Mr. Cory Brandolini reports

RAILTOWN AI TECHNOLOGIES INC. ANNOUNCES CLOSING OF $3.4M FULLY SUBSCRIBED NON-BROKERED PRIVATE PLACEMENT

Railtown AI Technologies Inc. has closed its previously disclosed, fully subscribed non-brokered private placement of units of the company at a price of 30 cents per unit for aggregate gross proceeds of $3.4-million. Each of the 11,333,334 units consists of one common share in the capital of the company and one-half of one common share purchase warrant, with each warrant entitling the holder thereof to acquire one additional share at an exercise price of 45 cents per share for a period of 18 months.

The warrants are subject to acceleration in certain limited circumstances. For details regarding those circumstances, please see Railtown's news release dated Feb. 9, 2026.

All securities issued in connection with the offering are subject to a standard hold period of four months and one day in accordance with applicable Canadian securities laws.

In connection with the offering, the company paid aggregate cash commissions of $160,000 to certain eligible arm's-length finders, equal to 8 per cent of the gross proceeds raised from purchasers introduced by such finders, and issued an aggregate of 533,333 non-transferable common share purchase warrants to the same finders, equal to 8 per cent of the number of units sold to purchasers introduced by such finders. Each finder's warrant entitles the holder thereof to acquire one share at an exercise price of 30 cents per share for a period of 18 months from the date of issuance.

The company expects to use the net proceeds of the offering for general working capital purposes.

About Railtown AI Technologies Inc.

Railtown builds artificial intelligence developer tools and agentic frameworks that power the next generation of intelligent applications. Its platform -- including real-time ingestion (Railengine), agent development frameworks (Railtracks ADK) and advanced observability (Conductr) -- helps teams build, deploy and operate AI agents with confidence and at scale.

We seek Safe Harbor.