Mr. Darcy Will reports

GAMEHOST ENTERS INTO DEFINITIVE AGREEMENT TO BE ACQUIRED BY PURE CASINO ENTERTAINMENT FOR $13.65 PER SHARE

Gamehost Inc. and Pure Casino Entertainment LP have entered into a definitive arrangement agreement pursuant to which Pure will, indirectly through a subsidiary, acquire all of the issued and outstanding common shares of Gamehost for $13.65 in cash per share. Pure operates casinos in Alberta and is privately held by Indigenous Gaming Partners Inc. (IGP), a gaming partnership between five Nova Scotia first nations and Sonco Gaming Inc.

The cash consideration of $13.65 per Gamehost share offered to the Gamehost shareholders pursuant to the transaction represents a premium of approximately 16 per cent to Gamehost's closing price of $11.75 per Gamehost share on the Toronto Stock Exchange on March 27, 2026, being the last trading day prior to the announcement of the transaction, and a premium of approximately 17 per cent to Gamehost's 20-day volume weighted average price on the TSX of $11.67 per Gamehost share as of the close of markets on March 27, 2026.

The transaction is the result of extensive and thorough arm's-length negotiations between Gamehost and Pure, and their respective advisers, and brings together two of Alberta's leading gaming and hospitality companies.

Darcy Will, president and chief executive officer of Gamehost, commented: "For over two decades, I have had the pleasure of working with dedicated team members to create an entertainment and hospitality company that provides extraordinary experiences for our guests, employees and community. I am excited to pass on this legacy to Pure, a proven leader in the Alberta gaming industry. I am confident that they will continue to provide a high-quality guest experience and exceptional environment for our employees."

In a separate transaction, Pure has entered into an agreement with VICI Properties Inc. for VICI to acquire at the closing of the transaction certain Gamehost real properties from Pure and amend its triple net master lease agreement with Pure to cover those properties.

Transaction details

The transaction will be implemented by way of a plan of arrangement under the Business Corporations Act (Alberta) and is expected to close in mid-2026, subject to customary closing conditions, including the receipt of required shareholder approvals, the approval of the Court of King's Bench of Alberta, and regulatory approval under applicable gaming and competition laws. The transaction is not subject to any financing condition.

The transaction constitutes a business combination for the purposes of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions, which requires, among other things, the approval of the transaction by a majority of the votes cast by Gamehost shareholders other than the Gamehost shareholders whose votes are required to be excluded for the purposes of majority of the minority approval as required under MI 61-101. As such, the required shareholder approvals for the transaction consist of: (i) at least two-thirds of the votes cast by Gamehost shareholders at a special meeting of shareholders of the corporation; and (ii) at least a majority of the votes cast after excluding the votes cast by those persons whose votes must be excluded in accordance with MI 61-101, at such meeting.

All directors and officers of Gamehost, and the largest shareholder of Gamehost, and their associates and affiliates, who collectively own approximately 41.3 per cent of the issued and outstanding Gamehost shares, have entered into voting and support agreements pursuant to which they have agreed to vote all the securities of Gamehost they own or control in favour of the transaction. To the knowledge of Gamehost and its directors and senior officers, after reasonable inquiry, for the purposes of MI 61-101, it is expected that the votes in respect of an aggregate of 2,688,820 Gamehost shares (representing approximately 13.0 per cent of the issued and outstanding Gamehost shares) beneficially owned, or over which control or direction is exercised, directly or indirectly, by certain directors and officers will be excluded in determining whether majority of the minority approval for the purposes of MI 61-101 is obtained.

The arrangement agreement contains customary non-solicitation provisions on the part of the corporation, subject to the customary fiduciary out provisions, as well as customary right to match provisions in favour of Pure. A termination fee of $12-million would be payable by the corporation to Pure in certain circumstances, including in the context of a superior proposal supported by the board of directors of Gamehost. A purchaser expense reimbursement fee of $5-million would also be payable by Gamehost to Pure in certain circumstances, including in the event that Gamehost does not receive the required shareholder approvals. The corporation would also be entitled to a reverse termination fee of $12-million if the transaction is not completed in certain circumstances.

Further details of the arrangement agreement will be set out in the management information circular to be made available to Gamehost shareholders in advance of the special meeting to be held to consider and approve the transaction. A copy of the circular and the arrangement agreement will be made available and filed on Gamehost's SEDAR+ profile.

Board recommendation

After consultation with its financial and legal advisers, the board of directors of Gamehost has unanimously approved entering into the arrangement agreement. The board of directors of Gamehost recommends that Gamehost shareholders vote in favour of the transaction.

Bank of Nova Scotia has delivered a fairness opinion to the board of directors of Gamehost to the effect that, as of the date of such opinion and based upon and subject to the assumptions, limitations and qualifications stated in such opinion, the consideration to be received by the Gamehost shareholders is fair, from a financial point of view, to such shareholders.

Advisers and counsel

Scotiabank is acting as financial adviser to Gamehost. LINMAC LLP is acting as legal counsel to Gamehost.

About Gamehost Inc.

Gamehost is a corporation incorporated under the laws of the Province of Alberta with its head office located in Red Deer, Alta. Through its subsidiary, Gamehost LP, Gamehost owns and operates: (i) the Great Northern Casino facility, located in Grande Prairie, Alta.; (ii) the Rivers Casino and Entertainment Centre, located in Fort McMurray, Alta.; (iii) the Deerfoot Inn & Casino facility, located in Calgary, Alta.; (iv) the Service Plus Inns & Suites hotel, located in Grande Prairie, Alta.; and (v) the Encore Suites by Service Plus extended-stay hotel facility, located in Grande Prairie, Alta. It also owns an investment property located in Grande Prairie, Alta., adjacent to the Service Plus Inn.

About Indigenous Gaming Partners Inc. and Pure Casino Entertainment LP

IGP is a gaming company established in 2024 that is focused on developing a portfolio of high-quality, market-leading casinos through strategic acquisitions and operational excellence. The partnership comprises five institutional first nations -- Glooscap First Nation, Millbrook First Nation, Annapolis Valley First Nation, We'koqma'q L'nue'kati and Paqtnkek Mi'kmaw Nation -- along with Sonco Gaming Inc., an experienced Canadian casino management and development company. Through its operating entity, Pure, IGP owns and operates Pure Casino Edmonton, Pure Casino Yellowhead, Pure Casino Calgary and Pure Casino Lethbridge, which collectively employ more than 1,200 people and welcome millions of guests each year. IGP represents a shared vision to build meaningful indigenous ownership in Canada's entertainment industry while delivering high-quality gaming and hospitality experiences. IGP is dedicated to setting new standards in the gaming industry while fostering prosperity for its indigenous communities, charitable partners and provincial stakeholders.

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