diff --git a/CHANGELOG.md b/CHANGELOG.md
index 7855685..b6a2e90 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -7,6 +7,13 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 
 ## [Unreleased]
 
+## [0.12.9] - 2026-07-02
+
+### Changed
+
+- **Server sync v0.11.96** — no SDK API surface changes; bundled with server v0.11.96
+  engine and routes-handler improvements (DAK-7243).
+
 ## [0.12.8] - 2026-06-26
 
 ### Changed
diff --git a/pyproject.toml b/pyproject.toml
index f120c18..e122ad2 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -4,7 +4,7 @@ build-backend = "setuptools.build_meta"
 
 [project]
 name = "dakera"
-version = "0.12.8"
+version = "0.12.9"
 description = "Python SDK for Dakera - AI memory platform"
 readme = "README.md"
 license = {text = "MIT"}
diff --git a/src/dakera/__init__.py b/src/dakera/__init__.py
index d00c33f..f34e4d8 100644
--- a/src/dakera/__init__.py
+++ b/src/dakera/__init__.py
@@ -158,7 +158,7 @@
         DakeraDelegationHelper,
     )
 
-__version__ = "0.12.8"
+__version__ = "0.12.9"
 __all__ = [
     # Clients
     "DakeraClient",