SOLTECH DELIVERS 44% ORGANIC GROWTH

CEO comment:

Soltech's third quarter 2022 shows an impressive organic growth of a whopping 44 percent, which I am very proud of. We don't only acquire companies, by doing so we also develop and enhance growth within the Soltech family. We reach SEK 482.5 million in revenue, which corresponds to 119 percent in growth adjusted for Advanced Soltech. However, we still have negative figures in terms of results, which is something that we have great focus to turn around going forward, not least by increased synergy effects. Soltech should not be an speculative company with low or non-existent revenues.

We will soon exceed 2 MDR in revenue and there are great opportunities for us to achieve increased profitability through synergy effects from this large revenue. Not least are synergies between the companies an even greater focus going forward.

THIRD QUARTER IN BRIEF
• The group's revenues during the quarter amounted to SEK 482.5 (267.2) million, an increase of 81%. Adjusted for Advanced Soltech*, the group's revenue amounted to SEK 482.5 (220.1) million, an increase of 119%

• The group's organic growth amounted to 44% (39%) and was driven by high demand for solar energy solutions.

• The group's earnings before depreciation (EBITDA) amounted to -55.3 (29.3) MSEK. Adjusted for Advanced Soltech*, the group's EBITDA amounted to -59.9 (-6.9) MSEK. EBITDA has been positively affected by results from shares in associated companies with SEK 4.6 million. EBITDA has been negatively affected by profit effects from the Neab group of -44.5 MSEK and, in addition to this, also affected by prevailing component shortages and price increases for construction components. The price increases above all affect the group's fixed price projects that were agreed before the price increases. During the quarter, the group also invested in both new acquisitions and existing subsidiaries, which continued to drive increased costs.

• The group's operating profit (EBIT) amounted to SEK -84.8 (4.6) million. Adjusted for Advanced Soltech*, EBIT amounted to -89.4 (-18.2) MSEK. EBIT has, in addition to the effects on EBITDA mentioned above, been affected by increased depreciation as a result of acquisitions.

• The period's profit after tax amounted to -91.1 (-10.6) MSEK.

• The period's cash flow from operating activities amounted to -33.3 (-116.9) MSEK and has been affected by investments in existing operations and increased inventory levels to secure deliveries to existing projects.

• The period's cash flow for the group amounted to SEK 98.6 (399.6) million. Similar to the previous year, the cash flow has been affected by the completed new issue in the quarter of SEK 186 million (SEK 84 million has been added after the end of the reporting period).

• Earnings per share amounted to -0.90 (-0.19).

• During the quarter, the Neab group contributed with total revenues of -4.7 MSEK and EBIT of -33.5 MSEK. In addition to this, the decided bankruptcy has led to non-recurring costs of -11 MSEK, which meant that the total profit impact from the Neab group and related costs amounted to -44.5 MSEK in the quarter.

• The war in Ukraine has an indirect effect on the group's costs and the price development of the components required for the manufacture of solar cell installations, roof installations, electrical installations, and facades. Soltech has no sales to Russia or Ukraine.

THE FIRST NINE MONTHS IN BRIEF
• The group's revenues amounted to SEK 1,207 (674) million, an increase of 79%. Adjusted for Advanced Soltech, revenue amounted to SEK 1,207 (554.3) million, an increase of 118%.

• The group's organic growth amounted to 39% (42%) and is primarily driven by high demand for solar energy solutions.

• The group's earnings before depreciation (EBITDA) amounted to -124 (50.3) MSEK. Adjusted for Advanced Soltech*, the group's EBITDA amounted to -131.2 (-38) MSEK. EBITDA has been positively affected by results from shares in associated companies with SEK 7.2 million. EBITDA has been negatively affected by profit effects from the Neab group of SEK -71.6 million and has also been negatively affected by the previously mentioned price increases on components. During the year, the group continued to invest in both new acquisitions and existing subsidiaries, which drives increased costs.

• The group's operating profit (EBIT) amounted to -192.6 (-15.6) MSEK. Adjusted for Advanced Soltech*, EBIT amounted to MSEK -199.8 (-67.1) and has, in addition to the above-mentioned effects on EBITDA, been affected by increased amortization of goodwill as a result of acquisitions.

• The period's result after tax amounted to -202.4 (-60.6) MSEK.

• The period's cash flow from operating activities amounted to -146.5 (-72.7).

• The period's cash flow for the group amounted to SEK -87.5 (272.3) million.

• Earnings per share amounted to -1.88 (-0.43).

• In 2022, the Neab group contributed with total revenues of SEK 28.1 million and EBIT of SEK -60.6 million. In addition to this, the decided bankruptcy has led to non-recurring costs of SEK -11 million, which meant that the total profit impact from the Neab group and related costs amounted to SEK -71.6 million.

SIGNIFICANT EVENTS DURING THE THIRD QUARTER
Significant events in subsidiaries:

• The subsidiary Rams El has won two new deals regarding electrical installations for schools in Gothenburg. The order value for the two new projects amounts to SEK 21 million.

• The subsidiary ESSA has received an assignment from the real estate company Örebroporten Fastigheter AB for a facade contract at Stadsbyggnadshuset, where part of the facade consists of building-integrated solar cells. The entire facade is expected to be commissioned in the spring of 2023 and the order value amounts to approximately SEK 23.6 million.

• The subsidiary Soltech Energy Solutions has signed an agreement with the municipal energy company Varberg Energi for a large battery park in Varberg that will contribute to stabilizing the electricity grid and optimizing power output. The total investment for the battery park amounts to upwards of SEK 100 million.

• A long-term electricity trading agreement has been concluded between the municipal energy company Nybro Energi and Soltech Energy Solutions. The agreement involves PPA solutions (Power Purchase Agreements) for large-scale solar installations.

Acquisition:
On July 1, Soltech acquired 100% of the shares in TG's El i Finspång AB and the wholly owned subsidiary Smart Solkraft.

• On 1 September, Soltech acquired 80% of the shares in Kalema E-Mobility AB (E-Mobility) with access on the same day. The acquisition is Soltech's first purely electric car charging company with excellence in electric car charging projects for companies and private individuals but also in solar energy services.

• On 21 September, Soltech acquired 100% of the shares in Takab i Jönköping AB (TAKAB) with access on 3 October. TAKAB has around 30 employees who work from the company's headquarters in Jönköping.

International acquisitions:
On 22 June, Soltech acquired 65% of the shares in the Spanish solar energy company Sud Energies Renovables SL with access on 5 July. This establishes the group in the strongly growing Spanish solar energy market. The acquisition is financed entirely from own cash and with newly issued Soltech shares.

Other:
The board of Soltech Energy AB (publ) decided, with the support of the authorization of the general meeting, to carry out a new share issue of approximately SEK 228 million with preferential rights for existing shareholders and possible over-allotment. The rights issue was oversubscribed, and the company received approximately SEK 270 million before issue costs.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

• On October 14, the Neab Group filed for bankruptcy. At the time of the acquisition, the Neab group was a clear turn-around case that Soltech worked actively to turn around. The overall assessment on the basis of the decision is that the Neab group will be financially insolvent for a long time to come and that there are no conditions to continue the business. Bankruptcy trustees were appointed on 14 October and from this date Soltech no longer has controlling influence over the company. This means that from this date the Neab group will not be consolidated and will not have any financial impact from 2023 onwards. In quarter 3, the Neab group contributed with turnover of -0.2 MSEK and EBIT of -33.5 MSEK and for the first nine months of the year with sales of 36.5 MSEK and EBIT -71.6 MSEK. This also includes restructuring costs as a result of the bankruptcy of SEK 11 million. During the past 12 months, Soltech has worked actively to turn around the financial situation in the Neab group both via additions and via the addition of personnel resources. As a result of the deconsolidation, during the fourth quarter, Soltech will receive an operating income not affecting cash flow of a preliminarily estimated SEK 49 million. Soltech does not expect any further effects or costs from the Neab group in the coming quarters.

• The subsidiary Soltech Energy Solutions has signed an agreement for a roof-mounted solar cell installation that will measure approximately 9,400 square meters and consist of 3,624 solar panels. When completed, the solar cells will have an installed output of 1,975 kWp and will account for an electricity production that covers 30% of the property's electricity needs. The solar cell plant is expected to be commissioned in the spring of 2023.

• On October 28, Soltech Energy Sweden AB acquired 20% of the shares in the subsidiary Takrekond i Småland AB with access on the same day. Soltech Energy now owns 100% of the company and the acquisition of the remaining shares in the company is part of the work to continue strengthening Takrekond's transformation towards becoming a solar roof company.

*Advanced Soltech Sweden AB (ASAB) was separately listed on the Nasdaq First North Growth Market on October 29, 2021, and was thus deconsolidated from the group, which affects the comparative figures for 2021

The quarterly report and other financial reports are available at: https://soltechenergy.com/investerare/finansiella-rapporter-kalender/

CEO Stefan Ölander in a comment:
– We are humbly grateful for the great trust our shareholders have shown us in this new share issue. Despite extremely difficult external factors, the issue is oversubscribed. Now we continue our acquisition strategy, our investments in existing subsidiaries, our focus on profitability going forward and our contribution to a green energy transition.

Number of shares and Over-allotment
A total of 16,930,491 shares were subscribed with the support of subscription rights, corresponding to approximately 82 percent of the Rights issue, and 7,623,537 shares without the support of subscription rights, which means that approximately 118 percent of the issue was subscribed.

To enable an even greater investment in acquisitions and existing subsidiaries, the board has decided to issue an additional 3,797,020 shares in an Overallotment issue. This takes place at a subscription price of SEK 11 per share, which gives SEK 41,767,220 million, and on the terms stated in the prospectus regarding the rights issue, which gives approximately SEK 228 million. Through the Rights issue and the Over-allotment issue, a total of 24,554,028 shares will be issued and the Company will thereby receive approximately SEK 270 million before issue costs of approximately SEK 28 million.

Allocation in the Rights Issue
The persons who subscribed for shares with the support of subscription rights have, in connection with simultaneous payment, been allocated BTA. Notice of allocation to the persons who subscribed for shares without the support of subscription rights is expected to be distributed on September 28, 2022 by sending a settlement note. Allocation to the persons who have subscribed for shares via a trustee is expected to appear on the account around September 28, 2022. Trustee-registered shareholders will receive notification of allocation in accordance with the respective trustee's routines. Subscribed and allocated shares must be paid in cash no later than on the settlement day, October 3, 2022, in accordance with the instructions on the settlement note. Only those who receive allocation will be notified.

Allotment in the Overallotment Issue
Notice of allocation to the persons who subscribed for shares without the support of subscription rights is expected to be distributed on September 28, 2022 by sending a settlement note.
The board has decided to assign all who subscribed for shares without preference the right to allocation in the Overallotment issue.

Share capital and number of shares
After registration of the Rights issue and the Over-allotment issue with the Swedish Companies Registration Office, the Company's share capital will increase by SEK 1,227,701.4 to a total of SEK 6,416,953.45. The number of shares in the Company will then increase by a further 24,554,028 shares to a total of 128,339,069 shares.

Paid subscribed shares, BTA
Subscription of shares with and without preferential rights took place during the period 12/9 – 26/9 2022. As soon as the share capital increase has been registered with the Swedish Companies Registration Office, paid subscribed shares (BTA) in the preferential issue will be converted into new shares. Until then, trading with BTA is ongoing on the Nasdaq First North Growth Market. Trading in new shares is estimated to be able to begin on the Nasdaq First North Growth Market around week 41 of 2022. The persons allocated shares in the Over-allotment issue will not receive BTA but will receive BTA2 which will be converted into shares after the share capital increase has been registered with the Swedish Companies Registration Office. This is estimated to take place around week 41 of 2022.

The rights issue intends to finance continued expansion through the acquisition of companies in Sweden, the Netherlands and Spain as well as continued investments in, and development of, existing subsidiaries, which have an organic growth of 35% on average. Soltech's growth was 126% during the second quarter of 2022 compared to the second quarter of 2021. The development of revenues has gone from SEK 53 million in 2018 and this year the aim is set at SEK 1,700 million.

The subscription period is 12 – 26 September 2022 and the subscription price is SEK 11 per share. The subscription price in the Rights Issue has been priced at a discount to TERP (theoretical share price after the separation of subscription rights) of 32.88% based on the share price at closing on August 29, 2022.

Background and motif

The solar industry is undoubtedly one of the fastest growing industries in the world. The public sector, business and private individuals are queuing up to invest in solar energy and charging and storage solutions. The European Commission and a number of countries' governments, including Sweden's, plan to legislate requirements for solar energy on properties. The industry is now consolidating and Soltech will take an even bigger share of the market. We now want to be able to take advantage of more business opportunities by further strengthening us financially.

We choose to approach our shareholders and will allot them all shares in both the rights issue and the possible over-allotment issue. The rights issue is 100% guaranteed by a guarantee consortium composed of Swedbank. This means that if existing shareholders do not fully subscribe to the rights issue, the guarantee consortium will subscribe to the excess part.

Conditions and use of issue proceeds

The terms of the Rights Issue mean that five (5) existing shares give the right to subscribe for one (1) new share at a subscription price of SEK 11 per share. Number of shares issued upon full subscription is 20,757,008.

Of the proceeds from the Rights Issue, which upon full subscription will amount to approximately SEK 228 million, before issue costs, are reserved in order of priority:
50% Business acquisition
40% Investments in subsidiaries
10% Investments in marketing and recruitment

Upon full subscription of the Overallotment Issue, the opportunities for new company acquisitions and investments in existing companies are expanded according to the percentage distribution above.
The board's decision on the Rights issue and, where applicable, the Over-allotment issue is made with the support of issue authorization submitted at the annual general meeting on 12 May 2022.

Rights issue and possible Over-allotment 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 September 8 gives one (1) subscription right (TR). Five (5) TRs are required to subscribe for one (1) new share at the subscription price of SEK 11. Subscription of shares takes place during the period 12 – 26 September 2022. Upon full subscription of the Rights issue, approximately SEK 228 million will be added to the Company before issue costs, which are estimated to amount to approximately SEK 28.5 million.

The last day for trading in the Company's shares, including the right to receive subscription rights in the Rights Issue, is 6/9 2022. Subscriptions for shares with the support of subscription rights must take place by cash payment during the period 12-26/9 2022. Subscriptions for shares without the support of subscription rights must take place on a special registration form during the period 12-26/9 2022. Payment for shares subscribed without the support of subscription rights must be made no later than three banking days after the issuance of the settlement note showing notice of allocation. The board has the right to extend the subscription period and last day for payment.

In the event of a large interest in the Rights Issue, the Board is mandated to decide on an additional new issue ("Over-allotment issue") of a maximum of 23,000,000 shares with a deviation from the shareholders' pre-emptive rights. The price for acquiring shares in the Over-allotment issue is SEK 11 per share and the gross proceeds from this are estimated to amount to approximately SEK 253 million before deduction for issue costs if fully subscribed. The purpose of the Over-allotment issue is to create the conditions for an even faster expansion through further acquisitions and investments in existing companies. The over-allotment issue is conditional on the Rights issue being oversubscribed.

The rights issue amounts to a maximum of 20,757,008 shares. This means that the share capital increases by a maximum of SEK 1,037,850 to a maximum of SEK 6,227,102. The shares issued in connection with the Offer correspond to approximately 17% of the share capital in the Company after the new issue has been completed (provided the Offer is fully subscribed). Shareholders who choose not to participate in the Rights Issue will, upon full subscription, be diluted by approx. 17 percent. Upon full utilization of the Over-allotment Issue, the share capital will increase by a maximum of SEK 1,150,000 to a maximum of SEK 7,377,102.

The over-allotment issue corresponds to a maximum of approximately 16 percent of the Company's total share capital. If both the Rights issue and the Over-allotment issue are used, the share capital will increase by SEK 2,187,850 to a maximum of SEK 7,377,102. The dilution will amount to a maximum of approximately 30 percent calculated as the number of new shares after the new issue divided by the total number of shares after the new issue.

Soltech has received guarantee commitments from a consortium consisting of external investors of approximately SEK 228.3 million, corresponding to 100 percent of the Rights Issue.

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 12-21/9 2022.

Prospectus

The rights issue requires an approved prospectus from the Financial Supervisory Authority. The prospectus, which contains the full terms and conditions for the Rights Issue, as well as information about the Company, is planned to be published on the Company's website on September 8, 2022.

Timetable for the Rights issue and possible Overallotment issue

Last day for trading incl. right to participate 6/9 2022
Record date 8/9 2022
Subscription period 12-26/9 2022
Trading in subscription rights 12-21/9 2022
Board decision on allocation and possibly Over-allotment issue 28/9 2022
Press release on issue outcome 28/9 2022
Notice of allocation and dispatch of settlement notes 28/9 2022
Settlement date for settlement notes 3/10 2022

Issuing institution

For further questions regarding subscription, contact your personal bank advisor, your manager or Soltech's issuance institute Aktieinvest FK AB on 08 506 517 95 or issuerservice@aktieinvest.se

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR TO THE UNITED STATES, AUSTRALIA, JAPAN OR CANADA OR IN ANY OTHER JURISDICTION WHERE DISTRIBUTION OF THIS PRESS RELEASE WOULD BE UNLAWFUL.

CEO comment:

Soltech's growth in the second quarter is yet another proof of our corporate strength. We reach SEK 437 million in revenue, which corresponds to 126 percent growth pro forma* and our organic growth reached 35 percent. We have good wind in our sails and aim to reach SEK 1.7 billion in revenue this year. We are proud of our entry into both the Netherlands and Spain during the quarter and our companies continue to deliver despite the impact of the turmoil in the world around us.

THE SECOND QUARTER IN BRIEF

• The Group's revenue in the quarter amounted to SEK 437 (266.2) million, an increase of 64%. Adjusted for Advanced Soltech*, the Group's revenue amounted to SEK 437 (193.7) million, an increase of 126%.

• The Group's organic growth amounted to 35 (36) % and is primarily driven by high demand for solar energy solutions.

• The Group's earnings before depreciation (EBITDA) amounted to -30.2 (29.3) MSEK. Adjusted for Advanced Soltech*, the group's EBITDA amounted to -30.2 (-22.8) MSEK. EBITDA has been positively affected by results from shares in associated companies with SEK 7.8 million. EBITDA has been negatively affected by price increases on components as well as continued investments and ventures in both new acquisitions and existing subsidiaries, which drives increased costs.

• The Group's operating profit (EBIT) amounted to SEK -54.6 (8.3) million. Adjusted for Advanced Soltech*, EBIT amounted to -54.6 (-20.5) MSEK. EBIT has, in addition to the effects on EBITDA mentioned above, been affected by increased depreciation as a result of acquisitions.

• The period's result after tax amounted to -58.1 (-31.8) MSEK.

• The period's cash flow from operating activities amounted to -42 (48.9).

• The period's cash flow for the group amounted to -105.9 (-25.5) MSEK.

• Earnings per share amounted to -0.51 (-0.33).

• The war in Ukraine has an indirect effect on the Group's costs and the price development of the components required for the manufacture of solar cell installations, roof installations, electrical installations and facades. Soltech Energy has no sales to Russia.

FIRST SIX MONTHS IN BRIEF

• The Group's revenue amounted to SEK 724.5 (411.4) million. An increase of 76%. Adjusted for Advanced Soltech, revenues amounted to SEK 724.5 (338.8) million, an increase of 114%.

• The Group's organic growth amounted to 39 (39) % and is primarily driven by high demand for solar energy solutions.

• The group's earnings before depreciation (EBITDA) amounted to SEK -68.7 (21) million. Adjusted for Advanced Soltech*, the group's EBITDA amounted to -68.7 (-31.1) MSEK. EBITDA has been positively affected by results from shares in associated companies with SEK 2.7 million. At the same time, EBITDA has been negatively affected by price increases on components as well as by continued investments and ventures in both new acquisitions and existing subsidiaries, which drives increased costs.

• The Group's operating profit (EBIT) amounted to -107.8 (-20.1) MSEK. Adjusted for Advanced Soltech*, EBIT amounted to -107.8 (-48.9) MSEK and, in addition to the effects on EBITDA mentioned above, was affected by increased depreciation as a result of acquisitions.

• The first half-year result after tax amounted to -111.3 (-50) MSEK.

• The period's cash flow from operating activities amounted to -113.1 (44.2).

• The period's cash flow for the group amounted to -186.1 (-127.2) MSEK.

• Earnings per share amounted to -1.01 (-0.65).

SIGNIFICANT EVENTS DURING THE SECOND QUARTER
Significant events in subsidiaries:

• Soltech Energy Solutions has been commissioned to build a 38,000 square meter solar installation for Coop Sverige AB consisting of CFP-certified panels with recycled silicon from Norway and silicon from Germany and the US.

• Soltech Energy Solutions and Provektor have jointly been commissioned to install solar energy solutions at ICA stores.

• Soltech's subsidiary Soltech Energy Solutions has been commissioned to build a 4 MW solar energy installation on Infrahub's property where Svenska Retursystem will conduct its operations.

• Soltech's subsidiary Takorama has been commissioned to install a solar energy solution of 1,400 square meters and approx. 7,000 square meters of roofing on one of the roofs of the Svenska Mässan Gothia Tower in Gothenburg.

Acquisition:
• Soltech has made its first additional acquisition by acquiring 100% of the solar energy company Solexperterna Värmland AB, effective April 1. The acquired company will become part of the wholly owned subsidiary Din Takläggare, which thereby strengthening its solar expertise.

• Soltech has made another additional acquisition and acquired 100% of the shares in the electricity company Trönninge Elektriska AB, based in Halmstad. The acquired company will become part of the wholly owned subsidiary Provektor Sweden AB from 1 June.

International acquisitions:
• Soltech has acquired 53.3% of the shares in the Dutch solar energy company 365 Energie Holding B.V. (365zon) based in Eindhoven, the Netherlands. The acquisition of 365zon is financed entirely from own cash and with newly issued Soltech shares. The company had a turnover of SEK 250 million in 2021 and is estimated to have a turnover of approx. SEK 350 million in 2022 with an operating profit of approx. 10%. Since 2012, 365zon has completed over 20,000 successful installations and with its nationwide installation capacity, the company has an average of approx. 6,500 solar energy installations annually on the Dutch residential market.

• On 22 June, Soltech acquired 65% of the shares in the Spanish solar energy company Sud Energies Renovables SL with access on 5 July. The company had a turnover of SEK 90 million in 2021 and the turnover is expected to increase sharply to approx. SEK 245 million in 2022, with an operating profit of approx. 8–10%. This establishes the group in the strongly growing Spanish solar energy market. The acquisition is financed entirely from own cash and with newly issued Soltech shares.

Other:
• Soltech's annual general meeting was held on 12 May. Among other things, it was decided that the board was given renewed authorization to decide on new issues of shares and/or convertibles and/or warrants, that the board and the CEO were granted discharge from liability for the past year and the election of a partially new board.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

• On July 1, Soltech acquired 100% of the shares in TG's El i Finspång AB and the wholly owned subsidiary Smart Solkraft.

• The subsidiary Rams El has won two new deals regarding electrical installations for schools in Gothenburg. The order value for the two new projects amounts to SEK 21 million.

• The subsidiary ESSA has been commissioned by the real estate company Örebroporten Fastigheter AB for a facade contract at Stadsbyggnadshuset, where part of the facade consists of building-integrated solar cells. The entire facade is expected to be commissioned in the spring of 2023 and the order value amounts to approximately SEK 23.6 million.

*Advanced Soltech Sweden AB (ASAB) was separately listed on the Nasdaq First North Growth Market on October 29, 2021 and was thus deconsolidated from the group, which affects the comparative figures for 2021

The quarterly report and other financial reports are available at: https://soltechenergy.com/investerare/finansiella-rapporter-kalender/

Advanced Soltech has during a long time conducted discussions which several actors regarding a long-term financing of the Company’s operations in China. In recent years, the interest from local actors to finance the green energy transition has increased substantially.

The lender, BOCOM, is China’s fifth largest bank with a balance sheet larger than Nordea, SEB, Handelsbanken and Swedbank together. BOCOM was founded in 1907 and the bank’s stock is listed in both Hong Kong and Shanghai.

Advanced Soltech’s CEO, Max Metelius, comments:

– The positive decision from China Bank of Communication is a big step forward in our work to improve a financing structure that would entail large savings for the Company.

Soltech Energy's CEO, Stefan Ölander comments:

– As the largest stakeholder in Advanced Soltech, we are very pleased with this positive announcement. It will probably facilitate future financing with even better terms.

The acquisition of Sud Renovables in financial terms:
• Initial acquisition payment for 65% of the shares amounts to approximately SEK 81 million*
• The acquisition is paid for with an initial cash deposit of approximately SEK 45 million and with newly issued Soltech shares to a value of SEK 36 million
• During the next 36 months, a variable additional purchase of a total of approximately SEK 98 million* can be paid, if set sales and profitability targets are achieved. Which would give a total acquisition payment of approximately SEK 179 million *
• Soltech has an option to buy the remaining 35% after 2024 at a similar valuation
• The acquisition of Sud Renovables is financed entirely from own cash and with newly issued Soltech shares
• Soltech and Sud Renovables assessment is that the acquisition will contribute approximately SEK 125 million in sales during the financial year 2022 (six months), and that Sud Renovables makes a positive operating profit of approximately 8-10% for the year
• During the years 22-23-24, Sud Renovables is estimated to contribute with more than SEK 868 million in sales, and Sud Renovables will maintain an operating profit of 8-10% per year during the same period
• Synergy effects, primarily in purchasing and logistics through this acquisition, are expected to have a positive effect on sales and earnings throughout the Group

Soltech's international expansion
Soltech is now continuing its international expansion by acquiring a leading solar energy company in Spain. Sud Renovables was founded in 2005 and has since had a successful growth journey and had sales of approximately SEK 90 million in 2021. The company is focused on the development and installation of solar energy and storage solutions for property owners and companies. Mainly through large-scale solutions such as solar parks, roof-placed solar cell systems and solar facades for commercial properties as well as logistics and industrial properties. The company also offers solar cell solutions for the consumer market.

Sud Renovables has about 60 employees in the parent company and about 35 employees in the wholly owned subsidiary, Instal Sud, which is installation and assembly oriented. Mounting capacity is a shortage area in solar energy and the fact that Instal Sud is included in this acquisition is very positive for Soltech.

The company is one of the major solar companies on the Spanish market which has been slowed down by political regulations, and mainly by the so-called solar tax that was abolished in 2019. The country's solar energy market has since gained momentum and given the conditions for solar energy, few other European countries can compete with Spain. In addition to good solar radiation, the combination of political deregulations and high electricity prices creates very good conditions for solar energy players in the country.

¬ Now our international expansion continues by entering the Spanish solar energy market, which feels great. Sud Renovables is a well-run and market-leading solar energy company with good profitability and solid experience of large-scale and innovative solar energy solutions. This is the starting point for establishing the Soltech model in a new market that also has Europe's best conditions for solar energy, and we would like to warmly welcome Sud Renovables to the Group, says Stefan Ölander, CEO of Soltech Energy.

The Soltech model will be implemented in Spain
The acquisition of Sud Renovables is Soltech's first in Spain and the target in the Spanish market is the same as in the Swedish and Dutch, to start off with an acquisition of a solar energy company and then also acquire companies in the roofing, facade and electrical engineering industries and transform them by adding solar energy to the product range. A transformation strategy that creates positive synergy effects in areas such as purchasing and logistics for companies in Sweden, the Netherlands and now also Spain. But above all, the transformation strategy creates security for the companies' customers who, through the Group's cross-border expertise, can be offered complete solutions.

– Soltech is a reputable solar energy company, and we are very happy to now be part of the group. We see great benefits from the collaboration, and we are now equipped to be able to take even a larger market share and continue on the development of a strong and innovative company. We want to thank the team at Soltech for a good collaboration and we see a very bright future together, says Alfred Puig, co-founder and CEO of Sud Renovables.

CEO comment:

Soltech once again delivers very strong growth during the first quarter of 2022. We reach a full SEK 287.5 million in revenue, which corresponds to 143 percent growth in Sweden. The quarter began with unusually high rate of sick leave due to Covid-19 and related family quarantine rules, and on February 24, Russia's offensive war against Ukraine started. In other words, an unusual and tough quarter, which we still manage to navigate through in a good way. Our organic growth was as much as 43 percent, which is a figure to be proud of for all our employees.

FIRST QUARTER IN BRIEF

• The Group's revenues in the quarter amounted to SEK 287.5 (145.2) million, an increase of 98%.

• The Group's revenues in the Swedish operations amounted to SEK 287.5 (118.1) million, an increase of 143%.

• The Group's organic growth amounted to 43 (56) %.

• The Group's profit before depreciation (EBITDA) amounted to SEK -38.5 (-8.3) million. EBITDA was negatively affected by earnings from participations in associated companies by SEK -5.1 million. EBITDA has also been negatively affected by price increases for components as well as continued investments and investments in both new acquisitions and existing subsidiaries, which drives increased costs.

• The Group's operating profit (EBIT) amounted to SEK -53.2 (-28.4) million. EBIT has, in addition to the above-mentioned effects on EBITDA, been affected by increased depreciation as a result of acquisitions.

• The Group's EBITDA in the Swedish operations amounted to SEK -38.5 (-26.7) million and EBIT -55.3 (-35.6) million.

• Profit after tax for the period amounted to SEK -53.2 (-18.2) million.

• Cash flow for the period from operating activities amounted to SEK -71.2 (-4.7) million.

• The period's cash flow for the Group amounted to SEK -80.2 (-101.7) million.

• Earnings per share amounted to SEK -0.52 (-0.33).

• Covid-19 affected the Swedish operations during the first quarter, mainly in the form of sick leave and family quarantine.

SIGNIFICANT EVENTS DURING THE FIRST QUARTER

Significant events in subsidiaries:

• ESSA Glas & Aluminum AB has won a contract for the execution of a façade contract with construction starting during the summer of 2022. The assignment is carried out for the Stockholm Region, through Locum AB, and has an order value of SEK 92 million.

• Soltech Energy Solutions and Falkenklev Logistik are deepening their collaboration. In addition to the 1.5-hectare solar park that Soltech will build, both companies, together with Scania, will also build Sweden's largest charging and battery park for electric trucks. The project is part-financed by the Swedish Environmental Protection Agency.

• Soltech Energy Solutions will build Sweden's largest solar park connected to only one industry for Åbro Bryggeri in Vimmerby. The solar park will cover an area of 10 hectares and will contribute to Åbro Bryggeri becoming completely self-sufficient in solar. The park is planned to be commissioned during the latter part of 2022.

Acquisitions:

• Soltech has acquired the remaining 30% of the shares in the subsidiary Fasadsystem i Stenkullen AB, which after the acquisition is a wholly owned subsidiary.

• The remaining 40% of the shares in the subsidiary Din Takläggare i Värmland-Dalsland AB have been acquired and the company is now a wholly owned subsidiary. At the same time, the Group made its first additional acquisition by acquiring 100% of the solar energy company Solexperterna Värmland AB, with effect from 1 April 2022. The acquired company will be part of the now wholly owned subsidiary Din Takläggare.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

International acquisition:

• Expansion outside Sweden. Soltech has acquired 53.3 percent of the shares in the Dutch solar energy company 365 Energie Holding B.V. (365zon) based in Eindhoven, the Netherlands. The acquisition of 365zon is financed entirely from its own cash and with newly issued Soltech shares. The company had sales of SEK 250 million in 2021 and is estimated to have sales of approximately SEK 350 million in 2022 with an operating profit of approximately 10%. Since 2012, 365zon has completed over 20,000 successful installations and with its nationwide installation capacity, the company now has an average of approximately 6,500 solar cell installations annually in the Dutch housing market.

Significant events in subsidiaries:

• Soltech Energy Solutions has been commissioned to build a 38,000 sqm solar energy solution for Coop Sverige AB consisting of CFP-certified panels with recycled silicon from Norway and silicon from Germany and the US. The facility will cover half of the entire property's electricity needs. Commissioning is planned for the turn of the year 2022/2023.

• Soltech Energy Solutions and Provektor have been commissioned to build panel installations for solar energy solutions at three ICA stores. Commissioning of the first facility in Borås is planned for the summer of 2022.

Other:

• Soltech's Annual General Meeting was held on May 12, 2022. It was decided, among other things, that the Board was given renewed authorization to decide on new issues of shares and / or convertibles and / or warrants, that the Board & CEO were granted discharge for the past year.

* Soltech Energy Sweden AB's subsidiary Advanced Soltech Sweden AB (ASAB) was listed on the Nasdaq First North Growth Market on October 29, 2021 and was thus deconsolidated from the Group. The comparative figures are not recalculated with this in mind.

The acquisition of 365zon in financial terms:

• The acquisition payment for 53.3% of the shares amounts to SEK 115.7 million *
• The acquisition is paid for with an initial cash portion of SEK 57.85 million and with newly issued Soltech shares to a value of SEK 57.85 million
• After 12, 24 and 36 months, a further total of approximately SEK 25.7 million / year * can be paid in variable additional purchase consideration if set sales and profitability targets are achieved. Which would give a total acquisition payment of SEK 192.8 million *
• Soltech has an option to buy up the remaining 46.7% after 2024 at a market valuation
• The acquisition of 365zon is financed entirely with own cash and with newly issued Soltech shares
• Soltech and 365zon's assessment is that the acquisition will contribute approximately SEK 260 million in sales during the financial year 2022 (nine months) with a positive operating profit of approximately 10%
• During the years 22-23-24, 365zon is expected to contribute with more than SEK 1,200 million in sales with an operating profit of 10%
• Synergy effects, primarily in purchasing and logistics through this acquisition, are expected to have a positive effect on sales and earnings throughout the Group

Soltech now embarks on its international expansion by acquiring a leading solar energy company in the Netherlands. 365zon was founded in 2012 and has had a successful growth journey with sales of approximately SEK 250 million in 2021. The company focuses on solar energy solutions and charging solutions for the consumer market, housing associations and members- and consumer organizations for homeowners and tenant-owners. 365zon has just over 40 employees.

365zon is one of the largest solar energy companies in the growing Dutch market where an investment in solar energy has become more and more profitable, the residents have an increased environmental awareness and several political reforms have created a rapidly growing demand for solar cells and charging solutions.

Since the start in 2012, the company has completed over 20,000 successful installations and with its nationwide installation capacity, the company now has an average of approximately 6,500 solar cell installations annually in the Dutch consumer market.

– Our international expansion now begins, which is a fantastic milestone. 365zon is a market-leading solar energy company in the Netherlands with good profitability and which is perfectly positioned to meet the increased demand for solar energy as well as charging and storage solutions in the private housing market. We are very happy to have them on board and today the journey begins towards establishing Soltech's acquisition strategy in new geographical markets, without slowing down the acquisition rate in Sweden, says Stefan Ölander, CEO of Soltech Energy.

The acquisition strategy is taken abroad
The acquisition of 365zon is Soltech's first in the Netherlands. The goal internationally is the same as in Sweden. To start with the acquisition of solar energy companies and then also acquire companies in the roofing, sheet metal, facade and electrical engineering industries with the goal of adding solar energy to their product range and transforming the companies.

A transformation strategy that benefits the customers through high quality and also creating positive synergy effects in areas such as purchasing and logistics, both for the subsidiaries in Sweden and the Netherlands.

– Soltech is a strong European solar energy company, and I am thrilled about entering the next growth phase for 365zon together with them. The main benefits of the new collaboration for 365zon are the increased buying power, having a financially strong partner to help further accelerate the growth of the company and the ability to soundboard with other solar energy companies in the rest of Europe. Working with Oscar, Stefan and the rest of Soltech's M&A team was a great pleasure, says Lars Buuts, founder and CEO of 365zon.

M&A firm Oaklins assisted 365zon with M&A advice in the transaction.

* Exact MSEK depends on the euro exchange rate

▪ The Group's revenues in the fourth quarter amounted to SEK 565.8 (163.3) million. An increase of 247%. Of the revenues, SEK 288 million is dependent on the special listing of Advanced Soltech Sweden AB (“ASAB”) as a revaluation result. This did not affect the cash flow. Excluding this effect, total revenue from operations amounted to 277.8.

▪ Revenues in the Swedish operations increased to MSEK 266.6 (56.4), an increase of 373%.

▪ Revenues in the Chinese operations amounted to MSEK 11.2. The operations of Advanced Soltech Sweden AB (“ASAB”) are only consolidated until October 29, 2021, for the remainder of the quarter ASAB is reported according to the equity method. The result for the period October 30 – December 31 amounted to MSEK 1.8 and is reported under the heading, profit from participations in associated companies.

▪ The Group's profit before depreciation (EBITDA) amounted to MSEK 267.3 (14.6). The increase was a result of the special listing of ASAB.

▪ The Group's operating profit (EBIT) developed positively to MSEK 166.3 (-1.2). EBIT has been affected by the special listing of Advanced Soltech, where a non-cash flow-affecting revaluation result of MSEK 288 arose. EBIT is also affected by increased amortization and write-downs of goodwill as a direct result of completed acquisitions and completed restructuring and revaluations of goodwill.

▪ Profit for the period after tax amounted to MSEK 138.2 (-80.4). The result in the fourth quarter was negatively affected by unrealized, non-cash flow-affecting exchange rate differences in the Chinese operations by MSEK -7.7 (-29.2).

▪ Cash flow for the period from operating activities amounted to -31 (-30.5).

▪ The period's cash flow for the Group amounted to MSEK -157.2 (27.2). The cash flow for the period was affected by, among other things, acquisitions of subsidiaries, investments in fixed assets and the special listing of Advanced Soltech.

▪ Earnings per share amounted to SEK 1.55 (-0.71).

▪ No dividend is proposed.

January – December in brief

▪ The Group's revenues for the year amounted to MSEK 1,239.8 (499.4). An increase of 148%. Of the revenues, SEK 288 million is due to the special listing of Advanced Soltech Sweden AB (“ASAB”) as a revaluation result that did not affect cash flow arose on the sale. Excluding this effect, total revenue from operations amounted to 951.8. The Group's organic growth amounted to 29%.

▪ Revenues in the Swedish operations increased to SEK 820.9 (353) million, an increase of 133% compared with the previous year.

▪ Revenues from Advanced Soltech Sweden AB (“ASAB”) amounted to MSEK 130.9 (146.1) and have been consolidated up to and including the special listing on October 29, 2021. After the special listing, for the period October 30 – December 31, ASAB is reported according to the equity method.

▪ The Group's profit before depreciation (EBITDA) amounted to MSEK 317.6 (101.9). An increase of 212%. The increase was a result of the special listing of ASAB.

▪ The Group's operating profit (EBIT) amounted to MSEK 150.7 (42.8). An increase of 252%. EBIT has been affected by the special listing of Advanced Soltech, where a non-cash flow-affecting revaluation result of MSEK 288 has arisen. EBIT is also affected by increased amortization and write-downs of goodwill as a direct result of completed acquisitions and through restructuring and revaluations of goodwill.

▪ Profit for the year after financial posts, currency effects and tax amounted to MSEK 77.6 (-141) . Currency effects of unrealized exchange rate differences in the Chinese operations have affected earnings by MSEK 51 (-42.8).

▪ The year's cash flow from operating activities amounted to -103.7 (-8.7).

▪ The year's cash flow for the Group amounted to MSEK 115.2 (120.6). This year's cash flow has been affected by new issues, acquisitions of subsidiaries, investments in fixed assets and the special listing of Advanced Soltech.

▪ During the year, Covid-19 has affected the Swedish operations through increased transport costs and price increases for, among other things, solar panels. Increased sick leave has led to some delays in the completion of projects.

Significant events during the fourth quarter

▪ Soltech Energy Sweden AB's subsidiary Advanced Soltech Sweden AB (ASAB) was listed on the Nasdaq First North Growth Market on 29 October. In connection with the special listing, a revaluation result arose in the Group. The revaluation result amounted to MSEK 288 based on consolidated values at the time of divestment of the shares in ASAB.

The revaluation result does not affect cash flow and is reported under other income and is specified in Note 1. After the special listing, Soltech's holding amounts to 29.35%, which means that Soltech Energy Sweden AB (publ) no longer has the controlling influence. ASAB is therefore not reported as a subsidiary but as an associated company according to the equity method.

▪ Soltech Energy Sweden AB's subsidiaries Swede Energy and Merasol were merged during the fourth quarter and Soltech Sales & Support was partially integrated, the new company is called Soltech Energy Solutions 1988 AB.

▪ Soltech Energy Sweden AB (publ) acquired 100 percent of the shares in the Neabgruppen with access on October 1, 2021.

▪ Soltech Energy Sweden AB (publ) acquired 100 percent of the shares in ESSA Glas & Aluminium AB (ESSA) with access on December 30, 2021.

▪ Soltech Energy Sweden AB (publ) acquired 70 percent of the shares in Falu Plåtslageri AB (Falu Plåtslageri) and Tak & Bygg in Falun AB (Takab) with access on January 5, 2022.

▪ Soltech Energy Sweden AB (publ) acquired the remaining 40 percent of the shares in the subsidiary Miljö & Energi Ansvar Sverige AB (Measol) with access on December 31, 2021.

▪ The Nomination Committee prior to the Annual General Meeting on 12 May 2022 in Soltech Energy Sweden AB (publ) has been appointed.

Significant events after the reporting period

▪ Soltech's subsidiary ESSA Glas & Aluminium AB has won a tender for the execution of a façade contract with construction starting in the summer of 2022. The assignment is performed for the Stockholm Region, through Locum AB, and has an order value of MSEK 92.

▪ Soltech Energy's subsidiary Soltech Energy Solutions and Falkenklev Logistik are deepening their collaboration. In addition to the 1.5-hectare solar park Soltech will build, both companies, together with Scania, will also build Sweden's largest charging and battery park for trucks. The project is part-financed by the Swedish Environmental Protection Agency. Soltech's order value for the battery park amounts to MSEK 20.

▪ Soltech Energy's subsidiary, Soltech Energy Solutions, will build Sweden's largest solar park connected to only one industry for Åbro Bryggeri in Vimmerby. The solar park will cover an area of 10 hectares and will contribute to Åbro Bryggeri becoming completely self-sufficient in solar. The park is planned to be commissioned during the latter part of 2022.

CEO letter

Another year of strong growth

When we now summarize 2021, it is our third year in a row with strong growth after we began our acquisition strategy in 2019. We reach MSEK 951.8 from operations and deliver 91% growth at Group level, excluding revaluation effects from the special listing of Advanced Soltech of SEK 288 million. The Group's operating profit (EBIT) amounted to MSEK 150.7 (42.8), an increase of 252%.

Right now, we are experiencing very uncertain times globally with concerns about higher interest rates, inflation and even a war in the Ukraine. The severe and uncertain global situation affects us all, including our business. At the same time, it recalls the importance of reducing dependence on fossil energy sources and investing in long-term sustainable energy supplies such as solar energy. There, Soltech is ready to be a strong partner in the green energy transition.

Organic growth of 29%
Soltech is an acquisition-intensive company that delivers strong growth through this strategy. I am also very proud that in 2021 we had an organic growth of as much as 29% in the Group. It proves that we can not only acquire, but also help our existing companies to develop and grow.

The acquisition strategy resulted in ten new companies
Despite a tough year in the shadow of the corona pandemic, with a series of meeting restrictions, we managed to acquire as many as ten companies. We have for some time been looking for good companies in electrical engineering because that competence is crucial when it comes to solar energy. In 2021, we are therefore pleased to have acquired Provektor, Rams El and Neabgruppen.

Companies in four different industries create benefits
The basis for the construction of our group is solar energy companies. But right from the start, we realized the benefits of also owning companies in the roofing / sheet metal, facade and electrical engineering industries. These companies have the crucial expertise needed for a high-quality solar energy installation, and they have a wide range of customers who are happy to buy solar energy from them. In other words, we acquire both expertise and business opportunities and transform these companies into future companies.

The Corona pandemic's impact on Soltech
Unfortunately, the year 2021 was a difficult year in terms of human and business suffering throughout the world. Soltech has suffered from delivery difficulties, higher prices and not least increased sick leave, something that also followed a bit into 2022. Despite these obstacles, our employees have struggled and delivered a really strong year.

Advanced Soltech was listed separately
Soltech's subsidiary Advanced Soltech Sweden AB (ASAB), which conducts our operations in China, was listed on Nasdaq First North on 29 October. We are proud that ASAB now stands on its own two feet with a better opportunity to refinance its loans. Soltech now owns 29.35% of ASAB and in connection with the listing, a profit of MSEK 288 arose in the Group. We maintain an active ownership influence by continuing to remain on the board and I am positive about the company's development and future.

Soltech is strong
I would like to end by saying that Soltech is stronger than ever, and we look forward to continuing to deliver on our strategy and by building long-term values for our owners and at the same time contributing to a green energy transition.

Stefan Ölander
CEO

Soltech continues to deliver triple-digit growth with an increase of as much as 110% at Group level and 162% for the Swedish operations.

CEO comment:
– Rapid growth is our focus and here we really deliver again. Having 162% growth, of which 39% organic, is a sign of strength. We are in a strong position for 2022, which I am really looking forward to.

THIRD QUARTER IN BRIEF
▪ The Group's revenues in the quarter amounted to SEK 267.2 (127.2) million. An increase of 110%. The Group's organic growth amounted to 39%.
▪ Revenues in the Swedish operations increased to SEK 220.1 (84) million, an increase of 162%.
▪ Revenues in the Chinese operations amounted to SEK 47.1 (43.2) million, an increase of 9%.
▪ The Group's profit before depreciation (EBITDA) amounted to SEK 29.3 (38.9) million. The decrease was driven by continued investment in existing operations and is also
linked to component shortages and increased prices of goods.
▪ The Group's operating profit (EBIT) amounted to SEK 4.6 (23.1) million. The decrease in operating profit is due to increased amortization of goodwill, as a direct result of completed company acquisitions, as well as investments in solar energy facilities and investments in existing operations.
▪ Profit for the period after tax amounted to SEK -10.6 (-18.1) million. The result was affected by unrealized exchange rate differences in the Chinese operations by SEK 22.1 (1.3) million.
▪ Cash flow for the period from operating activities amounted to -116.9 (11.4) MSEK and has been affected by investments in existing operations and increased inventory levels to secure deliveries to existing projects.
▪ Cash flow for the Group for the period amounted to SEK 399.6 (85.5) million. As in the previous year, cash flow has been affected by the completed new share issue.
▪ Earnings per share amounted to -0.19 (-0.31).

THE FIRST NINE MONTHS IN BRIEF
▪ The Group's revenues amounted to SEK 674 M (336.1). An increase of 101%. The Group's organic growth amounted to 42%.
▪ Revenues in the Swedish operations increased to SEK 554.3 (231) million, an increase of 140%.
▪ Revenues in the Chinese operations increased to SEK 119.7 (105.1) million, an increase of 14%.
▪ The Group's profit before depreciation (EBITDA) amounted to SEK 50.3 (87.3) million. The decrease was driven by continued investment in existing operations and is linked to component shortages and increased prices of goods. EBITDA was also negatively affected by non-recurring effects of SEK 11.7 million regarding redemption of minority interests and revaluation of additional purchase prices.
▪ The Group's operating profit (EBIT) amounted to SEK -15.6 (43.9) million. The decrease in operating profit is due, in addition to what is stated in the previous point, to increased
amortization of goodwill, as a direct result of completed company acquisitions, as well as investments in solar energy facilities and investments in existing operations.
▪ Profit for the period after tax amounted to SEK -60.6 (-60.6) million. The result was affected by unrealized exchange rate differences in the Chinese operations by 58.7 (-4.8) MSEK.
▪ The Corona pandemic has affected the Swedish operations mainly in the form of increased transport costs and price increases for, among other things, solar panels. The order entry is still good in the quarter.
▪ The Chinese operations were affected to a lesser extent by the Corona pandemic and, according to the company's estimate, an impact of SEK -1.4 (-2.0) million as a result of the general price reduction on electricity remaining.

SIGNIFICANT EVENTS DURING THE THIRD QUARTER
Sweden
▪ The Board of Directors of Soltech Energy Sweden AB decided on 13 August 2021 to carry out a new share issue of approximately SEK 247 million with preferential rights to existing
shareholders and a possible over-allotment of approximately SEK 150 million. The rights issue was oversubscribed by 166% and the company was thus provided with SEK 397 million before issue costs.
▪ On 22 September, the Board of Directors of Soltech Energy Sweden AB decided to list the ordinary shares in the subsidiary Advanced Soltech Sweden AB on Nasdaq First North Growth Market.
▪ As of August 30, Soltech Energy has acquired 90.1% of the shares in Wettergrens Tak & Plåtslageri AB (Wettergrens) with access on September 2, 2021.
▪ Soltech Energy has decided to merge the operations of the three wholly owned subsidiaries MeraSol AB, Swede Energy Power Solutions AB, and most of the operations in Soltech Sales & Support AB. The new company is called Soltech Energy Solutions 1988 AB.
▪ Soltech Energy's subsidiary, Swede Energy, has entered into an agreement for what will be the Nordic region's largest roof-placed solar cell plant, both in terms of area and power. The area is 65,000 m2.

China
▪ During the quarter, ASAB's subsidiary in China, ASRE, signed new orders amounting to a total installed capacity of 13.6 MW.
▪ At the end of the period, the company had 51 (55) MW in signed orders, as well as projects under processing of 125 (134) MW.
▪ During the period, SEK 71 million was added before issue costs in new issues of preference shares.
▪ The Chinese operations are granted unsecured local bank loans of CNY 40 million (approximately SEK 54 million) at an interest rate of approximately 4.6%.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD
▪ As of October 1, Soltech Energy has acquired 100% of the shares in the electrical engineering company NEAB Gruppen AB.
▪ Soltech Energy participates in the world exhibition Expo 2020 in Dubai Oct 2021 – March 2022, where Soltech installed a 500 m2 sunroof and 500 m2 sun facade on the Swedish pavilion.
▪ Nomination Committee prior to the Annual General Meeting on 12 May 2022 in Soltech Energy Sweden AB (publ) has been appointed.
▪ On 28 October, the Government decided on an amendment to the ordinance that will be introduced on 1 January 2022, which allows transfer of energy between several units without the requirement for a network concession. It can be expected to improve opportunities and reduce the cost of solar investment in larger properties
▪ On October 29, 2021, Soltech Energy Sweden AB's subsidiary Advanced Soltech Sweden AB (ASAB) was listed on the Nasdaq First North Growth Market. This meant that Soltech Energy AB's ownership interest in the company after IPO and conversion of preference shares decreased from 50.73% to 29.35%. Furthermore, this meant that Soltech Energy Sweden AB no longer has the controlling influence over ASAB and that as of October 29, 2021, ASAB is no longer reported as a subsidiary in the parent company and the group. As of October 30, 2021, ASAB will be reported in the consolidated financial statements as an associated company according to the equity method.

In connection with the special listing, a revaluation result arises in the Group. Preliminarily, the revaluation result amounts to approximately SEK 287 million based on preliminary consolidated values ​​as of the divestment date for ASAB. The revaluation result does not affect cash flow and will be reported in the fourth quarter of 2021.

Following the listing, Soltech Energy Sweden AB owns 11,373,941 number of shares in ASAB with a book value of SEK 27 per share, corresponding to the value per share on the day of the listing. Following the listing, Soltech Energy Sweden AB in the Group reports SEK 307 million in participations in associated companies. Other significant effects on the balance sheet for the Soltech Group are that fixed assets decrease by approximately SEK 1.3 billion, of which solar energy facilities amount to approximately SEK 1.2 billion and that long-term liabilities decrease by approximately SEK 1 billion, of which bond loans amount to approximately SEK 0.9 billion.

Soltech's holdings in ASAB continue to be reported quarterly in operating profit and consist of Soltech Energy Sweden AB's share of profit in ASAB, amortization of surplus values ​​in solar energy plants, deferred tax and currency translation of surplus values.

The share price of ASAB has developed positively since the IPO on October 29, with a closing price on November 29 of SEK 59.6 / share, which corresponds to a value of approximately SEK 640 million for Soltech's shares.