Tekna Holding secures financing from Arendals Fossekompani

11 Apr 2023 07:00 CEST

11.4.2023 07:00:00 CEST | Tekna Holding ASA | Additional regulated information
required to be disclosed under the laws of a member state

(Arendal, NORWAY / Sherbrooke QC, CANADA) Tekna Holding ASA (Tekna, OSE: TEKNA),
the world-leading provider of advanced materials and plasma systems, is pleased
to announce that additional financing has been secured from Arendals
Fossekompani, its main shareholder.

A CAD 25 million term loan facility with three tranches is made available for
Tekna until June 2024.

"Arendals Fossekompani is Tekna's largest shareholder and stands firmly behind
the company's technology and ambitious growth strategy. We have discussed
alternative ways to provide financial support and concluded that a loan offered
to one of Tekna's Canadian subsidiaries would be the most beneficial for Tekna
and its shareholders," said Lars Peder Fensli, Interim CEO of Arendals
Fossekompani, which owns approximately 70 per cent of the shares in Tekna.

As mentioned in Tekna's report for the fourth quarter 2022, the two companies
have discussed financing alternatives for some time. Today's agreement provides
financing through three tranches of CAD 5, 10 and 10 million, where each tranche
is a loan with 3 years duration. This represents a total amount of CAD 25
million. The last tranche is subject to certain performance criteria.

"Having such a committed and supportive owner as Arendals Fossekompani is a
great asset to Tekna as we pursue our growth strategy. The loan agreement, which
will provide a solid financial foundation and bridge until the company becomes
cash positive, is based on market terms and negotiated at arm's length," said
Dag Teigland, chair of the board of Tekna. The interest on the loan will be
accrued and added to the principal of the loan at the end of each interest
period (payment in kind), and it is based on a 300 bps margin on top of the
Canadian interbank rate 3-months CDOR.

"We are pleased to conclude the loan agreement at such an opportune moment.
Today, we also released our Annual Report, which features the Sustainability
Report and other relevant reports available on our website www.tekna.com -
http://www.tekna.com. In 2022, we have maintained a leading position in the
market, as evidenced by our record high backlog of orders worth CAD 25 million,
a remarkable 64% increase from the previous year. It's an exciting position to
be in," said Luc Dionne, CEO of Tekna.

DISCLOSURE REGULATION

This information is subject to the disclosure requirements pursuant to Section
5-12 of the Norwegian Securities Trading Act.

CONTACTS

* Arina van Oost, Investor Relations | VP Corporate Strategic Development &
Innovation, Tekna, +1 438 885 6330, Investors@tekna.com

ABOUT TEKNA HOLDING ASA

Tekna is a world-leading provider of advanced materials to industry,
headquartered in Sherbrooke, Canada.

Tekna produces high-purity metal powders for applications such as 3D printing in
the aerospace, medical and automotive sectors, as well as optimized induction
plasma systems for industrial research and production. With its unique,
IP-protected plasma technology, the company is well positioned in the growing
market for advanced nanomaterials within the electronics and batteries
industries.

Building on 30 years of delivering excellence, Tekna is a global player
recognized for its quality products and its commitment to its large base of
multinational blue-chip customers. Tekna's powder products increase productivity
and enable more efficient use of materials, thereby paving the way towards a
more resilient supply chain and circular economy.

https://www.tekna.com



ATTACHMENTS

Download announcement as PDF.pdf -
https://kommunikasjon.ntb.no/ir-files/17847682/2241/3068/Download%20announcement
%20as%20PDF.pdf

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