\n Key Deal Terms<\/p>\n $2,050,000 preferred equity contribution from a newly formed South Africa\u2013based entity to BEN, recognized as intellectual property licensing revenue25% common equity ownership in the newly formed entity and one board seat35% revenue share across software, SaaS, services, and subscription offeringsExclusive license for government and private-sector markets across AfricaPerpetual term with right of first refusal on any sale<\/p>\n The partnership leverages BEN’s proprietary Engagement Language Model (ELM\u2122) and Retrieval-Augmented Generation (RAG) technologies to deliver compliant, localized AI solutions aligned with growing data sovereignty and regulatory requirements across African markets.<\/p>\n Nelson Mandela University: Governed AI in Practice. As part of the Africa expansion, BEN and Valio have entered into a memorandum of understanding with Nelson Mandela University to implement a governance framework for an AI-powered mental health support initiative for students. The planned deployment is intended to operate within a secure, closed-loop environment and is trained exclusively on institution-approved content, without access to external public models or the open internet.<\/p>\n The initiative is designed to complement the University’s existing counseling, wellness, and psychosocial services by expanding access to confidential, culturally relevant support while maintaining strict governance, institutional oversight, and appropriate escalation to human care when required. This comes at a critical time, as mental health challenges among university students are at alarming levels globally. In South Africa, prevalence rates for anxiety disorders reach up to 37.1% among students1, with post-traumatic stress disorder (PTSD) affecting 21-24.5%2, and overall perceived stress impacting 64.7% of university students across Africa3. Similarly, in the United States, 37% of college students report moderate to severe anxiety4, 44% experience depression symptoms5, and 60% meet criteria for at least one mental health issue6, underscoring the universal need for innovative, governed solutions like this pilot.<\/p>\n “In mental health applications, accuracy, governance, and trust are essential,” said Lefentse Nokaneng, Chief Executive Officer of Valio Technologies and General Manager: Research at Brand South Africa, South Africa’s official national branding agency7. “We selected BEN because its technology is built with control and accountability at its core, supporting institutions as they responsibly explore how AI can complement existing support services.”<\/p>\n “This partnership reflects our strategy of pairing commercial scale with real-world, institution-approved deployments,” said Tyler Luck, Chief Executive Officer and Co-Founder of BEN. “Africa, with its rapidly growing digital economy and more than 1.4 billion people, represents a significant opportunity for governed AI adoption across public and private sectors. By combining exclusive licensing, equity participation, and trusted institutional collaborations like Nelson Mandela University, we are building a scalable ecosystem aligned with regulatory, cultural, and societal priorities.”<\/p>\n Valio Technologies is also the creator of eYakho Health, a digital health platform that aims to become one of Africa’s largest connected health networks, linking patients, clinicians, pharmacies, diagnostic providers, and hospitals through a unified digital ecosystem accessible across the continent.<\/p>\n This announcement marks BEN’s second major international AI licensing agreement \u2014 following the highly successful Skye LATAM partnership in Latin America \u2014 and underscores growing demand for compliant, sovereignty-aligned AI solutions across life sciences, healthcare, insurance, financial services, hospitality, retail, and automotive sectors.<\/p>\n About Brand Engagement Network, Inc. (Nasdaq: BNAI<\/a>)\u00a0 About Valio Technologies (Pty) Ltd\u00a0 About Nelson Mandela University\u00a0 Forward-Looking Statements:\u00a0This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially. Factors that may affect results are detailed in the Company’s filings with the U.S. Securities and Exchange Commission. BEN undertakes no obligation to update any forward-looking statements.<\/p>\n Sources \/ Footnotes<\/p>\n 1\u00a0Anxiety disorders prevalence in South African students: https:\/\/www.ncbi.nlm.nih.gov\/pmc\/articles\/PMC10607458\/<\/a> (2023 study)
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Brand Engagement Network, Inc. (“BEN”) is a provider of secure, enterprise-grade artificial intelligence solutions that enable natural conversations, workflow automation, and real-world execution across text, voice, and avatar-based experiences. Designed for regulated and high-impact industries, BEN delivers highly personalized, multimodal AI within secure, closed-loop environments\u2014helping organizations modernize operations, improve decision-making, and enhance customer engagement. BEN’s platform is powered by proprietary technology, including its Engagement Language Model (ELM\u2122), and is built with governance, compliance, and reliability embedded by design. For more information, please visit www.brandengagementnetwork.com<\/a>.<\/p>\n
Valio Technologies (Pty) Ltd is a Pan-African technology company focused on deploying enterprise-grade artificial intelligence, automation, and digital platforms tailored to developing and emerging markets. Valio partners with public- and private-sector organizations to deliver locally governed, scalable technology solutions across sectors including healthcare, government services, and enterprise modernization. Valio is also the creator of eYakho Health, a digital health platform that aims to become one of Africa’s largest connected health networks. For more information, visit www.valiotechnologies.com.<\/a><\/p>\n
Nelson Mandela University is a public comprehensive university in South Africa, named in honor of Nelson Rolihlahla Mandela, and recognized for its commitment to transformative education, research, and community engagement. For more information, visit www.mandela.ac.za<\/a>.<\/p>\n
2\u00a0PTSD prevalence in South African students: https:\/\/www.tandfonline.com\/doi\/full\/10.1080\/09540261.2021.1997893<\/a> (2021\u20132022 data)
3\u00a0Perceived stress across African university students: https:\/\/bmcpublichealth.biomedcentral.com\/articles\/10.1186\/s12889-022-12921-2<\/a> (2022 meta-analysis)
4\u00a0US college student anxiety: https:\/\/healthymindsnetwork.org\/hms\/<\/a> (2023 Healthy Minds Study)
5\u00a0US college student depression: https:\/\/jedfoundation.org\/mental-health-and-college\/<\/a> (2023 data)
6\u00a0Overall mental health prevalence in US college students: https:\/\/www.nimh.nih.gov\/health\/statistics\/mental-illness<\/a> (NIMH, adjusted for college population 2023)
7\u00a0Brand South Africa leadership reference: https:\/\/www.sanews.gov.za\/south-africa\/south-africa-captivating-global-destination<\/a><\/p>\n
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