Dear Imogen and Rafael,

Please find attached the draft ARR statement at 30 September 2025, prepared on the basis of Schedule 7 and the policies applied in the locked-box ARR schedule. Although the Test Date is 31 December 2025, we agreed to share quarterly drafts so that there are no surprises.

Headline: ARR at 30 September 2025 is £5,100,000, against £5,900,000 at 31 December 2024.

The main movements are:
- Northgate Retail (£1,300,000) is excluded in full from 7 February 2025 under paragraph 2.2 of Schedule 7, and in any event the contract ended on 30 June 2025. The transition arrangement is a time-limited services fee, not recurring subscription revenue.
- Southmere Hotels (£360,000) gave notice in August 2025 following its change of ownership.
- Net upsell across the remaining base of £140,000.

On this trajectory ARR at the Test Date will be below the £5,500,000 floor and no Earn-Out Payment would be due. We would of course welcome any new live customers before 31 December.

Kind regards,
Claire Baptiste
Group CFO, Castellane Holdings Ltd
