Beneficient Plans To Eliminate HCLP Debt, Complete Separation From Former CEO Brad Heppner

Beneficient (NASDAQ: BENF) ("Beneficient" or the "Company"), which provides liquidity and primary capital solutions and related fiduciary services for alternative assets, today announced that it has taken a significant step in executing its previously announced strategy to eliminate the purported HCLP debt and achieve a complete separation from former Chief Executive Officer Brad Heppner and his affiliated entities.

On October 23, 2026, the Company and certain subsidiaries filed a motion to intervene in the Delaware Court of Chancery litigation previously brought by HCLP Nominees, L.L.C. ("HCLP") against Delaware Trust Company. The accompanying proposed verified complaint seeks to invalidate the HCLP credit agreements and related loan documents and cancel the purported obligations based on their role in Heppner’s scheme, recover the approximately $211 million the Company previously paid on the purported debt, and establish that HCLP has no valid right to the related collateral. If successful, this action would eliminate approximately $130 million of purported HCLP debt, leaving the Company with an unleveraged balance sheet.