BUSCAR COMPANY CEO LETTER TO SHAREHOLDERS

Buscar filed unaudited FY2026 financial statements and expanded its PCAOB audit to cover FY2025 and FY2026, but the company cautioned that adjustments could be material and gave no assurance about audit timing or filing a planned Form 10. Its four majority-owned businesses remain early-stage and require additional capital; milestones include a planned 5,000-foot exploration drill program subject to permitting and financing, Terramer capacity of 8,800 tons per year targeted for commissioning in late 2027, Armorgenix production of 250,000 units planned for February 2027, and a Lucky Hand launch targeted for Q2 2027. These targets are conditional, and no mineral resources or reserves have been established at Treasure Canyon.

Analysis

The key market mechanism is financing, not the operating milestones: four unrelated, pre-commercial businesses compete for capital at a thinly traded OTC holding company. Until audited statements and a registration statement are completed, investors have limited grounds to underwrite subsidiary claims, while the parent may face a persistent holding-company discount and dilution risk. A Form 10 could improve disclosure and broaden investor access, but it is not a catalyst for exchange listing, operating cash flow, or dependable liquidity.

Near term (days to weeks), the unaudited report and expanded audit scope are not independently verified evidence of financial progress. Audit adjustments—or delay—could undermine confidence; even a clean audit would resolve only a reporting uncertainty. Over 1–3 months, watch for actual audit completion, filing of the Form 10, financing terms, and specific permit actions. Over 6–18 months, the subsidiaries’ planned launches and capacity build-out create a capital-allocation problem: funding one project may crowd out others, and targets remain contingent on financing, suppliers, certification, or regulatory clearance. The exploration asset has no established resource, so permitting alone would not validate an economic deposit.

Contrarian point: the breadth of the portfolio can sound like diversification, but at this stage it may instead dilute management focus and make valuation harder. The market may overreact to a Form 10 filing as if it were a liquidity or value unlock; the relevant confirmation is audited disclosure followed by funded, measurable execution. There is no robust fundamental basis here for a directional trade without verified financials, financing terms, and liquidity data.

Key Decisions for Investors

• No directional position on the announcement alone. Treat Buscar Company as a watchlist name pending audited FY2025–FY2026 statements, given OTC liquidity and the possibility of material adjustments.
• Set an alert for audit completion and any Form 10 filing/effectiveness; distinguish a filed registration statement from effective SEC reporting and from any exchange-listing event.
• Before underwriting the equity, verify cash, liabilities, subsidiary-level burn and ownership, related-party transactions, and any financing or dilution terms. A financing that materially expands the share count or carries restrictive terms would weaken the equity case.
• Track objective milestones rather than management targets: agency permit decisions and funded drilling; independent compostability certification and secured manufacturing; wellness-product compliance and production; and public game launch with user/retention data. Delays or unmet milestones would falsify an execution-improvement thesis.