Montana Aerospace AG: MONTANA AEROSPACE DIVESTS MAJORITY SHARE OF ITS NON-CORE MACHINE BUILDING CAPACITIES

Reinach (pta002/27.12.2022/07:00 UTC+1)

CORPORATE NEWS
Reinach (Aargau), 27 December 2022
[Ad hoc announcement pursuant to art. 53 SIX Listing Rules]

MONTANA AEROSPACE DIVESTS MAJORITY SHARE OF ITS NON-CORE MACHINE BUILDING CAPACITIES

Montana Aerospace AG (the "Company") and its operating subsidiaries (the "Group" or "Montana Aerospace"), a leading, highly-vertically integrated manufacturer and supplier of system components and complex assemblies for the aerospace, e-mobility and energy industries with worldwide engineering and manufacturing operations, today announces the divestiture of the majority share (53%) of the machine shop Alpine Metal Tech GmbH and its subsidiaries, headquartered in Regau, Austria.

With the clear focus to concentrate on its core business "Aerostructures" including complex assemblies and moving parts for mainly all commercial planes in the sky, Montana Aerospace has decided to divest from its non-core machine building capacities and therefore divests a majority stake.

For Montana Aerospace, the transaction is concluded at an attractive valuation, supporting the FY2022 EBITDA and reducing Net Debt by a low double-digit EUR Mio. amount. The selling price will be paid in cash, consisting of a first tranche, payable immediately, which is fixed, and a second tranche with a variable component based on the financial performance of AMT, payable following availability of the 2022 annual financial statement of AMT. The proceeds from the divestiture will be used for further strategic projects in the 'Aerostructures' segment. The buyer is an entity directly owned by DDr. Michael Tojner, Co-Chairman of the Company, potentially joined by a consortium of members of the management of Alpine Metal Tech (AMT). The decision to divest the non-core capacity is partly based on the continuous investor feedback to the company.

AMT is a leading system developer of turnkey solutions in the fields of continuous casting, deburring, marking, torch cutting and scarfing as well as for identification and inspection. The broad, but vertically specialized know-how of the company provides significant opportunity for a stand-alone development post-MBO, utilizing the industry know-how and experience of the current management. AMT and its 9 subsidiaries generate roughly EUR 100 million of sales on a yearly basis, while engaging more than 500 employees.

In a first step, Montana Aerospace AG will remain a minority shareholder of AMT (47%) to benefit from the future growth trajectory on an independent level, as well as to account for several joint strategic projects across the group, for which reason the Company and AMT will enter into a shareholder's agreement. In a second step, the Company will consider selling the remaining shares in AMT.

Michael Pistauer, Co-CEO and CFO comments: "The positive impact of this transaction will lead to an increased result in comparison to current analyst estimates. This in combination with a good operative development in Q4 and a focus on our core competence – especially in the Aerostructures segment – will further accelerate our path to overachieve our internal goals, particularly in terms of Net Debt and EBITDA performance."

The parties agreed not to disclose the selling price.

Head of M&A and Investor Relations
Marc Vesely recte Riha
Phone: +43 664 61 26 261
E-mail: ir@montana-aerospace.com

Press contact
Jürgen Beilein
Phone: +43 664 831 2 841
E-mail: communication@montana-aerospace.com

About Montana Aerospace AG
Montana Aerospace AG is a leading producer of system components and complex assemblies for the aerospace industry, with worldwide engineering and manufacturing operations. The Company has approximately 7,200 highly skilled employees at 33 locations on four continents – designing, developing and producing ground-breaking technologies for tomorrow's aerospace, e-mobility and energy industries out of aluminium, titanium, composite, copper and steel.

Disclaimer
Statements contained herein may constitute "forward-looking statements". Forward-looking statements are generally identifiable by the use of the words "may", "will", "should", "plan", "expect", "anticipate", "estimate", "believe", "intend", "project", "goal", "aim" or "target" or the negative of these words or other variations on these words or comparable terminology.

Forward-looking statements involve a number of known and unknown risks, uncertainties and other factors that could cause the Company's or its industry's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by such forward-looking statements. The Company does not undertake publicly to update or revise any forward-looking statement that may be made herein, whether as a result of new information, future events or otherwise.

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Emitter:	Montana Aerospace AG Alte Aarauerstrasse 11 5734 Reinach Switzerland
Contact Person:	Marc Vesely Recte Riha
Phone:	+41 62 7652500
E-Mail:	m.vesely@montana-aerospace.com
Website:	www.montana-aerospace.com
ISIN(s):	CH1110425654 (Share)
Stock Exchange(s):	SIX Swiss Exchange