Leclanché SA closes its 2023 Annual General Meeting

Ad hoc announcement according to Art. 53 KR

Leclanché concludes its 2023 AGM

• Shareholders approve the conversion of liabilities to major shareholders and other investment partners of CHF 66.7 million into company shares to strengthen the balance sheet
• The amendment to the articles of incorporation was approved to strengthen shareholder rights, modernize corporate governance and bring it in line with the latest market standards

YVERDON-LES-BAINS, Switzerland, June 26, 2023 – Leclanché SA (SIX: LECN), one of the world’s leading manufacturers of high performance industrial batteries, announced the decisions of the company’s shareholders on the proposals of the Board of Directors at the Annual General Meeting (AGM) 2023, to be held today at the CEI,Rue Galilée 13, 1400 Yverdon- les-Bains, Switzerland, Galilee area.

Shareholders approved the Board’s proposal to transfer existing debt to SEF-Lux[1] and other investment partners in the amount of CHF 66,684,928.67 through an ordinary capital increase into equity. This restructuring move, which strengthens the balance sheet, should spur interest in investing at a time of expected strong growth in Leclanché’s backlog in the fast-growing electric mobility space.

The Board of Directors’ proposal to increase the company’s share capital by CHF 14,129,985.90 from CHF 44,481,491.00 to CHF 58,611,476.90 through two ordinary capital increases was accepted.

The five members of the Board of Directors, Mr. Alexander Rhea, Mr. Marc Lepièce, Mr. Christophe Manset, Mr. Bernard Pons and Mr. Ali Sherwani, were re-elected. Mr. Alexander Rhea was re-elected as Chairman of the Board of Directors. The members of the Nominations and Compensation Committee, Mr. Marc Lepièce and Mr. Christophe Manset were re-elected and Mr. Alexander Rhea was elected.

The Swiss corporate law reform, which provides for certain changes effective from January 1, 2023, requires adjustments to the articles of association to ensure compliance with the updated regulations. The changes approved by shareholders reflect not only the requirements of the new law, but also a commitment to upholding shareholder rights, modernizing corporate governance and aligning with the latest market standards. Key areas addressed in the amendments include the introduction of the Capital Band, designed to provide greater financial flexibility, the inclusion of provisions for the use of electronic means to improve shareholder engagement, and general overhauls to ensure compliance with the ensure new law. In addition, voluntary adjustments were made to further consolidate the governance structure. The Board believes that these changes will strengthen the governance framework and demonstrate a commitment to the highest standards of corporate governance.

Shareholders have approved the maximum aggregate amount of Executive Board compensation for the 2024 financial year at CHF 2,350,000.00. This amount is half of the amount approved for the 2023 financial year.

Update on business operations

In their speeches, the Leclanché Group leadership team outlined the company’s progress in the following business areas.

e-mobility business

• With the win of major projects such as Brittany Ferries, Scandlines and CMAL, Leclanché’s market share in the e-Marine business has increased significantly, making the company one of the most established players in the marine market in 2023.
• In the rail market, Leclanché wins repeat business from major OEMs such as Alstom and Canadian Pacific Rail, and expands its growing rail customer base with companies such as KONAR.
• Leclanché continues to evolve its technology roadmap, focusing on cells, modules, packs and marine rack products, with sustainability as a core value.
• Leclanché’s growth is expected to continue in our chosen electric mobility market segments and we will make further announcements throughout the year.

stationary business

• The Stationary Equipment business saw a large market acceptance for its newly launched product LeBlockTM, a highly secure, modular and scalable battery storage solution. Two multi-MWh projects with LeBlock have already been secured. Leclanché’s Stationary Business unit is driving the development of LeBlock version 2.0 to further increase product safety and target high-growth applications such as in the microgrid and generator set hybridization markets.

Specialty Battery Business

• The Specialty Batteries business continues to be characterized by its growth in the medical and defense business segments, expanding into other European countries and securing repeated orders with its trusted partners.

Alexander Rhea, Chairman of Leclanché, said: The main focus of Leclanché’s new Board of Directors in 2023 is to guide the new management to focus all efforts on the core know-how and expertise in the manufacture of high-performance industrial batteries to ensure long-term growth and innovation and a solid foundation to create numerous future prospects. As announced in various press releases throughout the year, these efforts have been recognized by the industry and Leclanché has seen significant pipeline growth and firm orders. In this regard, the Board has strong confidence in the Company’s long-term ability to create value for its shareholders as the Company pursues future expansion. In recent years, the company has strategically allocated significant resources to expand its manufacturing capabilities and invested diligently in R&D, so such focus is important. This focus is already paying off as the company is actively building its backlog.”

For more information write to [email protected] or visit www.leclanche.com.

About Leclanché

Leclanché is a global leader in low-carbon energy storage solutions based on lithium-ion cell technology. Leclanché was founded in 1909 in Yverdon-les-Bains, Switzerland. Leclanché’s history and heritage is rooted in battery and energy storage innovation. The Swiss culture of precision and quality, along with manufacturing facilities in Germany, make Leclanché the preferred partner for companies looking for the best battery performance and pioneering positive changes in the way energy is generated, distributed and consumed around the world. Leclanché is organized into three business areas: Energy Storage Solutions, E-Mobility Solutions and Specialty Battery Systems. The company currently employs over 350 people and has representative offices in eight countries worldwide. Leclanché is listed on the Swiss Stock Exchange (SIX: LECN). SIX Swiss Exchange : ticker symbol LECN | ISIN CH 011 030 311 9

Disclaimer

This press release contains certain forward-looking statements about Leclanché’s activities, identified by terms such as strategic, proposed, initiated, planned, expected, commitment, expect, forecast, established, prepare, plan, estimate, goals, would, potential and anticipate, estimate, offer or similar expression, or by express or implied discussion of Leclanché’s ramp-up of production capabilities, potential applications of existing products or potential future revenues from such products, or potential future sales or profits of Leclanché or any of its business units. You should not place undue reliance on these statements. These forward-looking statements reflect Leclanché’s current views about future events and involve known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from any future results, performance or achievements expressed or implied in these statements implicitly expressed. There is no guarantee that Leclanché products will achieve any particular level of sales. Nor can there be any guarantee that Leclanché or any of its business units will achieve any particular financial result.

contacts

^[1] SEF-Lux refers to: Strategic Equity Fund SCA SICAV RAIF Renewable Energy (RE) (including former Strategic Equity Fund SCA SICAV RAIF E Money Strategies (EMS) and former Strategic Equity Fund SCA SICAV RAIF Multi Asset Strategy), Golden Partner Private Equity FOF, AM Investment SCA SICAV FIS R&D Sub-Fund, AM Investment SCA SICAV FIS Liquid Assets Sub-Fund, AM Investment SCA SICAV FIS Illiquid Assets Sub-Fund together and in their entirety the main shareholder of LECLANCHE SA, hereinafter referred to as SEF – Lux referred to. Pure Capital SA is the beneficial owner according to the reporting platform of the Disclosure Office of SIX Exchange Regulation AG Date of publication of the last report: January 10, 2023.