Splash Beverage Group, Inc. (NYSE:SBEV) ("Splash" or the "Company"), today provided a corporate update regarding its NYSE American compliance process, ongoing strategic transaction initiatives, and certain required disclosures.

NYSE American Compliance Update

As previously disclosed on May 5, 2026, the Company received notice from NYSE Regulation on April 29, 2026 indicating that the Company was not in compliance with certain continued listing standards related to stockholders' equity.

In accordance with NYSE American requirements, Splash submitted its compliance plan to the Exchange on May 28, 2026 outlining actions management has taken and intends to take in an effort to restore compliance with applicable listing standards. The Company is currently engaged in ongoing dialogue with NYSE American staff and is awaiting a determination regarding the plan.

If accepted, the plan would permit the Company to continue executing its compliance initiatives during a cure period that could extend through January 29, 2027. While no assurance can be given regarding the Exchange's determination, management remains focused on maintaining the Company's NYSE American listing and advancing initiatives designed to strengthen its financial position.

Strategic Transaction Update

As disclosed in the Company's Quarterly Report on Form 10-Q filed on May 20, 2026, the previously announced non-binding Letter of Intent with Medterra CBD, LLC expired on May 4, 2026 without execution of a definitive agreement.

The Letter of Intent was non-exclusive, and since its expiration the Company has continued actively evaluating strategic opportunities aligned with its transformation toward the cannabinoid wellness sector. Management is currently engaged in discussions with multiple potential transaction counterparties and has advanced preliminary negotiations with select parties.

The Company is evaluating several strong opportunities based on several key criteria, including strategic fit, long-term shareholder value creation, capital structure considerations, and the potential to mitigate dilution while supporting future growth initiatives.

As part of that, Splash believes the cannabinoid wellness industry continues to present compelling opportunities for consolidation, brand development, and platform creation, supported by evolving federal rules supporting the industry. The Company remains focused on identifying opportunities that leverage its public company infrastructure while supporting established operators and brands within the federally compliant hemp-derived cannabinoid marketplace and, subject to applicable regulatory and exchange approvals, broader cannabinoid wellness categories.