Quantum eMotion to Acquire Plurilock Security

Insider Brief

• Quantum eMotion has entered a definitive agreement to acquire Plurilock Security in a proposed transaction that would expand QeM’s quantum-secure cybersecurity business with an established commercial platform.

• The proposed acquisition would add Plurilock’s enterprise and government customers, procurement channels, cybersecurity services, and AI-driven capabilities in risk analysis, authentication, and identity.

• The transaction remains subject to shareholder, court, regulatory and other approvals, with the companies expecting to close shortly after Plurilock’s anticipated November 2026 shareholder meeting if conditions are satisfied.

PRESS RELEASE — Quantum eMotion Corp. (“QeM” or the “Company”) (NYSE American: QNC; TSXV: QNC; FSE: 34Q0), a developer of quantum-secure cybersecurity technologies, and Plurilock Security Inc. (“Plurilock”) (TSXV: PLUR) are pleased to announce that they have entered into a definitive arrangement agreement (the “Arrangement Agreement”) on September 28, 2026 whereby QeM will acquire, either directly or indirectly through a wholly-owned subsidiary of QeM, 100% of the issued and outstanding Plurilock Shares by way of a court-approved plan of arrangement under the Business Corporations Act (British Columbia) (the “Arrangement”).

The proposed acquisition is intended to accelerate QeM’s transition from primarily developing and validating quantum-secure technologies toward a broader commercial cybersecurity business with existing revenues, customers, sales channels and delivery capabilities.

Through the proposed acquisition, QeM expects to add an established cybersecurity revenue base and operating platform, including enterprise and government customer relationships, public-sector procurement channels, cybersecurity services, sales and delivery capabilities, and intellectual property in AI-centric cybersecurity, risk analysis, authentication and identity.

QeM believes this combination could shorten the path from product validation to customer deployment by giving QeM access to an existing commercial organization and installed customer base. Following closing, the combined company intends to pursue a disciplined cross-selling and integration strategy, initially focusing on customer segments where QeM’s technologies address defined security requirements and can be introduced through Plurilock’s existing relationships and procurement channels.

Expected Strategic Benefits to QeM Shareholders

• Accelerate commercialization by adding an established revenue-generating cybersecurity platform with sales, delivery and customer-support infrastructure.

• Add commercial scale and a cybersecurity client base through an established organization with a 25-plus-year operating foundation.

• Expand QeM’s customer reach through Plurilock’s existing enterprise, government and defense relationships.

• Provide access to public-sector and regulated markets through established procurement positions and contract vehicles across Canada, the United States and NATO.

• Create a defined commercialization pathway across hundreds of existing customer relationships through potential cross-selling, pilots and broader deployments of QeM technologies, subject to customer requirements, product readiness and applicable procurement rules.

• Add AI and behavioral cybersecurity capabilities and patent portfolio to QeM’s technology portfolio, broadening the combined company’s capabilities across quantum-safe security, identity and AI-driven cyber defence.

• Support QeM’s commercialization strategy as key technologies advance through NIST and FIPS validation processes by adding an established organization capable of selling, implementing and supporting cybersecurity solutions for enterprise and government customers.

• Create opportunities for new intellectual property and integrated solutions combining continuous, AI-driven risk analysis and identity with quantum-secure cryptographic enforcement.

• Position the combined company at the convergence of cybersecurity and quantum-safe security, with capabilities spanning technology development, commercialization, implementation and ongoing cybersecurity services.

Expected Strategic Benefits to Plurilock Shareholders

• Provide participation in the combined company’s quantum-safe cybersecurity strategy, including QeM’s quantum random number generation, cryptographic and quantum-secure technology portfolio.

• Provide exposure to the combined company’s broader growth opportunities across quantum-safe cybersecurity, artificial intelligence, defence, government, critical infrastructure and regulated enterprise markets.

• Provide the potential for an enhanced capital-markets profile through QeM’s U.S. exchange listing and existing U.S. capital-markets presence.

• Allow Plurilock Shareholders to retain participation in the future growth of the combined company through the share component of the Arrangement consideration, while also receiving immediate cash consideration.

• Combine Plurilock’s established commercial platform with QeM’s technology portfolio and capital-markets profile, creating a larger and more diversified cybersecurity company with both technology-development and commercial-delivery capabilities.

• Increase the potential strategic value of Plurilock’s existing customer relationships, procurement vehicles and cybersecurity capabilities by pairing them with QeM’s quantum-secure technologies and commercialization pipeline.

• Create additional opportunities to leverage Plurilock’s existing infrastructure and market access with the potential introduction of QeM products across Plurilock’s enterprise, government and defence channels.

• Provide Plurilock Shareholders with continued exposure to the value of Plurilock’s business following the Arrangement, including its customer relationships, contract vehicles, critical services capabilities and AI-driven cybersecurity expertise, as part of the larger combined organization.

Long-Term Strategic Rationale

Accelerating Commercialization of QeM Technologies QeM has spent several years developing a portfolio of quantum-secure cybersecurity technologies designed to address the growing security requirements associated with increasingly sophisticated cyber threats and the emerging quantum-computing era.

The Company’s technology portfolio includes quantum random number generation and entropy technologies, together with quantum-safe cryptographic and cybersecurity capabilities designed for enterprise, cloud, communications, critical infrastructure and other security-sensitive environments.

The proposed acquisition of Plurilock is intended to add the commercial infrastructure needed to scale this strategy. Plurilock brings existing cybersecurity revenues, customer relationships, procurement channels, sales capabilities and operational delivery resources. Following closing of the Arrangement, QeM intends to segment the combined customer base by use case and procurement readiness, identify priority accounts for pilots and cross-selling, and evaluate where QeM technologies can be incorporated into Plurilock’s existing and future cybersecurity offerings.

NIST and FIPS Validation Initiatives The Arrangement comes as QeM continues to advance important components of its technology portfolio through U.S. cybersecurity standards and validation processes.

QeM’s eCore-Q quantum entropy technology has been independently assessed by Lightship Security, which submitted the supporting entropy-source validation package through the production Entropy Source Validation Test System for review under the Cryptographic Module Validation Program. The submission seeks validation under NIST Special Publication 800-90B.

Separately, QeM’s SecureKey Cryptographic Module has received an Implementation Under Test designation as it progresses through the FIPS 140-3 validation process.

These processes are strategically important to QeM because NIST and FIPS standards are widely referenced in cybersecurity procurement and are particularly relevant to government, defence, critical infrastructure and regulated enterprise markets. Submission to these programs does not constitute validation, and neither timing nor outcome can be assured. However, QeM believes successful completion would provide independent standards-based assurance for important elements of its technology platform and could strengthen its ability to commercialize those technologies in security-sensitive markets.

AI-Driven Cybersecurity and Quantum-Secure Enforcement Beyond revenues and commercial reach, QeM sees strategic potential in Plurilock’s intellectual property and capabilities spanning multiple cybersecurity domains, including AI-driven risk analysis, authentication and identity.

Over time, QeM intends to evaluate opportunities to combine Plurilock’s cybersecurity and identity capabilities and technologies with QeM’s quantum-secure cryptographic technologies. Potential future applications may include adaptive access control, privileged key administration, signing authorization, dynamic key rotation, certificate-management controls and automatic session termination.

QeM believes such capabilities could be particularly relevant for government, defense, financial services, critical infrastructure, healthcare and other environments requiring strong protection of sensitive or long-lived digital assets.

The parties expect to establish a joint integration team before closing. Initial priorities will include customer and employee continuity; preservation of key public-sector contract vehicles and certifications; protection of Plurilock’s existing revenue base; coordinated go-to-market planning; disciplined capital allocation; and a 100-day commercial plan to identify priority accounts, pilot opportunities and the highest-value opportunities to pair Plurilock services and customer channels with QeM technologies.

Potential Platform Vision QeM envisions that Plurilock’s capabilities could contribute to detection, assessment and operational response, while QeM’s technologies could provide quantum-secure cryptographic and entropy infrastructure. QeM intends to evaluate these opportunities following closing as part of its integration and product strategy planning.

Management and Governance of the Combined Company Following closing, Francis Bellido, President and Chief Executive Officer of QeM, will lead the combined company as President and Chief Executive Officer. QeM intends to retain its full existing management and operating team to maintain continuity across product development, commercialization, corporate finance and public-company functions.

Plurilock’s senior leaders will add operating, customer and public-sector experience to the combined organization. Ian L. Paterson, currently Chief Executive Officer of Plurilock, is expected to additionally serve as Executive Vice-President, Cybersecurity & Critical Services, QNC and President & CEO of Plurilock and Veera Singh, CPA, currently Chief Financial Officer of Plurilock, is expected to serve as Senior Vice-President, Finance & Operations, QNC and CFO & COO of Plurilock in the combined company. Their responsibilities are expected to include operations, finance and commercial activities, as well as supervision and integration of the combined entity.

Management Commentary “This proposed acquisition is about accelerating the next stage of Quantum eMotion ’s development,” said Francis Bellido, President and CEO of Quantum eMotion. “We have built a portfolio of quantum-secure cybersecurity technologies and are advancing key components through important NIST and FIPS validation processes. Plurilock adds commercial reach, customer relationships, cybersecurity operations and AI-driven cybersecurity technologies that we believe can help accelerate the commercialization of these innovations. By combining AI-driven, continuous risk intelligence and identity with quantum-secure cryptographic enforcement, we believe QeM can build a differentiated cybersecurity platform at the intersection of AI and quantum security.”

“Plurilock has built a trusted operating platform around customers that are difficult to win and important to retain,” said Ian L. Paterson, Chief Executive Officer of Plurilock. “Combining that platform with QeM’s quantum-secure technologies creates an opportunity to expand what we deliver to government, defence and enterprise customers as they prepare for rapidly changing AI and quantum-era threats. We believe the proposed 30% cash and 70% share consideration gives Plurilock Shareholders both immediate value and meaningful participation in the combined company’s future.”

“I believe we are putting Plurilock in good hands. The combined company will have a broader technology portfolio, deeper market access and a stronger foundation from which to pursue growth,” said Ali Hakimzadeh, Executive Chairman of Plurilock. “Following a comprehensive review with our advisers, and after receiving the fairness opinion from Paradigm Capital and the unanimous recommendation of the Special Committee, the board agreed that the Arrangement is in the best interests of Plurilock and that the consideration is fair to Plurilock Shareholders from a financial point of view, subject to the assumptions, limitations and qualifications set out in that opinion. It has been a privilege to serve as the Executive Chairman of this special organization, and to have served with an amazing board. I look forward to observing the combined company’s future progress.”

For more details visit: Quantum eMotion to Acquire Plurilock, Expanding Commercial Quantum and AI Cybersecurity Platform .