Royalty Management Subsidiary The Vault Holdings Launches Private Capital Raise for Digital Strategy Expansion

The Vault Holdings Corporation, a wholly owned subsidiary of Royalty Management Holding Corporation (Nasdaq: RMCO), has filed a Form D with the SEC to begin a private capital round for expansion of its bitcoin, cryptocurrency, and digital strategy platform. The private capital raise will be conducted at The Vault Holdings Corporation subsidiary level, with proceeds from the financing to be used to acquire infrastructure and cryptocurrency machines for its digital strategy. Management and existing investors in Royalty Management have committed to participate in the funding round.

Should the company be successful in raising this round of private capital, The Vault will utilize the proceeds primarily to purchase crypto mining equipment that will be used to generate revenue and income. This is part of The Vault's broad strategy of investment within the data center, AI, and alternative currency mining sectors. The Vault is tasked with a mission of investing in, and expanding its holdings of, the growing datacenter, artificial intelligence, and alternative currency mining space and has started initial expansion at its first two sites, located in Marion, Indiana and Noblesville, Indiana.

In support of this strategy, The Vault is in the process of securing low-cost industrial energy usage rates that incorporate economic riders alongside negotiated power contracts that involve pooling energy usage with other companies, thereby optimizing energy use and lowering cost structure. Thomas Sauve, Chief Executive Officer of the Company, stated that The Vault is able to work with other adjacent industrial tenants to combine their energy use into one low-cost power contract, utilizing local incentives to negotiate more favorable energy rates that also result in local job creation and value for all parties under the energy contract.

The two initial sites selected in Indiana have already been identified through a comprehensive study performed by third parties to have favorable electrical utility support. Furthermore, the sites possess both existing structures and industrial outdoor storage features, giving the company flexibility to deploy a variety of income-producing assets. As the investment thesis around this core Company theme solidified, it made sense to consolidate RMCO's various investments in the datacenter, AI, and alternative currencies space within one company that can provide a focused vehicle for growth and monetization in this sector.

This initiative, combined with the company's recent rare earth refining IP partnership with ReElement, puts Royalty Management in a favorable spot to capitalize on targeted sector growth through low-cost cashflow generation. The private capital raise by The Vault will have no dilutive effects on the capitalization or shareholders of its parent company, Royalty Management, as any capital raised will be at the subsidiary level. Through The Vault, RMCO intends to grow its investment and focus on datacenter, AI, and alternative currency assets through a variety of business lines and investments.

The company plans to deploy The Vault's own servers and equipment at properties through new equipment purchases and site investment to generate alternative currency income. Additionally, The Vault will lease its controlled assets, such as real estate, buildings, infrastructure, and electrical rate contracts, to third parties that will build and deploy datacenters and similar infrastructure. In return, The Vault will receive rental and royalty income, with the potential to receive additional consideration in the form of alternative currencies that are mined using these controlled assets. The company also plans to acquire and invest in other properties and assets within this sector, including those that manufacture datacenter, server equipment, and other hardware that supports the growth in this sector. More information about The Vault Holdings Corporation can be found at https://www.thevaultholdings.com/.