CYMAT ANNOUNCES JOINT DEVELOPMENT AGREEMENT WITH MAJOR JAPANESE TRADING AND MANUFACTURING CO.

Rhea-AI Summary

Cymat Technologies (CYMHF) has entered into a Joint Development Agreement with a major Japanese trading and manufacturing company to develop innovative automotive solutions for EV battery function and protection. The partnership's initial focus is developing a lightweight, multi-functional EV battery encasement for a specific Japanese OEM.

The project builds upon Cymat's existing composite solution featuring stabilized aluminum foam (SAF) sandwich structure, which has demonstrated 40% weight reduction and 15% cost savings compared to traditional high-strength steel solutions. The partnership is currently conducting physical testing of the enhanced design and pursuing patent protection. Discussions are ongoing with a major Japanese Tier 1 automotive manufacturer for component assembly.

Positive

• Partnership with major Japanese trading company expands market access
• Existing solution demonstrates 40% weight reduction and 15% cost savings vs steel
• Patent filing in progress for innovative design elements
• Advanced discussions with Tier 1 automotive manufacturer for assembly

Negative

• None.

MISSISSAUGA, ON, Jan. 14, 2025 /PRNewswire/ - Cymat Technologies Ltd. (TSXV: CYM) (OTCQB: CYMHF) (the "Company" or "Cymat") is pleased to announce that it has entered into a Joint Development Agreement with an established, major Japanese trading and manufacturing company specializing in automotive, chemicals, plastics, electronics and life science products. The primary purpose of this agreement is to jointly develop innovative automotive solutions for EV battery function and protection based on customer demand. Cymat has already been collaborating with this company for almost a year to advance its first initiative in response to OEM interest.

The initial component that the partnership is developing is a lightweight, multi-functional automotive EV battery encasement targeted to a particular Japanese OEM. Cymat is contributing its previously developed composite solution for lightweight underside impact protection for an EV battery box. This component, originally developed and independently lab-tested for another EV OEM, incorporates an advanced stabilized aluminum foam ("SAF") sandwich structure featuring an ultra-thin version of its high-density SmartMetal^TM. This component was proven to be 40% lighter and 15% less expensive than the incumbent high-strength steel solution.

The partnership's initial objective is to enhance the component in terms of its battery functionality and level of impact resistance required by the targeted Japanese OEM. The new design is already undergoing physical testing to validate design performance metrics. The partnership is also in the process of filing patents to protect the innovative elements of this design. As well, discussions are underway with a major Japanese Tier 1 automotive manufacturer to assemble this component.

Michael Liik, Cymat's CEO and Chairman stated, "We are very excited to be working with a world-class partner on this new EV battery component. We believe that these modifications to our original OEM component will hold broader appeal throughout the automotive industry." He added "This sector is highly motivated to utilize lighter, cost-effective, energy-absorbing materials in its quest to effectively compete in the new EV landscape."

The Company will be holding an investor presentation via Zoom on Thursday, January 16^th, 2025, at 4 p.m. ET to further discuss program as well as other initiatives under way. Attendees may e-mail their questions in advance to info@investor3.ca.

Registration will be required to access the meeting.

Please click the following link to register.

https://us06web.zoom.us/webinar/register/WN_bPKXWCKmTualEBbDvyBAqA#/registration

About Cymat Technologies Ltd.

Cymat Technologies Ltd. has the global rights, through patents and established know-how, to manufacture and sell Stabilized Aluminum Foam ("SAF"), a unique, ultra-light, cellular metallic material. The proprietary production process entails the injection of gases through a molten bath of alloyed aluminum infused with ceramic particles. The result is an advanced, lightweight, recyclable material that exhibits unique characteristics including customizable density and dimensions; mechanical energy absorption; thermal and acoustic insulation; and time, temperature and strain-rate insensitivity. A key benefit of this continuous foam production process is its scalability and resultant low cost of production. SAF is used in such industries as architectural design, military and automotive. Cymat markets its architectural   SAF under the Alusion^TM brand and its automotive and military SAF under the SmartMetal^TM brand. For further information, please visit our website at www.cymat.com.

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding future financial position, business strategy, use of proceeds, corporate vision, proposed acquisitions, partnerships, joint-ventures and strategic alliances and co-operations, budgets, cost and plans and objectives of or involving the Company. Such forward-looking information reflects management's current beliefs and is based on information currently available to management. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "predicts", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. A number of known and unknown risks, uncertainties and other factors may cause the actual results or performance to materially differ from any future results or performance expressed or implied by the forward-looking information. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, the impact of general economic conditions, industry conditions and dependence upon regulatory approvals. Certain material assumptions regarding such forward-looking statements may be discussed in this news release and the Company's annual and quarterly management's discussion and analysis filed at www.sedar.com. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by securities laws.

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SOURCE Cymat Technologies Ltd.

FAQ

What are the cost savings of CYMHF's EV battery encasement compared to steel solutions?

Cymat's EV battery encasement solution is 15% less expensive than the incumbent high-strength steel solution.

How much lighter is CYMHF's EV battery encasement compared to traditional solutions?

The SAF-based battery encasement is 40% lighter than traditional high-strength steel solutions.

What is the current development stage of CYMHF's new EV battery component?

The new design is currently undergoing physical testing to validate design performance metrics, with patent filings in progress.

Who will manufacture CYMHF's EV battery encasement components?

Discussions are underway with a major Japanese Tier 1 automotive manufacturer to assemble the component.

What is the target market for CYMHF's new EV battery encasement?

The component is initially targeted for a specific Japanese OEM, with potential broader appeal throughout the automotive industry.