Teqnion update regarding Reward Catering Limited and information about a potential, related goodwill impairment

Teqnion AB ("Teqnion" or the "Company") is currently involved in legal proceedings involving the previous shareholders and management of Teqnion's wholly owned subsidiary Reward Catering Limited ("Reward Catering"). Due to certain concerns and issues relating to Reward Catering and its operations that has been discovered in relation to the proceedings, the board of Reward Catering, has today, 8 October 2025, petitioned the High Court of Ireland for the appointment of provisional liquidators of Reward Catering.

The decision to seek the appointment of provisional liquidators follows significant concerns which have arisen in relation to the certification of units sold by Reward Catering together with certain other issues which have come to light. Collectively these issues raised serious concerns about the viability of the business. These issues derive from a period prior to Teqnion assuming control of the management of Reward Catering on 31 March of 2025.

On that basis, the current directors of Reward Catering, who are representatives of Teqnion, have decided that it is appropriate to apply to the High Court of Ireland for the appointment of provisional liquidators to conduct an independent investigation of the issues under the supervision of the High Court.

Teqnion intends to continue to respect the legal process and the High Court of Ireland, which means that the Company will, subject to compliance with its ongoing disclosure obligations pursuant to applicable laws and regulations, continue to not comment on ongoing proceedings.

Due to the above, the Company expects to make a significant impairment of goodwill that will impact the 2025 Q3 results. As of Q2 2025, the carrying amount of goodwill for Reward Catering was SEK 109 million. While the exact impairment amount is still to be determined, it is expected to be material. An impairment will have a negative impact on Teqnion's earnings but will not affect cashflow.

Teqnion's interim report for Q3 2025 will, as previously announced, be released on 18 October 2025.

For more information, please contact:
Johan Steene, VD, phone: +46 73 333 57 33, E-mail: [email protected]
Daniel Zhang, CXO, phone: +46 721 555 695, E-mail: [email protected]

Teqnion AB
Dalvägen 14
169 56 Solna
Phone: +46 (0)8-655 12 00
E-mail: [email protected]

This information is information that Teqnion AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 2025-10-08 16:17 CEST.

About Teqnion
Teqnion AB is an industrial group that acquires stable niche companies with good cash flows to develop and own with an eternal horizon. The subsidiaries are managed decentralized with support from the parent company. We operate in many industries with leading products, which gives us good resistance to economic fluctuations as well as solid industrial know-how. For us, it is central to focus on profitability and long-term sustainable business relationships. Teqnion's shares TEQ are traded on the Nasdaq First North Growth Market. Redeye AB is Certified Adviser.