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Evogene Addresses Shareholder Concerns

In a recent public communication, Evogene Ltd. (NASDAQ: EVGN) took a firm stand against discontent from some shareholders, including L.I.A. Pure Capital and Invest-Pro. These groups have pushed for a complete overhaul of the board, citing previous performance issues. Evogene, however, encourages shareholders to focus on the substantial changes and forward momentum achieved in the past 18 months.

Acknowledgment of Past Challenges

Evogene acknowledges that the company has had its share of difficulties, but argues that the real question lies in how the current board has reacted to these challenges. Instead of a complete board replacement—a move that could inject unnecessary instability—the company suggests shareholders consider the proactive measures already set in motion.

Key Transformations and Progress

Over the last year and a half, Evogene has implemented several pivotal changes:

• - Core Technology Development: The introduction of ChemPass AI™, a computational chemistry platform that integrates AI capabilities in partnership with Google Cloud, demonstrates a significant technological evolution.
• - Partnerships: The signing of six drug development agreements with various biotech firms and academic institutions marks a critical shift in their business strategy, allowing Evogene to leverage its technology through collaborative ventures rather than relying solely on costly in-house projects.
• - Financial Optimization: Evogene significantly reduced its cash burn from approximately $20.5 million in 2024 to an anticipated $8.5–$9.5 million in 2026, with additional reductions planned for 2027. This financial reengineering underscores the company's shift towards sustainability.
• - Workforce Efficiency: Streamlining operations has resulted in a reduction of the workforce from 117 to just 38 employees, ensuring that the remaining team is focused and agile.
• - Asset Monetization: The sale of Lavie Bio for around $15.25 million demonstrates Evogene's ability to generate capital effectively, while also licensing Biomica's Phase I asset to Lishan Biotech.
• - Focus on Sustainable Development: Refocusing efforts toward Brazil’s sustainable aviation fuel market underlines Evogene’s commitment to integrating sustainable practices within its operational framework.

Commitment to a Strong Board

Evogene emphasizes the importance of maintaining existing institutional knowledge while bringing in fresh expertise. To that end, they are enhancing their board with professionals like Dr. Yael Margolin, who offers expertise in pharmaceutical innovation, and Mr. Yoshinori Oikawa, who brings extensive biotechnology experience. The current board remains confident in their ability to steer the company towards success and sustainability.

Conversely, the dissident shareholders have proposed candidates who lack familiarity with Evogene's intricacies and have not presented a clear alternative strategy. The management team advocates for a methodical approach to board refreshment, aiming to foster stability rather than upheaval.

Encouragement to Vote

With the Annual General Meeting approaching on September 4, 2026, Evogene is urging its shareholders to vote in favor of its director nominees. The company believes that a rejection of the dissident candidates is vital for maintaining the course towards successful execution of its strategy and ongoing transformation.

For shareholders with questions about the voting process or needing assistance, Evogene has made their proxy solicitor, Sodali Co., available for support.

About Evogene

Founded with a vision for leveraging computational chemistry for significant advancements in pharmaceuticals and agriculture, Evogene Ltd. specializes in generative design. Central to its operations, ChemPass AI™ facilitates the exploration of chemical spaces, leading to the development of potent small molecules that address critical industry needs. As Evogene continues to navigate the evolving landscape, they remain committed to creating cutting-edge products driven by innovation and strategic partnerships. For further inquiries, please visit www.evogene.com.

Forward-Looking Statements

This press release includes forward-looking statements concerning future events as outlined under the Private Securities Litigation Reform Act. Any discussions regarding potential outcomes or expected advancements reflect current estimates and assumptions, which are subject to risks and uncertainties. Evogene disclaims any obligation to update such statements.