MDJM LTD Secures an Aggregate $8.5 Million in Public Offerings to Support Global Animation and Cultural Development

Rhea-AI Summary

MDJM (Nasdaq: UOKA) completed two public offerings in Feb–Mar 2026, raising approximately USD 8.5 million in gross proceeds to fund global animation production and a cultural development at Fernie Castle.

About 50% of the combined funding is earmarked for international animation co-productions with H5 and Abano and continued design work for a Fernie Castle cultural field led by Kengo Kuma and Simpson & Brown.

Positive

• Gross proceeds of approximately $8.5 million from two public offerings
• $6.0 million raised in an upsized public offering closed February 11, 2026
• $2.5 million raised in a registered direct offering closed March 2, 2026
• ~50% of funds allocated to international animation co-productions and Fernie Castle development
• Two animated films in active production targeted for completion by end of 2026

Negative

• Gross proceeds are stated before underwriting, placement agent fees, and offering expenses
• Completed equity financings may dilute existing shareholders depending on final share issuance and allocation

Key Figures

Aggregate offerings: USD 8.5 million Public offering proceeds: USD 6 million Registered direct proceeds: USD 2.5 million +2 more

5 metrics

Aggregate offerings USD 8.5 million Total public offerings in February and March 2026

Public offering proceeds USD 6 million Upsized public offering closed February 11, 2026

Registered direct proceeds USD 2.5 million Registered direct offering completed March 2, 2026

Animation project allocation 50% Estimated share of combined funding for animation and Fernie Castle project

Project completion target End of 2026 Target completion for two animated co-production films

Market Reality Check

Price: $0.0669 Vol: Volume 29,595,020 is 11% ...

normal vol

$0.0669 Last Close

Volume Volume 29,595,020 is 11% above the 20-day average of 26,621,334. normal

Technical Price 0.0669 trades below the 200-day MA of 2.44, reflecting a deeply broken trend.

Peers on Argus

UOKA fell 16.38% while key lodging peers were mixed: SOND -23.96%, GHG -0.73%, S...

UOKA fell 16.38% while key lodging peers were mixed: SOND -23.96%, GHG -0.73%, SHCO -0.11%, CVEO roughly flat. Moves do not show a coordinated sector pattern.

Previous Offering Reports

4 past events · Latest: Feb 27 (Negative)

Same Type Pattern 4 events

Date	Event	Sentiment	Move	Catalyst
Feb 27	Registered direct offering	Negative	-61.9%	Large registered direct equity raise under Form F-3 shelf registration.
Feb 11	Public unit offering	Negative	-15.3%	Closing of upsized $6.0M unit offering including short-term warrants.
Feb 10	Offering pricing	Negative	-72.2%	Pricing of upsized $6.0M unit deal with resettable Series A warrants.
Sep 02	New venue opening	Positive	+0.6%	Opening of themed bar at Robin Hill Hotel to expand cultural hospitality.

Pattern Detected

Offering-related headlines have historically led to sharply negative reactions, with an average move of -37.21% across past offering-tagged events.

Recent Company History

Over the last six months, MDJM has repeatedly tapped equity markets through dilutive offerings, including a $6.0M upsized unit deal in February 2026 and a $2.5M registered direct offering priced on February 27, 2026. These were accompanied by strategic cultural and animation initiatives, such as Fernie Castle developments and new hospitality concepts. Historically, offering-tagged announcements have produced sizeable negative price moves, so the latest funding update continues a pattern of dilution-linked pressure.

Historical Comparison

-37.2% avg move · Past offering-tagged news for UOKA averaged a -37.21% move. The latest offering update with a -16.38...

offering

-37.2%

Average Historical Move offering

Past offering-tagged news for UOKA averaged a -37.21% move. The latest offering update with a -16.38% reaction is directionally consistent but less severe than prior dilution events.

Recent history shows a sequence of equity financings in February 2026, supporting a shift toward cultural IP, animation production, and hospitality projects.

Market Pulse Summary

This announcement details two equity offerings totaling $8.5M to fund international animation co-pro...

Analysis

This announcement details two equity offerings totaling $8.5M to fund international animation co-productions and the Fernie Castle cultural project. Historical data show MDJM has relied on similar financings, including a $6.0M unit deal and a $2.5M registered direct in February 2026. Investors may track execution on animation timelines through the end of 2026 and progress at Fernie Castle to evaluate how effectively this new capital is deployed.

Key Terms

registered direct offering, gross proceeds

2 terms

registered direct offering financial

"On March 2, 2026, the Company completed a registered direct offering, raising..."

A registered direct offering is a way for a company to sell new shares of its stock directly to select investors with regulatory approval. This method allows the company to raise funds quickly and efficiently without needing a public auction, similar to offering exclusive access to a limited number of buyers. For investors, it often provides an opportunity to purchase shares at a favorable price, while giving the company immediate access to capital.

gross proceeds financial

"raising gross proceeds of approximately USD 6 million, before deducting..."

The total amount of cash a company receives from a financing event or sale before any fees, expenses, taxes or deductions are taken out. Investors watch gross proceeds because it shows the raw scale of new capital being raised—think of it as the paycheck amount before withholdings—which helps assess how much funding is available for operations, growth, debt payoff or how much shareholder dilution might occur once costs are removed.

AI-generated analysis. Not financial advice.

LONDON, March 3, 2026 /PRNewswire/ -- MDJM LTD (Nasdaq: UOKA) ("MDJM" or the "Company") announced that it has completed two offerings totaling an aggregate of approximately USD 8.5 million in February and March 2026 to advance its global animation production and cultural infrastructure initiatives.

On February 11, 2026, the Company closed an upsized public offering, raising gross proceeds of approximately USD 6 million, before deducting underwriting discounts and other offering expenses. On March 2, 2026, the Company completed a registered direct offering, raising gross proceeds of approximately  USD 2.5 million, before deducting the placement agent's fees and other estimated offering expenses payable by the Company. An estimated 50% of the combined funding will support international animation collaborations and the continued development of the Company's cultural project centered around Fernie Castle in Scotland.

International Animation Co-Productions with H5 and Abano

A portion of the newly secured capital will be allocated to the co-production of two animated films in collaboration with internationally renowned animation studios H5 (S.A.R.L.) ("H5") and Abano Producións.

Both projects are currently in active production and are targeted for completion by the end of 2026. Upon completion, the Company expects to evaluate international film festival submissions and global distribution opportunities.

H5 is recognized for its work in cross-media digital art and animation, while Abano Producións has participated in international recognized animated productions and festival-screened projects.

Through this collaboration, MDJM seeks to combine innovative storytelling, high artistic standards, and strong global distribution potential, while strategically establishing a long-term ecosystem of proprietary original IP assets.

Development of a Distinctive Cultural Field at Fernie Castle

The offerings will also support the ongoing design and planning of a cultural development project integrating:

• The Fernie Castle Animation Museum
• A Classical Oriental Garden cultural landscape design

The castle and garden are intended to form a cohesive cultural destination combining  heritage architecture, landscape design, and animation-related programming.

This initiative reflects MDJM's long-term vision of building a physical cultural venue that complements its creative and production initiatives.

Design Leadership by Kengo Kuma and Simpson & Brown

The Fernie Castle project involves design collaboration with Kengo Kuma & Associates ("KKAA") and Simpson & Brown LLP ("Simpson & Brown").

KKAA is widely recognized for his human-centered architectural philosophy and his ability to integrate built form with surrounding environment and cultural context. Simpson & Brown brings extensive expertise in heritage architecture and conservation, helping ensure that the project preserves architectural integrity while extending its historical legacy with contemporary cultural functionality.

Together, this collaboration brings together a British medieval castle and a Classical Oriental Garden landscape in a unified cultural setting. The project reflects a cross-temporal and cross-cultural design dialogue, integrating distinct architectural traditions within a cohesive and thoughtfully designed environment..

Under their design direction, the Fernie Castle cultural field is progressing in alignment with MDJM's broader global cultural development strategy.

Advancing A Global Cultural Strategy

The successful offerings reflect confidence in MDJM's strategic direction. The Company is advancing a global cultural development framework that integrates:

• International animation production
• Architectural and landscape-based cultural infrastructure
• Digital cultural initiative
• Cross-border creative collaboration

This integrated approach positions MDJM at the intersection of content creation, cultural space design, and global creative industry development.

Outlook for the Animation Industry

MDJM remains constructive on the long-term growth of the global animation industry. As demand for high-quality storytelling and culturally resonant content continues to expand, the Company believes animation will remain important component of the global creative economy.

The recent capital infusion enhances MDJM's ability to advance its international projects while supporting the development of a sustainable cultural ecosystem focused on creativity and long-term global engagement.

Forward-Looking Statements

This announcement contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Act. All statements other than statements of historical fact in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy, and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions, and include statements regarding anticipated use of proceeds from the offerings, the Company's future operating or financial results; the Company's liquidity; and other factors listed from time to time in the Company's filings with the U.S. Securities and Exchange Commission. The Company undertakes no obligation to update forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company's annual report on Form 20-F and its other filings with the U.S. Securities and Exchange Commission.

Investor Contact

Sherry Zheng
WAVECREST GROUP INC.
Phone: +1 718-213-7386
Email: sherry@wavecrestipo.com

View original content:https://www.prnewswire.com/news-releases/mdjm-ltd-secures-an-aggregate-8-5-million-in-public-offerings-to-support--global-animation-and-cultural-development-302702405.html

SOURCE MDJM LTD

FAQ

How much capital did MDJM (UOKA) raise in the February–March 2026 offerings?

MDJM raised approximately USD 8.5 million in aggregate gross proceeds from two offerings. According to the company, the amount includes about $6.0 million from an upsized public offering and $2.5 million from a registered direct offering.

What will MDJM (UOKA) use the $8.5 million raised in March 2026 for?

The company will allocate roughly 50% of proceeds to international animation projects and Fernie Castle development. According to the company, funds support two co-productions and ongoing design and planning of the cultural field.

Which animation partners is MDJM (UOKA) collaborating with on the new films?

MDJM is co-producing two animated films with H5 and Abano Producións. According to the company, both projects are in active production and targeted for completion by the end of 2026.

What is the Fernie Castle cultural project funded by MDJM (UOKA)?

Fernie Castle will become a cultural field combining an Animation Museum and a Classical Oriental Garden landscape. According to the company, design leadership involves Kengo Kuma and Simpson & Brown to preserve heritage while adding cultural programming.

When are MDJM's two animated films expected to be completed and distributed?

Both films are targeted for completion by the end of 2026. According to the company, upon completion MDJM will evaluate international film festival submissions and pursue global distribution opportunities.