Mr. Benjamin Urban reports

DIRTT ANNOUNCES FINANCING FROM BDC AND REFINANCING OF DEBENTURES

DIRTT Environmental Solutions Ltd. has entered into a letter agreement with Business Development Bank of Canada, pursuant to which BDC committed to lending the company up to $15.0-million, subject to the satisfaction of certain conditions.

"This financing represents another important step in optimizing our capital structure and strategically positions us to continue executing on our transformative growth plan," said Benjamin Urban, chief executive officer of DIRTT.

Following the satisfaction of the conditions precedent set forth in the letter, BDC will make an initial disbursement to the company of $10.0-million and a secondary disbursement of $5.0-million. The loan will accrue interest at a rate equal to BDC's floating base rate (currently 6.55 per cent per annum) minus 0.75 per cent. Monthly principal repayments of the loan commence in May, 2026, with additional monthly interest-only payments due on the last day of each month following the first disbursement. The loan matures on April 30, 2032.

The obligations of the company under the letter are secured by: (a) a general security agreement from the company granting: (i) a first-ranking security interest in specific equipment; and (ii) a security interest in all other present and after-acquired personal property (excluding consumer goods), subject to certain registered charges; (b) a guarantee from DIRTT for the full amount of the loan; (c) a landlord's waivers of distraint; and (d) a first readvanceable mortgage in the principal amount of $5.0-million (U.S.) on the land and buildings located at 325 North Wells St., Chicago, Ill., United States.

The proceeds of the loan are expected to be used to partially refinance the company's outstanding 6.00 per cent convertible debentures due Jan. 31, 2026. The remaining $1.6-million principal amount of debentures is expected to be repaid using cash on hand.

About DIRTT Environmental Solutions Ltd.

DIRTT is a leader in industrialized construction. DIRTT's system of physical products and digital tools empowers organizations, together with construction and design leaders, to build high performing, adaptable, interior environments. Operating in the workplace, health care, education and public sector markets, DIRTT's system provides total design freedom and greater certainty in cost, schedule and outcomes. DIRTT's interior construction solutions are designed to be highly flexible and adaptable, enabling organizations to easily reconfigure their spaces as their needs evolve. Headquartered in Calgary, Alta., Canada, DIRTT trades on the Toronto Stock Exchange under the symbol DRT and on the OTCQX under the symbol DRTTF.

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