Reliance Global Acquires Controlling Interest in Enquantum for $2.125 Million

Reliance Global "announced that it has signed a definitive agreement to acquire over time a controlling interest in Enquantum Ltd., a post-quantum cryptography technology company addressing a rapidly developing shift in global cybersecurity standards. The agreement follows Reliance's previously announced term sheet and although ongoing, we believe our due diligence review of Enquantum is largely complete and has reinforced our belief in this acquisition. We expect the transaction to close within 30 days. This definitive agreement follows the Company's recent announcement of the launch of its Scale51 operating and acquisition strategy, and is subject to customary closing conditions. Under the agreement, in exchange for certain milestone payments, Reliance will acquire a 51% controlling ownership position in Enquantum through its wholly-owned subsidiary, EZRA International Group, its strategic division for building and scaling high-impact technology companies. Reliance's aggregate purchase price to acquire the 51% fully diluted target ownership is $2,125,000, payable in tranches tied to specified monthly operational and commercialization milestones over an anticipated 10-month period. The agreement reflects a purchase price of $9.8018 per share and a pre-money valuation of $2,041,667 for Enquantum. At the initial closing, Reliance expects to obtain an initial 8% fully diluted ownership position, including (i) conversion of a previously issued $166,000 secured bridge note into Enquantum ordinary shares representing 4% of Enquantum on a fully diluted basis and (ii) a cash-funded issuance representing an additional 4% fully diluted ownership. "