Smoltek

As previously announced, the Company and YAGEO have been in discussions for some time regarding a license and service agreement for discrete and embedded capacitors based on Smoltek's patented technology platform for ultra-thin carbon fiber-based capacitors (CNF-MIM) (the "Agreement"). Smoltek announces today that the Company has received notice from YAGEO's management that YAGEO does not currently intend to proceed with the discussions regarding the Agreement.

YAGEO's decision is justified by the fact that the time is not currently right for YAGEO to make the short- and long-term investments in Smoltek that the Agreement had entailed.

"We believe in the potential of Smoltek's Carbon Nano-Fiber technology to produce Silicon capacitors. However, after a thorough evaluation, we regret to conclude that the timing is not right for us to make further investments currently. Nevertheless, we remain open to revisit the decision if conditions change. We are still confident that Smoltek's innovative technology will provide commercialized products that deliver disruptive capabilities as compared to the current products on the market", says Bob Willoughby, Head of MLCC Product Business Group, Senior EVP YAGEO Group.

In the light of YAGEO's announcement, the board of Smoltek has decided to postpone the publication of the Company's annual report from March 26, 2024, to April 23, 2024.

YAGEO's announcement will naturally affect the Company's planning both operationally and financially, and the Company will without delay take these new circumstances into account and take the necessary measures.