Grid Battery Metals Inc. agreed to Spin-Off 1427652 B.C. Ltd. on September 27, 2023. Under the terms of the Spin-out, shareholders of Grid would exchange their existing common shares of Grid for the same number of new common shares of Grid and Spin-Out Shares of SpinCo. There will be no change in shareholders' holdings in Grid as a result of the Spin-out.

It is anticipated that each Grid shareholder will receive 1/20 of a Spin-Out Share for each Grid common share held as at the record date for the arrangement. The transaction will be carried out by way of statutory plan of arrangement. As part of the Spin-off, Grid Battery will distribute approximately 9,414,040 common shares of SpinCo to its shareholders.

The Spin-out company is to be re-name as AC/DC Battery Metals Inc. As of October 16, 2023, 1427652 B.C. Ltd. name has been changed to AC/DC Battery Metals Inc.. The transaction requires the approval of the Grid's shareholders, TSX Venture Exchange and approval of the British Columbia Supreme Court in order to proceed. Grid Battery has received conditional Exchange approval and Interim Court approval to the Arrangement and plans to close the Arrangement in the next couple of weeks.

The transaction is approved by the shareholders of Grid Battery. In connection, the shareholders also approved 1. the re-appointment of Shim & Associates LLP, Charted Professional Accountants, as auditor of AC/DC for the ensuing year; 2. the adoption of the 10% rolling Stock Option Plan for AC/DC; and 3. the approval of a private placement for AC/DC of up to 40,000,000 units at $0.05 per unit. As of April 18, 2024, Grid Battery Metals Inc. has fixed April 25, 2024, as the record date for the distribution of the AC/DC Battery Metals common shares to the Company?s shareholders.

Transaction is expected to be effective on April 26, 2024. Odyssey Trust Company acted as a transfer agent to Grid Battery. Shim & Associates LLP is currently the auditor of AC/DC Battery Metals.