#Canada #Calgary #Exro Technologies #Annual Meeting #Corporate Update

Exro Technologies Provides Strategic Corporate Update

Exro Technologies Inc., listed on the TSX under the symbol EXRO, recently issued a significant corporate update shedding light on ongoing developments within the company. Set against a backdrop of shifting strategies and operational changes, the announcement details critical aspects of Exro's strategic review process, including employee reductions and the postponement of its annual general meeting (AGM).

Current Strategic Review

Exro is currently undergoing a strategic review aimed at reshaping its business structure. This process centers on discussions about potentially selling some of the company’s intellectual property and technology assets, alongside limited components of its overall business. It's important to note, however, that there is no guarantee that any transactions will consummate, and updates will be provided once binding agreements are established.

Employee Reductions and Cost Preservation

As part of a broader initiative to reduce expenses and conserve cash, Exro has made the difficult decision to terminate approximately 60 employees. This reduction primarily affects personnel in the Cell Driver and Coil Driver sectors, as well as certain operational support roles in the SEA Driver division. These cuts reflect Exro's commitment to maintaining financial stability amid ongoing corporate realignment.

Financial Operations and Credit Facility

Despite the layoffs, Exro continues to operate with the support of its senior secured lender, following a previously announced credit facility made on May 16, 2025. The company is in discussions to renegotiate the milestones needed to access this financial support, aligning them with its updated cost reduction and repositioning strategies. The continued access to this facility will, in part, depend on the results from discussions about asset sales.

Postponement of Annual General Meeting

In light of these developments, Exro has decided to postpone its annual general meeting originally scheduled for September 5, 2025. A new date for the meeting will be communicated once it has been finalized. The decision to delay the AGM reflects the company’s current focus on its strategic priorities rather than operational formalities.

Forward-Looking Statements and Risks

It's crucial for stakeholders to understand the inherent risks associated with forward-looking statements, as outlined in the recent update. These predictions and estimates involve uncertainties that could lead actual results to diverge from expectations. Factors influencing these variations include the company's ability to execute its strategic plans effectively and any developments in discussions regarding asset sales and cost management strategies.

Exro makes clear that while it holds the conviction that its strategic undertakings are sound, stakeholders should approach these forward-looking statements with cognizance of the risks involved. The company asserts its readiness to adapt to circumstances as necessary but will only provide updates when legally obligated, voicing an expectation of timely transparency concerning material events.

In conclusion, as Exro navigates through these transitional phases, maintaining an open line of communication with shareholders and stakeholders will be paramount. Through diligent management and strategic foresight, the company aspires to ensure its position in the evolving technological landscape while pursuing sustainable growth.