Mr. Johnson Joseph reports

TENET CLOSES SECOND TRANCHE OF CAD$7.625M OF PRIVATE PLACEMENT OF CONVERTIBLE DEBENTURE UNITS

Further to Tenet Fintech Group Inc.'s press release of June 29, 2023, in which it disclosed an intention to complete financings for gross proceeds of up to $20-million, Tenet has issued and completed a second tranche closing of the financing with the sale of 7,625 units comprising convertible debentures and warrants by way of non-brokered private placement financing at a price of $1,000 per unit for gross proceeds of approximately $7,625,000.

Certain directors and officers of Tenet (the insiders) had intended to purchase a total of 710 units from the second tranche closing, but given the fact that the company intends to file its second quarter 2023 results on Aug. 29, 2023, the purchase of the units by the insiders will now take place in a third tranche closing of the financing shortly after the filing of Tenet's second quarter 2023 results in order to respect the company's insider trading policy.

Each unit sold in the second tranche closing comprises: (i) one 10 per cent non-secured convertible debenture of the company in the principal amount of $1,000 and (ii) 4,000 warrants to purchase common shares of the company. The convertible debentures will mature 36 months from the date of issuance and, subject to prior conversion in accordance with their terms, will be repaid in cash at the maturity date. Each warrant will be exercisable to acquire one common share at an exercise price of 50 cents per warrant share for a period of 24 months from the date of issuance thereof.

From the date of issue until their maturity date, convertible debenture holders may elect to convert, in whole or in part, the face value of the convertible debentures into common shares at a conversion price of 25 cents per common share. At any time prior to the maturity date, if the common shares trade at a price of $5 or more for three consecutive trading days, any non-converted and remaining face value of the convertible debentures will be automatically converted into common shares at a conversion price of 25 cents per common share. Upon the conversion of the convertible debentures, the company will pay to the convertible debenture holders, in cash, the interest accrued on the convertible debentures for the amount converted up to but excluding the date of conversion.

The convertible debentures shall bear interest at a rate of 10 per cent per annum from the date of issue, payable monthly in arrears in cash. Interest shall be computed on the basis of a 360-day year composed of 12 30-day months.

The convertible debentures, the securities to be issued underlying the convertible debenture, the warrants, and the finder warrants and any underlying securities are subject to a hold period of four months and one day from the closing date of the financing. The second tranche closing, any additional closings and the financing are all subject to the approval of the Canadian Securities Exchange and are subject to compliance with applicable regulatory requirements, including National Instrument 45-106 -- Prospectus Exemptions.

Tenet plans to use the proceeds of the second tranche closing to help complete the remaining pillars of its Cubeler business hub in Canada and working capital purposes as part of its normal operations.

About Tenet Fintech Group Inc.

Tenet Fintech Group is the parent company of a group of innovative financial technology (fintech) and artificial intelligence (AI) companies. All references to Tenet in this news release, unless explicitly specified, include Tenet and all its subsidiaries. Tenet's subsidiaries provide various analytics and AI-based services to businesses and financial institutions through the Cubeler business hub, a global ecosystem where analytics and AI are used to create opportunities and facilitate business-to-business transactions among its members.

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