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How the $111.5 Million Equity Purchase Deal Positions SMX to Solve the "Verification Gap" No One Saw Coming

NEW YORK, NY / ACCESS Newswire / December 1, 2025 / Every major shift in global trade is triggered by a gap. A weakness in the system that becomes too large to ignore. For decades, the verification gap was hidden under layers of reporting, audits, certifications, and declarations that looked official but offered limited actual certainty. Whether you were moving gold, producing textiles, refining plastics, exporting minerals, or supplying agricultural inputs, the verification gap sat underneath everything.

In 2025, that gap could no longer be ignored. Supply chains became more complex than the verification systems supporting them. Environmental regulations outpaced reporting tools. Commodity markets demanded authenticity that paperwork couldn't prove. Nations realized they needed infrastructure capable of confirming the truth behind the materials flowing through their borders.

SMX's (NASDAQ:SMX) molecular identity platform was already built for this moment. The world simply caught up to it.

Demand Meets SMX's Technology

This rising demand is what makes SMX's announced $111.5 million equity purchase agreement so strategically significant. The agreement provides a $11.5 million promissory note and discretionary access to up to $100 million. SMX decides how much to use and when to use it. There are no forced issuances and no restrictions that distort operational priorities.

Based on the initial receipt, that could mean that no shares will be issued under the equity purchase arrangement until at least the first quarter of 2026. This reinforces the Agreement's strategic purpose. It exists as a financial backbone, ready when needed, while SMX continues executing its 2025 initiatives without immediate capital activity.

The timing is meaningful because the verification gap revealed itself across multiple industries at the same time. Gold markets realized that origin claims without molecular authentication wouldn't survive scrutiny. Plastics processors realized that recovery claims needed scientific validation. Critical minerals suppliers recognized that compliance regimes required identity that persisted across borders. Textile producers realized that fiber claims needed more than manual certification.

The world didn't just want proof. It needed proof.

Capital at the Perfect Moment

The equity purchase agreement arrived at the exact moment SMX required capital flexibility to meet simultaneous global demand. It lets SMX scale gold verification, plastic recovery, textile authentication, mineral identity, and industrial frameworks in parallel. The capital structure supports a world that needs multiple verification systems to grow together instead of in sequence.

The agreement also lets SMX allocate part of the net proceeds toward digital reserve assets. This reinforces the Company's long-term financial resilience and mirrors the decentralized structure of the verification systems SMX is deploying worldwide.

What makes the equity purchase agreement uniquely powerful is how perfectly it aligns with the nature of the verification gap. The gap isn't industry-specific. It's systemic. It spans geographies and regulatory environments. SMX's technology is one of the few solutions capable of addressing it globally. The capital structure enables SMX to respond to the gap wherever it appears.

The verification gap may have caught the world by surprise, but SMX is prepared to close it. With the $111.5 million equity purchase agreement in place and the deployment window defined, SMX holds both the technology and the capital strategy to lead the world into a new era of authenticated, verifiable, evidence-based commerce.

About SMX

As global businesses face new and complex challenges relating to carbon neutrality and meeting new governmental and regional regulations and standards, SMX is able to offer players along the value chain access to its marking, tracking, measuring and digital platform technology to transition more successfully to a low-carbon economy.

Forward-Looking Statements

The information in this press release includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements regarding expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "forecast," "intends," "may," "will," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements in this press release may include, for example:the ability of SMX to satisfy the conditions under the Equity Purchase Agreement, the Promissory Note and related agreements; successful launch and implementation of SMX's joint projects with manufacturers and other supply chain participants of steel, rubber and other materials; changes in SMX's strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects and plans; SMX's ability to develop and launch new products and services, including its planned Plastic Cycle Token; SMX's ability to successfully and efficiently integrate future expansion plans and opportunities; SMX's ability to grow its business in a cost-effective manner; SMX's product development timeline and estimated research and development costs; the implementation, market acceptance and success of SMX's business model; developments and projections relating to SMX's competitors and industry; and SMX's approach and goals with respect to technology. These forward-looking statements are based on information available as of the date of this press release, and current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties. Accordingly, forward-looking statements should not be relied upon as representing views as of any subsequent date, and no obligation is undertaken to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. As a result of a number of known and unknown risks and uncertainties, actual results or performance may be materially different from those expressed or implied by these forward-looking statements. Some factors that could cause actual results to differ include: the ability to maintain the listing of the Company's shares on Nasdaq; changes in applicable laws or regulations; the ability to implement business plans, forecasts, and other expectations, and identify and realize additional opportunities; the risk of downturns and the possibility of rapid change in the highly competitive industry in which SMX operates; the risk that SMX and its current and future collaborators are unable to successfully develop and commercialize SMX's products or services, or experience significant delays in doing so; the risk that the Company may never achieve or sustain profitability; the risk that the Company will need to raise additional capital to execute its business plan, which may not be available on acceptable terms or at all; the risk that the Company experiences difficulties in managing its growth and expanding operations; the risk that third-party suppliers and manufacturers are not able to fully and timely meet their obligations; the risk that SMX is unable to secure or protect its intellectual property; the possibility that SMX may be adversely affected by other economic, business, and/or competitive factors; and other risks and uncertainties described in SMX's filings from time to time with the Securities and Exchange Commission.

Media Contact:info@securitymattersltd.com

SOURCE: SMX (Security Matters) Public Limited



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