Leclanché SA: Leclanché receives CHF 20 million investment commitment from the recently announced acquisition and JV facility of CHF 50 million Montag, 25. Juni 2018 - 07:01

Leclanché SA / Key word(s): Financing/Financing
Leclanché SA: Leclanché receives CHF 20 million investment commitment from
the recently announced acquisition and JV facility of CHF 50 million

25-Jun-2018 / 07:00 CET/CEST
Release of an ad hoc announcement pursuant to Art. 53 KR
The issuer is solely responsible for the content of this announcement.

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Leclanché receives CHF 20 million investment commitment from the recently
announced acquisition and JV facility of CHF 50 million

- CHF 20 million investment approved by FEFAM [1] to set up a Joint Venture
in India

- FEFAM agrees to convert CHF 24 million of its debt into equity

- Leclanché terminates non-binding agreement with potential investor
disclosed on 5 June

YVERDON LES BAINS, Switzerland, 25 June 2018: Leclanché SA (SIX: LECN), one
of the world's leading energy storage solution companies, today announces
that FEFAM, Leclanché's largest shareholder, has approved an investment of
up to CHF 20 million to set up a Joint Venture in India from the funding
facility to finance acquisitions and joint ventures, as announced on 5 June.

FEFAM has confirmed its existing plans to further convert CHF 24 million of
its debt into equity in order to help strengthen the balance sheet of the
Company, subject to the approval by the Swiss Takeover Board and completion
of the due process of capital increase. This follows FEFAM's share capital
increase of CHF 16.5 million announced on 6 June. The conversion into equity
is in line with the Company's objective to continue to attract equity-based
growth capital.

Further, Leclanché's Board has decided to terminate the non-binding term
sheet with a potential strategic investor, which was announced on 5 June, as
parties could not reach an agreement on terms and conditions of the funding
and the timeline of the funding.

Jim Atack, Chairman of the Company, said: "The Board has reviewed the recent
significant positive funding arrangements with FEFAM. These arrangements
include an investment of CHF 75 million, announced on 5 June, an agreement
to convert a large of part of its debt into equity subject to the Swiss
Takeover Board's approval, and lastly, the approval of an investment in a
potential joint venture in India, which we look forward to updating the
market about in due course.

As an outcome of this review, coupled with significant operational
improvements in the Company well underway, the Company will continue to seek
potential strategic investors to increase its overall corporate funding to
between CHF 100 million and CHF 125 million."

As previously stated, the Company is on track to be EBITDA positive by 2020.

The opportunity for Leclanché is now. We have a strong order book and
pipeline and we have never been in a better position to meet the needs of
the disruptors and incumbents, who are changing the way that we produce,
distribute and consume electricity and how we transport people and products,
as we move towards a clean energy future.

About Leclanché
Headquartered in Switzerland, Leclanché SA is a leading provider of high
quality energy storage solutions designed to accelerate our progress towards
a clean energy future.

Leclanché's history and heritage is rooted in over 100 years of battery and
energy storage innovation and the Company is a trusted provider of energy
storage solutions globally. This coupled with the Company's culture of
German engineering and Swiss precision and quality, continues to make
Leclanché the partner of choice for both disruptors, established companies
and governments who are pioneering positive changes in how energy is
produced, distributed and consumed around the world.

The energy transition is being driven primarily by changes in the management
of our electricity networks and the electrification of transport, and these
two end markets form the backbone of our strategy and business model.
Leclanché is at the heart of the convergence of the electrification of
transport and the changes in the distribution network. Leclanché is the only
listed pure play energy storage company in the world, organised along three
business units: stationary storage solutions, etransport solutions and
specialty batteries systems. Leclanché is listed on the Swiss Stock Exchange
(SIX: LECN).

SIX Swiss Exchange: ticker symbol LECN | ISIN CH 011 030 311 9

Disclaimer
This press release contains certain forward-looking statements relating to
Leclanché's business, which can be identified by terminology such as
"strategic", "proposes", "to introduce", "will", "planned", "expected",
"commitment", "expects", "set", "preparing", "plans", "estimates", "aims",
"would", "potential", "awaiting", "estimated", "proposal", or similar
expressions, or by expressed or implied discussions regarding the ramp up of
Leclanché's production capacity, potential applications for existing
products, or regarding potential future revenues from any such products, or
potential future sales or earnings of Leclanché or any of its business
units.

You should not place undue reliance on these statements. Such
forward-looking statements reflect the current views of Leclanché regarding
future events, and involve known and unknown risks, uncertainties and other
factors that may cause actual results to be materially different from any
future results, performance or achievements expressed or implied by such
statements. There can be no guarantee that Leclanché's products will achieve
any particular revenue levels. Nor can there be any guarantee that
Leclanché, or any of the business units, will achieve any particular
financial results.

* * * * *

Contacts


Media contacts:

Europe/global:
Desiree Maghoo
T: +44 (0) 7775 522 740
E-mail: dmaghoo@questorconsulting.com

Laure Lagrange
T: +44 (0) 7768 698 731
E-mail: llagrange@questorconsulting.com

Switzerland:
Thierry Meyer
T: +41 (0) 79 785 35 81
E-mail: tme@dynamicsgroup.ch

Thomas Balmer
T: +41 (0) 79 703 87 28
E-mail: tba@dynamicsgroup.ch

US and Canada:
Rick Anderson
T: +1 (718) 986-1596

Henry Feintuch
T: +1 (212) 808-4901
E-mail: leclanche@feintuchpr.com

Investor Contacts
Anil Srivastava / Hubert Angleys
T: +41 (0) 24 424 65 00
E-mail: invest.leclanche@leclanche.com

# # #[1] FEFAM means: AM INVESTMENT SCA, SICAV-SIF - Liquid Assets Sub-Fund,
together with FINEXIS EQUITY FUND - Renewable Energy Sub-Fund, FINEXIS
EQUITY FUND - Multi Asset Strategy Sub-Fund, FINEXIS EQUITY FUND - E Money
Strategies Sub-Fund (also called Energy Storage Invest) and, all these funds
being in aggregate the main shareholder of Leclanché, hereunder referred to
as "FEFAM".


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End of ad hoc announcement

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