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ZeroStack Corp. Secures Purchase Orders for up to US$14.7 Million of Inventory from Two Pharmaceutical Companies

Rhea-AI Impact
(High)
Rhea-AI Sentiment
(Positive)
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ZeroStack (NASDAQ: ZSTK) announced pharmaceutical distribution purchase orders for up to approximately US$14.7 million of inventory in Germany from two companies, to be fulfilled by its subsidiary Phatebo GmbH.

Execution depends on securing inventory financing; failure to obtain funding could delay or prevent fulfilling the Orders.

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AI-generated analysis. How Rhea-AI works. Not financial advice.

Positive

  • Purchase orders for up to approximately US$14.7 million of pharmaceutical inventory in Germany
  • Orders to be fulfilled through wholly owned German subsidiary Phatebo GmbH, the largest operating segment
  • Management indicates successful execution could generate meaningful, non-dilutive revenue and profitability
  • Orders reinforce Phatebo’s role in the European pharmaceutical supply chain and commercial relationships

Negative

  • Fulfilling the Orders requires new inventory financing that is not yet secured
  • Company warns financing may not be available on acceptable terms, in sufficient amounts, or on time
  • Failure to obtain adequate financing could delay, reduce, or prevent fulfillment of some or all Orders

Market reaction: ZSTK -12.88% on US$14.7M pharma distribution contract award

-12.88% 26.0x vol
16 alerts
-12.88% News Effect
-39.7% Trough in 4 hr 36 min
-$1M Valuation Impact
$6.95M Market Cap
26.0x Rel. Volume

On the day this news was published, ZSTK declined 12.88%, reflecting a significant negative market reaction. Argus tracked a trough of -39.7% from its starting point during tracking. Our momentum scanner triggered 16 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $1M from the company's valuation, bringing the market cap to $6.95M at that time. Trading volume was exceptionally heavy at 26.0x the daily average, suggesting significant selling pressure.

Data tracked by StockTitan Argus on the day of publication.

What This Means

The stock dropped -12.9% in the session following this news. A steep selloff could reflect concern t...
Analysis

The stock dropped -12.9% in the session following this news. A steep selloff could reflect concern that fulfilling up to US$14.7M in German orders depends on obtaining new inventory financing, similar to the negative -3.24% reaction when a large cryptocurrency financing was previously announced.

Key Figures

Purchase orders value: US$14.7 million Purchase orders value (EUR): EUR 12.9 million
2 metrics
Purchase orders value US$14.7 million Pharmaceutical distribution inventory orders in Germany
Purchase orders value (EUR) EUR 12.9 million Pharmaceutical distribution inventory orders in Germany

Historical Context

4 past events · Latest: Mar 31 (Positive)
Pattern 4 events
Date Event Sentiment 24h Move Catalyst
Mar 31 crypto financing deal Positive -3.2% Announced $107M cryptocurrency financing, note elimination and planned redomicile to Texas.
Mar 05 staking rewards update Positive +3.3% Reported 3.2M 0G token staking rewards at roughly 22% APY with dollar equivalent.
Mar 04 pharma order win Positive +7.2% Secured $6.5M pharmaceutical distribution order in Germany through Phatebo GmbH.
Feb 03 initial staking rewards Positive +8.3% Disclosed first 1,000,000 0G token staking rewards at about 21% APY and cash equivalent.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Historically, ZSTK has mostly risen on operational and token-yield news, with one divergence where a large cryptocurrency financing and balance-sheet cleanup coincided with a negative price reaction.

Key Terms

artificial intelligence, inventory financing facilities, non-dilutive
3 terms
artificial intelligence technical
"evaluate the implementation of artificial intelligence ("AI")-enabled technologies"
Artificial intelligence is the ability of computers and machines to perform tasks that typically require human thinking, such as understanding language, recognizing patterns, or making decisions. For investors, it matters because AI can enhance efficiency, uncover new insights, and enable smarter strategies, potentially impacting the value and performance of companies that develop or utilize this technology.
inventory financing facilities financial
"Management is actively negotiating inventory financing facilities with specialty lending"
A credit arrangement where a lender advances money to a company using its unsold goods as collateral; the business draws, repays, and redraws funds as inventory is bought and sold, similar to borrowing against the stock on a store’s shelves. It matters to investors because these facilities affect a company’s working capital, liquidity and balance-sheet risk: their size, cost and covenants can influence cash flow stability, leverage and how well a firm can meet short-term obligations.
non-dilutive financial
"represent a significant opportunity to generate meaningful revenue and profitability ... in a non-dilutive manner"
Non-dilutive describes funding or income that does not reduce existing shareholders’ ownership percentage. It matters to investors because it lets a company raise money or generate value—through grants, loans, licensing deals, or revenue—without issuing extra shares, so each existing share keeps the same claim on profits and control; think of adding toppings to a cake without cutting it into more slices.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Toronto, Ontario--(Newsfile Corp. - July 9, 2026) - ZeroStack Corp. (NASDAQ: ZSTK) (the "Company" or "ZeroStack"), the first Nasdaq-listed, AI-focused asset management company, today announced that it has secured pharmaceutical distribution purchase orders for up to approximately US$14.7 million (EUR 12.9 million) of inventory in Germany from two companies (the "Orders"). The Orders are expected to be fulfilled through the Company's wholly owned German subsidiary, Phatebo GmbH ("Phatebo").

Phatebo has operated as a pharmaceutical distributor in Europe for more than then years and serves as the Company's primary operating subsidiary. In connection with ZeroStack's long-term strategy, Phatebo continues to evaluate the implementation of artificial intelligence ("AI")-enabled technologies designed to improve operational efficiency, reduce execution risk and optimize supply chain management. As the Company's largest operating business segment, Phatebo provides recurring commercial activity while allowing ZeroStack to continue diversifying its broader investment strategy across AI and digital assets.

Through Phatebo's established logistics network, regulatory expertise and longstanding relationships across the European healthcare market, ZeroStack is well positioned to execute pharmaceutical distribution mandates throughout Germany.

"These initial Orders represent another meaningful milestone for Phatebo and demonstrate the confidence that pharmaceutical companies continue to place in our distribution platform," said Daniel Reis-Faria, Chief Executive Officer of ZeroStack Corp. "We believe these initial Orders have the potential to establish long-term commercial relationships. If successfully executed, they could represent a significant opportunity to generate meaningful revenue and profitability for our shareholders in a non-dilutive manner."

The Orders further reinforce Phatebo's growing position within the European pharmaceutical supply chain and highlight the Company's ability to establish commercial relationships with established healthcare organizations. Management intends to continue leveraging Phatebo's infrastructure, regulatory capabilities and commercial relationships to pursue additional pharmaceutical distribution opportunities across Europe.

In order to fulfill the Orders, the Company must secure financing necessary to purchase the required inventory. Management is actively negotiating inventory financing facilities with specialty lending institutions; however, there can be no assurance that such financing will be obtained on commercially acceptable terms, in sufficient amounts, on a timely basis, or at all. Failure to obtain adequate financing could delay, reduce or prevent fulfillment of some or all of the Orders.

If the Company is able to fulfill the Orders, the Company believes these Orders may establish the foundation for a broader commercial relationship with the counterparties.

About ZeroStack Corp.

ZeroStack Corp. is the first Nasdaq-listed asset management company focused on providing exposure to decentralized AI. The Company also operates a global pharmaceutical distribution business through its wholly owned subsidiary, Phatebo GmbH. For more information, visit https://zerostack.ai/.

Cautionary Statement Concerning Forward-Looking Statements

This press release contains "forward-looking statements," as defined by U.S. federal securities laws. Forward-looking statements reflect the Company's current expectations and projections about future events at the time, and thus involve uncertainty and risk. The words "believe," "expect," "anticipate," "will," "could," "would," "should," "may," "plan," "estimate," "intend," "predict," "potential," "continue," and the negatives of these words and other similar words or expressions generally identify forward-looking statements. These forward-looking statements include, but are not limited to, express or implied statements regarding: the expected fulfillment of the Orders; the Company's ability to obtain inventory financing; the potential for future orders from existing or prospective customers; anticipated revenues and profitability; expected operating profit; procurement pricing; supplier availability; and commercial relationships.

Forward-looking statements are based on current expectations and assumptions that involve significant risks and uncertainties. Actual results may differ materially due to numerous factors, including, without limitation: the Company's inability to obtain financing necessary to purchase inventory for the Orders; the inability to satisfy customer requirements; cancellation, reduction or postponement of existing or anticipated orders; changes in customer demand; supplier pricing or product availability; logistics disruptions; inflationary pressures; foreign exchange fluctuations; regulatory developments; competitive conditions; execution risks; business strategy risks and the other risks described under the section entitled "Risk Factors" in the Company's Annual Report on Form 10-K filed with the United States Securities and Exchange Commission (the "SEC") on February 27, 2026, as such factors may be updated from time to time in the Company's periodic filings with the SEC, including the Company's Quarterly Report on Form 10-Q filed with the SEC on May 4, 2026, which are accessible on the SEC's website at www.sec.gov/edgar.

Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in the Company's filings with the SEC. While forward-looking statements reflect the Company's good faith beliefs, they are not guarantees of future performance. The Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes after the date of this press release, except as required by applicable law. You should not place undue reliance on any forward-looking statements, which are based on information currently available to the Company (or to third parties making the forward-looking statements).

Investor Contact: ir@zerostack.ai

Media Contact: zerostack@dittopr.co

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/304557

FAQ

What did ZeroStack (NASDAQ: ZSTK) announce on July 9, 2026?

ZeroStack announced pharmaceutical distribution purchase orders for up to about US$14.7 million of inventory in Germany. According to ZeroStack, these Orders will be fulfilled through its subsidiary Phatebo GmbH and could support broader commercial relationships if the company secures required inventory financing.

How large are ZeroStack’s new pharmaceutical purchase orders and where are they based?

The purchase orders cover up to approximately US$14.7 million (EUR 12.9 million) of pharmaceutical inventory. According to ZeroStack, the Orders are from two pharmaceutical companies in Germany and will be handled by Phatebo GmbH, its long-standing European pharmaceutical distribution subsidiary.

How could the new purchase orders impact ZeroStack (ZSTK) shareholders?

If fulfilled, the Orders may create an opportunity for meaningful revenue and profitability for shareholders. According to ZeroStack, this potential growth would be non-dilutive, as it is driven by commercial activity through Phatebo rather than new equity issuance, subject to obtaining financing.

What financing risks does ZeroStack face in fulfilling the US$14.7 million Orders?

ZeroStack must secure inventory financing from specialty lending institutions to fulfill the Orders. According to ZeroStack, there is no assurance such financing will be available on commercially acceptable terms, in sufficient amounts, on a timely basis, which could limit or prevent fulfillment.

What role does Phatebo GmbH play in ZeroStack’s new German purchase orders?

Phatebo GmbH is the subsidiary responsible for executing the pharmaceutical distribution purchase orders in Germany. According to ZeroStack, Phatebo is its primary operating business, with an established logistics network, regulatory expertise, and relationships across the European healthcare market supporting these mandates.

What happens if ZeroStack cannot obtain financing for the new pharmaceutical Orders?

If adequate financing is not obtained, some or all of the Orders may be delayed, reduced, or unfulfilled. According to ZeroStack, this financing requirement is critical, and failure to secure it could limit the anticipated commercial and revenue benefits linked to the Orders.

How is ZeroStack integrating AI and digital assets with its pharmaceutical distribution business?

ZeroStack uses Phatebo as its main operating unit while pursuing AI and digital asset strategies. According to ZeroStack, Phatebo is evaluating AI-enabled technologies aimed at improving operational efficiency, reducing execution risk, and optimizing supply chain management within its European pharmaceutical distribution operations.