Cybeats Announces Restatement of Certain Historical Financial Statements

Toronto, Ontario--(Newsfile Corp. - February 3, 2025) - Cybeats Technologies Corp. (CSE: CYBT) (OTCQB: CYBCF) ("Cybeats" or the "Company"), a global leader in software supply chain security, has announced today that the Company's previously issued comparative financial statements for the fiscal years ended December 31, 2023 and 2022 (the "Previous 2023 FS" and "Previous 2022 FS", respectively), and the corresponding management's discussion and analyses (collectively, the "Previous Documents"), have been restated and reissued (the Previous Documents as restated, the "Restated Documents"). The Restated Documents do not impact the Company's ongoing operations or its operating results for Fiscal 2023 and 2022, and are available on SEDAR+.

As discussed in the Previous 2023 FS, comparative financial figures had to be restated due primarily to changes in the application of accounting treatments related to the identification of the acquirer in its acquisition of Cybeats Technologies Inc. ("Cybeats Subco") on November 11, 2022 (the "Acquisition").

On August 15, 2022, Scryb Inc. ("Scryb") announced that it had entered into an amalgamation agreement with Pima Zinc Corp. (now Cybeats Technologies Corp.), 2635212 Ontario Inc., a subsidiary of Cybeats, and Cybeats Subco, a subsidiary of Scryb, pursuant to which Cybeats would acquire all of the shares of Cybeats Subco through a three-cornered amalgamation. The Acquisition was completed on

November 11, 2022, with Pima Zinc Corp. subsequently renamed "Cybeats Technologies Corp."

Under the Previous 2022 FS, Cybeats Subco was deemed a subsidiary of the acquirer, Pima Zinc Corp. (now Cybeats Technologies Corp.), and the Acquisition was accounted for as a business combination. However, upon further review, it was determined that Cybeats Subco should have been identified as the acquirer, for accounting purposes, under the Acquisition due to its substantive control over the combined entity post-Acquisition. This reevaluation has led to the need for restatement of the Previous 2022 FS to correctly reflect the Acquisition and ensure compliance with applicable accounting standards.

The Acquisition was correctly accounted for in the Previous 2023 FS. However, the note disclosure describing the restatement of the comparative figures were not in compliance with applicable accounting standards, which has led to the need for restatement of the Previous 2023 FS. The Restated Documents will replace and supersede the Previous Documents. The Previous Documents should no longer be relied upon.