Cloud Codes was found in 2011 and has a proven track record in secure Single Sign-On ("SSO") and distributed storage solutions.

Highlights of the Acquisition:

• Cloud Codes currently supports 270 business clients and 88,000 end-users.
• Global user base consisting of 80% in India, 13% in Europe and 7% in the United States.
• Annual revenues (unaudited) of CAD $673,012 (2025) and CAD $723,487 (2024).
• Net Income (unaudited) of CAD $228,131 (2025).
• Cloud Codes will be rebranded under the QSE Group ecosystem.

The Cloud Codes acquisition is immediately accretive to Scope Technologies as it adds revenue to the operations of Scope Technologies and the Cloud Codes' middleware will become the centerpiece of QSE's decentralized cloud backbone.

Terms of Transaction

Under the terms of the Agreement, Scope Technologies acquired Cloud Codes including any other "Cloud Codes" assets owned by Plurilock.  In consideration of the foregoing, the Company paid Plurilock CAD $100,000 and issued a total of 4,200,000 common shares to Plurilock (the "Consideration Shares") at a deemed price of $0.40 per share.  The total consideration for Cloud Codes is CAD $1,780,000.

The Consideration Shares are subject to a restriction on resale for a period of four months from the date of issue.

Integration Plans of Cloud Codes

Scope Technologies plans to rebrand the Cloud Codes platform under the QSE name and prioritized for seamless integration into the QSE product stack.  Future releases are expected to include quantum-secure SSO services bundled with storage offerings, targeting regulated enterprises, banking, healthcare, and organizations requiring long-term data integrity.

Over the coming months, Scope Technologies intends to provide further updates on enterprise-grade product tiers, compliance certifications, and expanded features such as identity federation, MFA, and cryptographic key rotation tailored for post-quantum assurance.

As NIST ratified quantum-resistant encryption standards (CRYSTALS-Kyber, Dilithium, SPHINCS+) in 2024 and began updating others in 2025–2026, market readiness is accelerating. Meanwhile, leading vendors are embedding post-quantum cryptography into Zero-Trust and VPN products, highlighting the urgent need for quantum-safe identity management solutions.

Scope Technologies' planned vertical ownership of both quantum-secure infrastructure and identity lifecycle management would position it ahead of traditional SSO vendors and among the first enterprises offering lag-free, post-quantum authentication at scale.

About Scope Technologies

Scope Technologies is a leader in quantum-secure infrastructure, specializing in protecting sensitive data with innovations in post-quantum storage and authentication. Through QSE Group, Scope is developing solutions to meet the growing enterprise demand for cryptographic resilience.

About Cloud Codes

Founded in 2011, Cloud Codes has built a strong reputation for delivering secure Single Sign-On (SSO), identity management, and distributed storage solutions for enterprises worldwide. Serving approximately 270 companies and 88,000 users across multiple industries, Cloud Codes provides scalable, high-availability platforms trusted for their flexibility, seamless integration, and compliance with leading global security standards.

LinkedIn: scope-technologies-corp
Facebook: Scope Technologies Corp
Twitter: @ScopeTechCorp

Contact Information:
Ted Carefoot
CEO
Scope Technologies Corp.
Email: ted@scopetech.ai
Phone: +1 604-416-1720
Website: www.scopetechnologies.io, https://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.sedar.com. 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.

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SOURCE Scope Technologies Corp.

FAQ

How much did Scope Technologies (SCPCF) pay for the Cloud Codes acquisition?

Scope Technologies paid CAD $1.78 million total, consisting of CAD $100,000 in cash and 4.2 million shares at $0.40 per share.

What are Cloud Codes' current revenue and user metrics?

Cloud Codes generated CAD $673,012 in revenue (2025) with CAD $228,131 in net income, serving 270 business clients and 88,000 end-users globally.

How will the Cloud Codes acquisition benefit Scope Technologies?

The acquisition is immediately accretive to Scope Technologies, with Cloud Codes' middleware becoming the centerpiece of QSE's decentralized cloud backbone and positioning the company in the quantum-secure authentication market.

What is the geographic distribution of Cloud Codes' user base?

Cloud Codes' user base is distributed across India (80%), Europe (13%), and the United States (7%).

What are Scope Technologies' integration plans for Cloud Codes?

Scope Technologies will rebrand Cloud Codes under the QSE name, integrate it into the QSE product stack, and develop quantum-secure SSO services with storage offerings for regulated enterprises, banking, and healthcare sectors.