Cohort (CHRT) M&A Announcement summary

Deal rationale and strategic fit

• Acquisition brings new satellite communications capability, complementing existing naval communication systems and leveraging technology crossover with subsidiaries.

• Expands geographical footprint, providing a permanent presence in Australia and enhancing support and sales reach in NATO Europe, Asia, Middle East, and the Americas.

• EM Solutions' export success and strong domestic contracts, including a major Australian Navy deal, align with growth ambitions.

• Leadership team views the fit as highly synergistic, making the business core to future group ambitions.

Financial terms and conditions

• Total consideration is AUD 144 million (approx. GBP 74.2 million).

• Funded through a GBP 40 million placing, existing debt facilities, and cash; retail investors can participate via a GBP 1 million PrimaryBid offer.

• Placing price is GBP 8.75 per share, a 4% discount to the previous closing price.

Synergies and expected cost savings

• Technology crossover expected, especially in stabilized platforms and local manufacturing.

• Enhanced support and visibility for EM Solutions in Europe and globally through group’s established relationships.