Mr. Paul Larkin reports

GSTAAD CAPITAL TERMINATES TRANSACTION WITH LUXHYGENIX AND ANNOUNCES CHANGES TO ITS BOARD OF DIRECTORS

Gstaad Capital Corp. has terminated the letter agreement dated Nov. 29, 2021, with LuxHygenix Inc. with respect to the proposed qualifying transaction (as defined in the policies of the TSX Venture Exchange) of the company, effective immediately. Pursuant to the terms of the Letter Agreement, the Company shall seek reimbursement of certain expenses incurred by the Company in connection with the Transaction from LuxHygenix.

The Company confirms that it has not assumed any ongoing obligations of LuxHygenix, aside from expenses incurred in pursuit of the Transaction. The Company intends to apply to the Exchange to have its common shares resume trading as soon as possible.

The Company also announces that it will hold its annual general and special meeting (the "Meeting") of shareholders on February 5, 2024. For the Meeting, management has nominated two new directors, Ehsan Agahi and Scott Eldridge, for election. These nominations are intended to fill vacancies created by Joseph Martin and Philip Pincus, both of which are not standing for election. The new additions remain subject to shareholder and Exchange approval and will strengthen the Company's efforts to continue to pursue and evaluate other businesses and assets with a view to completing a Qualifying Transaction.

At the Meeting, the Company will also be seeking shareholder approval for the adoption of a new option plan, and disinterested shareholder approval for a reduction in the length of escrow applicable to certain common shares of the Company held by directors and officers. For further information regarding the matters being considered at the Meeting, readers are encouraged to review the management information circular prepared for the Meeting which is available under the profile for the Company on SEDAR+ (www.sedarplus.ca).