Subscription to raise £500,000

Blackbird plc (AIM: BIRD), the developer of the browser-based collaborative video editor elevate.io, announces a subscription for 22,222,222 new ordinary shares of 0.8 pence each (the "Subscription Shares") at a price of 2.25 pence per Subscription Share (the "Issue Price") to raise approximately £500,000 (before expenses) (the "Subscription").

The net proceeds of the Subscription, which will be approximately £470,000, will be used to strengthen the Company's balance sheet, allowing it to step up its marketing activities for elevate.io and for general working capital purposes.

Blackbird Executive Chair Ian McDonough commented:

"I am delighted with the progress that we have made with elevate.io since September. Through a series of events and webinars we have been actively engaging with marketing teams and creators, our ideal customer profiles (ICPs). This has enabled us to find out about their detailed workflows and requirements. Both groups have been impressed with the significant time savings that elevate.io brings them through its flexibility and collaborative nature. Simultaneously, we have been continuously enhancing the elevate.io platform by adding features and functionality at pace, making it more useful for our customer base.

"The Company will always take a responsible approach to managing its capital requirements and we want to be on the front foot as we end the year. As we move towards the end of elevate.io's product market fit phase, these additional funds will strengthen the Company's balance sheet allowing us to step up our marketing activity with the aim of proving our 'revenue engine' ahead of scale up.

"We have the technology and the team to address a massive market opportunity for elevate.io and are executing against our plan to achieve this."

Background to and reasons for the Subscription

Since raising funding earlier this year the Company has made strong progress during the product market fit phase of its elevate.io product. This progress has included:

• adding additional features such as: integrated live review, a text-to-speech AI-powered tool; AI image generation; digital asset management functionality; additional timeline items (such as video thumbnails); and an enhanced suite of looks and effects;
• adding a token system to the elevate.io platform to allow users to redeem tokens for services. As previously announced, these enhance the users' experience, encourage further usage of the platform and help with retention and conversion of users from free to paid users. This also opens up the opportunity for additional future revenue streams for the Company;
• attendance at multiple events, such as Creator Fest, Ideas Fest and Marketing Showcase, to seed elevate.io to potential customers and understand their use cases and requirements;
• hosting a series of webinars, including with Enterprise Nation, the New York Chamber of Commerce and Barclays Eagle Eye, to spread awareness of elevate.io to potential customers; and
• appointing former Adobe product lead, Bill Roberts, as a Strategic Adviser to the Company.

The Company is undertaking the Subscription to provide additional funds to strengthen its balance sheet which will allow it to step up its marketing activity as it heads towards the end of its product market fit phase.

Details of the Subscription

The Company has raised gross proceeds of approximately £500,000 pursuant to the Subscription. The Subscription will result in the issue of 22,222,222 Subscription Shares at the Issue Price representing, in aggregate, 4.85 per cent. of the existing issued ordinary share capital of the Company. The Subscription Shares have been subscribed for by an existing shareholder of the Company and have been issued utilising the Company's existing share authorities. The Issue Price represents a discount of approximately 22.41% to the closing mid-market price of 2.90p per share on 17 December 2025.

The Subscription Shares, when issued, will be fully paid and will rank pari passu in all respects with the existing ordinary shares of 0.8 pence each (the "Ordinary Shares"), including the right to receive all dividends and other distributions declared, made or paid after the date of issue.

Settlement for the Subscription Shares is expected to take place at 8.00 a.m. on 19 January 2026.

Admission to trading and total voting rights

Application has been made for the Subscription Shares to be admitted to trading on the AIM ("Admission"). It is anticipated that Admission will occur and dealings will commence in the Subscription Shares at 8:00 a.m. on 19 January 2026.

Following Admission, and for the purposes of the Financial Conduct Authority's Disclosure Guidance and Transparency Rules, the Company's total issued share capital will consist of 480,271,528 Ordinary Shares. The above figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the Disclosure Guidance and Transparency Rules.