Fasadsystem have a long experience of assembling and building large facade solutions. The company has received a new order from the construction company Peab to build the facade at Lundbyskolan in Gothenburg.

The aim is to create a climate-efficient façade that is produced with minimal carbon dioxide emissions. To achieve this, Hydro Circal is used, a material of high-quality and almost only recycled aluminum. The construction will start at the beginning of 2022.

– For us at Fasadsystem this project is a proof of our clear ambition to build for the future in a double sense. It feels just right when we use recycled material when we create environments for our future generations – the schoolchildren and youngsters. It is our duty to do everything we can to contribute to a sustainable future, something that this façade will be a good example of, says Oliver Tavander, Project manager at Fasadsystem.

Soltech has an offensive growth strategy with acquisitions in the solar, roof, facade and electrical engineering industries. Acquired companies together create synergy effects and build a strong group with cross-border expertise. The acquisition of the roofing company Wettergrens is Soltech's 17th acquisition since the acquisition strategy began in 2019. An acquisition that further strengthens the Group's already strong position in roofing and the strategy to transform traditional companies in roofing, facade and electrical technology so that they also sell solar energy.

– This acquisition is completely in line with our acquisition strategy. Wettergrens is a very reputable roofing contractor with a strong local connection in Södermanland, which contributes to Soltech's growing presence in the Mälardalen region. We are now bringing in another 20 competent employees to the group who will be involved in adding solar cell installations in more and more of the company's contracts, says Stefan Ölander, CEO of Soltech Energy.

A company with solid industry experience
Wettergrens has been active in the industry for 70 years. The company is a comprehensive supplier that masters everything within roofs and works with private individuals, regions, municipalities, industries, construction companies and the rest of the business community. Södermanland, Södertälje and Stockholm are Wettergren's main areas, but thanks to the company's rolling roof team, several major works are also delivered in other parts of the country every year.

– For me and the whole team at Wettergrens, it is extremely inspiring to now be part of Soltech. We will continue to grow and develop our already strong business at the same time as we will consolidate a position as one of Central Sweden's leading roofing companies when it comes to solar cell installations, says Frank Fredriksson, CEO of Wettergrens.

Participation in the world exhibition "Connecting Minds – Creating The Future" in Dubai is the Swedish government's and Sweden's single largest investment in export and investment promotion activities and will be launched on 1 October this year.
 
Soltech Energy's subsidiary Soltech Sales & Support contributes to Sweden's pavilion with self-developed stylishly designed solar facade and sunroof, to create aesthetic solarpower solutions. To show the future of solar energy from solar panels to storage and energy optimization, Soltech collaborates with the Swedish companies Nilar and Ferroamp. Ferroamp's EnergyHub system helps control and optimize the energy from the solar panels and the pavilion's consumption can be reduced with the help of an energy storage installation with advanced Nilar Hydrid® batteries.
 
– We are proud that building-integrated solar energy solutions from Soltech is installed at the Swedish pavilion. Together with our partners Nilar and Ferroamp, we show the strength of collaboration between Swedish innovation companys. The pavilion will be powered by green energy, directly from the sun but managed by Swedish innovations, says Stefan Ölander, CEO of Soltech Energy.
 
Sweden's pavilion shines with innovation and sustainability
The Swedish pavilion "The Forest", 500 m2 of the roof will be covered by Soltech's, "Roof" and 500 m2 of the sun facade "Facade". The entire facility controls, optimizes and stores energy, something that fits in well with the pavilion's overall themes, which are innovation, sustainability and societal needs.
 
– Soltech sees great value in being able to showcase our solar products in Dubai. Our ambition is that the Swedish pavilion's energy solutions and our collaboration show the outside world how Swedish innovation is an important building block in the sustainable society of the future, Stefan Ölander concludes.
 
Watch the film that shows how everything is connected here:
https://soltechenergy.com/varldsutstallningen-2021/

In addition to Soltech Energy Solutions becoming one of Sweden's leading suppliers of solar energy to the corporate market, the new merged company will significantly strengthen the Group-wide support function offered to all subsidiaries. Prior to the merger, other companies in the Soltech Group will be able to receive even better support in solar energy. This greatly increases the Group's opportunities to meet the rapidly growing demand for solar energy installations that are noticeable in all parts of the country where the Soltech Group is established.

The decision to merge was made at the beginning of July, and the merger and business transfers is in full swing. An application for a name change is being processed by the Swedish Companies Registration Office. The preliminary date for the merger's execution is October 1, 2021, and Swede Energy's CEO Christoffer Caesar will continue as CEO.

– Merging the operations of three of our largest wholly owned solar companies is a decision that is based primarily on achieving synergy effects but also on the other group's rapidly growing need for industry-leading expertise and resources in solar energy. Our transformative acquisition strategy has turned out so well, which means that our roof, facade, and electricity companies now receive a lot of requests to supply solar energy throughout the country, and then it is important to have a strong national solar company in the group that can help with the transformation, says Stefan Ölander, CEO of Soltech Energy.

– By merging the operations of the Group's three largest pure solar companies, we are building a strong solar energy company. It gives us the strength to continue to take large and technically complex assignments across the country, and at the same time through our sister companies offer solar energy as a fully integrated part of the Group's roof, facade and electricity companies' offer to the market, says Christoffer Caesar, CEO of current Swede Energy Power Solutions AB.

– At Soltech, we have long had leading expertise in solar energy installations in many parts of the country. By now pooling much of this capacity in one and the same company, we can optimize both external and internal processes and systems, in a way that ensures that we can continue to be the driving innovative player in Swedish solar energy, says Johan Seeman, CEO of MeraSol AB.

– The group has quickly grown to about 400 employees, of which about 70 works in one of the three companies that now are merged. For my employees, this means even tighter collaboration, faster decision-making paths, and more efficient work processes daily. The merger feels like an exciting and at the same time completely natural consequence of us growing so fast, says Markus Svensson, CEO of Soltech Sales & Support AB.

Swede Energy has a vast experience of creating large roof-mounted solar energy solutions. The solar energy company will now begin construction of two solar energy solutions for Castellum, where the tenant, the supermarket chain City Gross, then will buy all the electricity. The facilities are part of a framework agreement with City Gross that was signed in 2020. In total, the two solar plants have an order value of SEK 5 million.

– It is of great value that we have now agreed on two major solar energy solutions for Castellum and the tenant. The solar cell facilities will contribute large amounts of renewable energy to City Gross in Jönköping and Linköping. Businesses like these demonstrate the strength of our group, with the possibility of complete solutions that include both high-quality roofing and solar energy, says Rickard Lantz, Sales Manager at Swede Energy.

The solar energy construction is expected to be put into operation during the latter part of 2021. The roof of the property in Jönköping will also have a new roof, laid by one of the Soltech Group's roofing companies, Takorama.

According to a press release on 13 August 2021, Soltech Energy Sweden AB (publ) will carry out a rights issue with a subscription period 24/8 – 7/9.

Trading in subscription rights was planned to take place between 24/8 – 2/9, but due to technical problems with a supplier, trading will not start until 25/8 – 2/9.

The Board of Directors of Soltech Energy Sweden AB (“Soltech” or “the Company”) has prepared a supplementary prospectus (the “Supplementary Prospectus”) to the EU Growth Prospectus that was approved and registered by Finansinspektionen and published on 13 August 2021 (the “Prospectus”).

The supplementary prospectus has been prepared due to Soltech's publication of the Company's financial report for the second quarter of 2021. On August 20, 2021, the report is available on the Company's website, www.soltechenergy.com

The Supplementary Prospectus has been prepared in accordance with Article 23 of Regulation (EU) 2017/1129 of the European Parliament and of the Council (the “Prospectus Regulation”) and has today, 20 August 2021, been approved and registered by the Swedish Financial Supervisory Authority. The supplementary prospectus must be read together with the Prospectus in all respects. The Prospectus and the Supplementary Prospectus are available on Soltech's website, www.soltechenergy.com and on Aktieinvest FK's website, www.aktieinvest.se and will also be available on Finansinspektionen's website, www.fi.se.

For complete terms and other information about the Rights Issue, please refer to the Prospectus and the Supplementary Prospectus.

The financial year 2021 continues completely according to plan with strong growth during the second quarter. The Group's revenues increase by 71% to SEK 266.2 million and the Swedish operations increase by as much as 102% to SEK 220.7 million.

CEO comment:
• I am proud to lead a group that is growing so fast and that contributes to a green energy transition. The future looks very bright.

SECOND QUARTER IN BRIEF

▪ The Group's revenues in the quarter amounted to SEK 266.2 (156.1) million. An increase of 71%.

▪ Revenues in the Swedish operations grew to SEK 220.7 (109.1) million, an increase of 102%.

▪ Revenues in the Chinese operations amounted to SEK 45.5 (47) million, a decrease of 3%.

▪ The Group's profit before depreciation (EBITDA) amounted to SEK 29.3 (49.7) million. The decrease is mainly driven by increased personnel costs and investments that are associated with the strong expansion and the work of further developing the Group. EBITDA is also negatively affected by increased transport costs and price increases of e.g. a. solar panels as a result of the Corona pandemic.

▪ The Group's operating profit (EBIT) amounted to SEK 8.3 (35.6) million. The decrease in operating profit is, in addition to what is stated above, also due to increased amortization of goodwill and solar energy facilities as a direct result of completed investments.

▪ Profit for the period after tax amounted to SEK -31.8 million (-37). The result was affected by unrealized exchange rate differences in the Chinese operations by SEK 3.5 (-38.5) million.

▪ Cash flow for the period from operating activities amounted to 48.9 (-13.3).

▪ The period's cash flow for the Group amounted to SEK -25.5 (69.4) million.

▪ Earnings per share amounted to -0.33 (-0.65).

▪ Covid-19 affected the Swedish operations in the second quarter in the form of postponed projects, increased transport costs and price increases for, among other things, solar panels. However, order intake remains good.

▪ The Chinese operations were affected to a lesser extent by the Corona pandemic as economic activity is high, but the Chinese price reduction of about five percent on electricity still remains.

THE FIRST HALF OF THE SHORT

▪ The Group's revenues amounted to SEK 411.4 (208.9) million. An increase of 97%.

▪ Revenues in the Swedish operations grew to SEK 338.8 (146.9) million, an increase of 131%.

▪ Revenues in the Chinese operations grew to SEK 72.6 (61.9) million, an increase of 17%.

▪ The Group's profit before depreciation (EBITDA) amounted to SEK 21 (48.4) million. EBITDA was negatively affected by non-cash non-cash effects of SEK -11.7 million as a result of increased objectives and forecasts in acquired subsidiaries, which led to an increase in provisions for additional purchase consideration.

▪ The Group's operating profit (EBIT) amounted to SEK -20.1 (20.7) million. EBIT was negatively affected by non-cash non-cash effects of SEK -11.7 million in accordance with the above.

▪ Profit for the period after tax amounted to SEK -50 (-42.5) million. The result was affected by unrealized exchange rate differences in the Chinese operations of SEK 40.1 (-5.3) million and by non-cash effects affecting cash flow of SEK -11.7 million in accordance with the above.

SIGNIFICANT EVENTS DURING THE SECOND QUARTER

Sweden
▪ Soltech Energy Sweden AB (publ) acquired 100% of the shares in Rams El AB with access on May 3, 2021.

▪ Soltech Energy Sweden AB (publ) acquired 100% of the shares in Takbyrån i Alingsås AB (Takbyrån) with access on 1 June 2021.

▪ Soltech and Skanska Kommersiell Utveckling Norden have entered into a declaration of collaboration on innovations for building-integrated solar energy solutions.

China

▪ During the quarter, Soltech's subsidiary in China, ASRE, signed eight contracts amounting to a total installed capacity of 11 MW and is expected to generate annual revenues of SEK 7.9 million, or approximately SEK 158 million during the agreements' 20-year maturities.

▪ During the quarter, Soltech's subsidiaries in China connected a total of 10 (1) MW of roof-based solar energy plants and had 192 (140) MW of installed and revenue-generating capacity at the end of the period.

▪ At the end of the period, the company had 37 (46) MW in subscribed orders, as well as projects under processing of 123 (123) MW.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

▪ The Board of Directors of Soltech Energy AB (publ) has, with the support of the authorization of the Annual General Meeting, decided to carry out a new share issue of approximately SEK 247 million with preferential rights for existing shareholders (the “Rights Issue”) and an Over-allotment issue of approximately SEK 150 million before deduction of issue costs.

▪ Soltech's subsidiary Advanced Soltech Sweden AB raises SEK 46.6 million before issue costs in new issues of preference shares.

▪ Soltech's subsidiary in China, ASRE, has signed four contracts amounting to a total installed capacity of 6.7 MW and is expected to generate annual revenues of SEK 5.2 million or approximately SEK 104.6 million during the agreements' 20-year maturities.

▪ On 9 August 2021, the UN Climate Panel IPCC published its climate report, which clearly demonstrates the importance of taking the green transition seriously.

Read the report on Soltechs site: https://soltechenergy.com/en/investors/financial-reports-calendar/

Soltech Energy has a vast experience in creating solar energy solutions for real estate companies. Previously, the solar energy group's subsidiaries have constructed one of the Nordic region's largest roof-mounted solar cell solution for the real estate company, Castellum, and now Soltech is gaining renewed confidence. The subsidiaries Swede Energy and Soltech Sales & Support will jointly construct and build what will be Castellum's new solar energy solution on their logistics property in Kungsängen.

– We want to contribute to tomorrow's society where increased electrification and climate changes sets new demands. To meet this, the share of renewable energy must increase. It therefore feels both great and valuable to be able to collaborate with Fastec and Castellum in the installation of this solar energy solution in Kungsängen, about the same size as the solar energy panels on 130 villa roofs. Together, we create great value for both the economy and the environment. We think this is reason enough for property owners to choose solar energy solutions and thus secure their future electricity supply, says Sebastian G Wibling, Sales Manager at Soltech Sales & Support.

– Fastec wants to act where change for a sustainable society is created. Therefore, it feels great to have the opportunity to collaborate with a solar energy partner in the forefront and a real estate company with an impressive sustainability focus. Projects like this are important in the green transition and we are very much looking forward to working with Soltech and Castellum, says Erik Lindmark, Marketing Manager at Fastec.

A real estate player with high sustainability ambitions
Castellum is one of the Nordic region's most sustainable real estate companies and the sustainability work is fully integrated into its core business. One of the objectives of the sustainability strategy is to increase the share of renewable energy to reduce its carbon dioxide emissions. An ambition that is now intensified when the real estate company once again collaborates with Soltech so that more of their properties operates on solar energy.

– This is completely in line with our overall sustainability goals. Castellum is a leader in sustainability in the real estate industry and takes great responsibility for developing society in a sustainable direction. Solar energy is one of the keys to securing the future of our properties, both in terms of ecological and economic sustainability, says Filip Elland, Sustainability Manager at Castellum.

The terms of the Rights Issue mean that six (6) existing shares give the right to subscribe for one (1) new share at a subscription price of SEK 20 per share, which corresponds to a discount of approximately 26.7% percent compared with the volume-weighted average price during the 20 trading days between 14/7 and 10/8 2021. The number of shares issued at full subscription is 12,361,207.

In the event of great interest in the Rights Issue, the Board has a mandate to decide on another new issue (“Over-allotment issue) of a maximum of 7,500,000 shares with deviation from the shareholders’ preferential rights. The price for acquiring shares in the Over-allotment Issue is SEK 20 per share and the gross proceeds from this are estimated at full subscription to amount to approximately SEK 150 million before deductions for issue costs.

The over-allotment issue enables allotment to those stakeholders who may not receive an allotment in the Rights Issue and at the same time enables an increase in the Company’s shareholder base through allotment to new stakeholders. However, the Board’s intention is to allocate both issues to existing shareholders if there is great interest.

The Board’s decision on the Rights Issue and, where applicable, the Over – allotment Issue is made with the support of the issue authorization submitted at the Annual General Meeting on May 26, 2021.

Background and motifs

The motive for the rights issue is to create additional financial conditions for implementing the Board’s expansion plans and to be able to make further company acquisitions and investments in existing operations. The Company’s strategy includes, if necessary, providing the acquired companies with working capital to enable the companies to grow organically successfully and by supporting the organization and the subsidiaries with key initiatives such as marketing, technical development, financing, special initiatives and to enable increased customer and inventory financing.

The motives are in line with the Board’s goal that Soltech will become a leading player in Swedish and European solar energy and the obvious choice for private, commercial and public customers in the choice of solar energy supplier.

The solar energy market in Sweden and in other countries is in a strong development phase. The effects of the pandemic, the climate policy strategy Green New Deal (E.U European Green Deal) and not least the IPCC’s climate report will lead to increased interest and investment in green technology. Many companies have been formed to take part in the growing market and the board of Soltech has made the assessment that this opens up for a consolidation of the market where a player with the right strategy and sufficient financial resources has the opportunity to become a market leader through acquisitions of smaller units and thus create a larger and more profitable group. This is the basis for the strategy that the Company has applied since 2019.

The strategy has meant a strong expansion for the business. Total revenues during 2020 amounted to SEK 500 million, compared with SEK 303 million in 2019 and SEK 53 million in 2018. In the financial year 2021, the company aims to reach SEK 1,000 million. In 2021, another five companies were acquired, of which two companies in electricity, Provektor Sverige AB and Rams El AB. The purpose of acquiring electrical engineering companies is to strengthen the competence and secure the deliveries of electrical installations, which is often a central but cramped sector when installing solar cells. The acquisitions also strengthen the customer base as the companies have had established customer contacts for a long time that demand solar energy.

Of the issue proceeds, which at full subscription will amount to approximately SEK 247 million, before issue costs, are reserved in order of priority:

• 65% Company acquisitions
• 25% Investments in subsidiaries
• 10% Investments in the parent company’s operating activities

Upon full subscription also of the Over-allotment Issue, the opportunities for new company acquisitions will be increased, as the Company will receive an additional SEK 150 million before issue costs, which are estimated to amount to approximately SEK 4 million.

The rights issue in summary

The right to subscribe for new shares shall accrue to the Company’s shareholders with preferential rights. Each share held as of the record date on August 20 gives one (1) subscription right (TR). It takes six (6) TRs to subscribe for one (1) new share at a subscription price of SEK 20. Subscription of shares takes place during the period 24/8 – 7/9 2021. Upon full subscription of the Rights Issue, the Company will receive approximately SEK 247 million before issue costs, which are estimated to amount to approximately SEK 4 million.

The last day for trading in the Company’s shares, including the right to receive subscription rights in the Rights Issue, is August 18, 2021. Subscription of shares with the support of subscription rights shall take place through cash payment during the period 24/8 – 7/9 2021.

Subscription of shares without subscription rights shall be made on a special subscription list
during the period 24/8 – 7/9 2021. Payment for shares subscribed for without the support of subscription rights shall be made no later than three banking days after the issuance of the settlement note showing the allotment. The Board has the right to extend the subscription period and the last day for payment.

In the event of a major interest in the Rights Issue, the Board has a mandate to decide on an additional new issue (“Over-allotment Issue”) of a maximum of 7,500,000 shares with deviation from the shareholders’ preferential rights. The price for acquiring shares in
The over-allotment issue is SEK 20 per share and the gross payment from this is estimated at full subscription to amount to approximately SEK 150 million before deductions for
issue costs. The purpose of the Over-allotment Issue is to create the conditions for an even faster expansion through further acquisitions. The over-allotment issue is conditional on the Rights Issue being oversubscribed.

The rights issue amounts to a maximum of 12,361,207 shares. This means that the share capital increases by a maximum of SEK 618,060.35 to a maximum of SEK 4,326,42.50. The shares issued in connection with the Offer correspond to approximately 14% percent of the share capital in the Company after the completion of the new share issue (provided that the subscription is fully subscribed). Shareholders who choose not to participate in the Rights Issue will, when fully subscribed, be diluted by approximately 14 percent. Upon full utilization of the Over-allotment Issue, the share capital will increase by a maximum of SEK 375,000 to a maximum of SEK 4,701,42.50.

The over-allotment issue corresponds to a maximum of approximately 8 percent of the Company’s total share capital. In the event that both the Rights Issue and the Over-allotment Issue are utilized, the share capital will increase by SEK 993,060.35 to a maximum of SEK 4,701,422.50. The dilution will amount to a maximum of approximately 21 percent calculated as the number of new shares after the new share issue divided by the total number of shares after the new share issue.

The rights issue and the Over-allotment issue are not secured by issue guarantees or subscription commitments.

Shareholders who choose not to participate in the Rights Issue have the opportunity to compensate for the financial dilution effect by selling their subscription rights. Trading in subscription rights takes place during the period 24 August to 2 September 2021.

Prospectus

The complete terms and conditions for the Rights Issue, as well as information about the Company in a prospectus approved by The Swedish Financial Advisory Authority, will be published on the Company’s website on 13 August 2021.

Schedule for Rights Issue and possible Over-allotment Issue

Last day for trading incl. right to participate 18/8 2021
Record date 20/8 2021
Subscription period 24/8 – 7/9 2021
Trading in subscription rights 24/8 – 2/9 2021
Board decision on allocation and possible Over-allotment Issue 9/9 2021
Press release on issue outcome 9/9 2021
Notice of allocation and dispatch of settlement notes 10/9 2021
Settlement date for settlement notes 15/9 2021

Issuing institute

For further questions regarding subscription, contact your personal bank adviser, your nominee or Soltech’s issuing institution Aktieinvest FK AB on 08 506 517 95 or emittentservice@aktieinvest.se

NOT FOR PUBLICATION, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR TO THE UNITED STATES, AUSTRALIA, JAPAN OR CANADA OR IN ANY OTHER JURISDICTION THAT DISTRIBUTES DISTRIBUTION.