Selina Hospitality secures agreements for a strategic investment totaling up to $50M

Executes Financing of Up to $50 Million

Selina has secured agreements for a strategic investment totaling up to $50 million led by an affiliate of Global University Systems ("GUS" or the “Investor”), a leading global higher education platform. This funding is part of the Company’s plan to strengthen its balance sheet as it continues on its path to achieving profitability and cash flow positive operations. The investment by GUS will be completed in multiple tranches as follows:

The first tranche comprises an immediate $10.0 million in funding under a secured convertible debt instrument.

After securing an additional $20.0 million in PIPE equity or other funding from parties other than the Investor or any of its affiliates and satisfying other funding conditions, the Investor commits to an additional tranche of $10.0 million via a private investment in public equity (“PIPE”) and an additional $10.0 million in PIPE investment and/or convertible debt.

The arrangements also provide for an optional third tranche that includes $20.0 million from the Investor, consisting of PIPE investment and/or convertible debt, in each case generally on the same terms as the initial convertible debt and PIPE funding.

Should all investments be completed, including the additional $20.0 million in conditional funding required to unlock the second tranche of investments, Selina will have secured $50-$70 million of additional capital.

As part of its investment, the Investor will receive warrants to acquire additional shares in the Company at a premium to the current trading price, and have the ability to appoint two directors to Selina’s Board of Directors. These agreements, the details of which are included within a Report on Form 6-K filed today with the Securities and Exchange Commission, are part of the company's wider strategy to strengthen its balance sheet and continue on its path to profitability.

Beyond the notable investment, Selina’s strategic alliance with GUS will help Selina connect with another expansive, dynamic community. The collaboration between the parties is expected to help broaden and diversify the customer bases for each company. It is envisioned that Selina will become an important touchpoint for the GUS community, providing a comfortable and engaging environment for learning, work, and travel. This affiliation also opens the door for GUS to implement educational programs, accommodate students, and facilitate global study initiatives leveraging Selina's extensive network of properties.