Eguana Provides Bi-Weekly Update on Filing of Annual Financial Statements

Rhea-AI Summary

Eguana Technologies has received an extension from the Alberta Securities Commission for its Management Cease Trade Order (MCTO) until June 30, 2025. The MCTO was initially granted on May 6, 2025, due to delays in filing annual financial statements for FY2024. The delay stems from auditing complexities related to the liquidation of the company's German subsidiary and inventory discrepancies with a third-party vendor, along with resource constraints. During this period, the CEO and CFO cannot trade company securities, and the company cannot conduct share buybacks. The company is working to hire an interim CFO and plans to file Q1 2025 financials after completing the annual filings. Eguana confirms it's not subject to insolvency proceedings and continues to comply with alternative information guidelines under NP 12-203.

Positive

• None.

Negative

• Delayed filing of FY2024 annual financial statements requiring MCTO extension
• Management (CEO and CFO) restricted from trading company securities
• Audit complications due to German subsidiary liquidation and inventory discrepancies
• Resource constraints affecting timely financial reporting

Calgary, Alberta--(Newsfile Corp. - June 19, 2025) - Eguana Technologies Inc. (TSXV: EGT) (OTC Pink: EGTYF) ("Eguana" or the "Company"), a leading developer and manufacturer of high-performance energy storage systems, provides an update with respect to the management cease trade order ("MCTO") in connection with the Company's filing of its audited annual financial statements and management discussion and analysis for the financial year ended December 31, 2024, and the applicable CEO and CFO certifications (collectively the "Annual Filings"). The Company also announces that the Alberta Securities Commission (the "Commission") has granted an extension to the existing MCTO from June 20, 2025 to June 30, 2025.

Further to the Company's news release dated April 23, 2025 (the "Announcement"), the Company's principal regulator, the Commission granted the MCTO on May 6, 2025, under National Policy 12-203 - Management Cease Trader Orders ("NP 12-203"). Pursuant to the MCTO, the Chief Executive Officer and the Chief Financial Officer of the Company may not trade in securities of the Company until such time as the Company files the Annual Filings and the Commission revokes the MCTO. During this period, the Company will not execute any share buy-back activities under a normal course issuer bid, and has undertaken not to, directly or indirectly, issue or acquire securities from an insider or employee of the Company. The MCTO does not affect the ability of shareholders to trade their securities.

On May 29, 2025, the Commission granted the Company an extension to the existing MCTO until June 20, 2025 and on June 12, 2025 the Commission granted a further extension until June 30, 2025 (the "Extensions"). The Company requested the Extensions due delays experienced by the Company and its auditors, which have taken longer to resolve than originally anticipated, including resource constraints of the parties, and auditing complexities of the Company's liquidation of its German subsidiary and inventory discrepancies by a third-party vendor. The Company and its auditors continue to make progress in preparing the Annual Filings. The Company also anticipates filing its first quarter unaudited consolidated financial statements and management discussion and analysis, for the three months ended March 31, 2025, soon after the Annual Filings. The Company has also been working towards the hiring of an interim chief financial officer and this is expected to be completed, and announced shortly.

The Company will issue a news release announcing completion of filing of the Annual Filings when completed and filed and until then the Company will comply with the alternative information guidelines set out under NP 12-203, including issuing bi-weekly default status reports by way of news releases, which will be filed on SEDAR+.

In addition, the Company confirms that since the date of the Announcement: (i) there has been no failure by the Company in fulfilling its stated intentions with respect to satisfying the provisions of the alternative information guidelines set out in NP 12-203; (ii) there has not been any other specified default by the Company under NP 12-203; (iii) the Company is not subject to any insolvency proceedings; and (iv) there is no other material information concerning the affairs of the Company that has not been generally disclosed.

About Eguana Technologies Inc.

Eguana's vision is to build the grid of the future by delivering flexible, modular, and cost-effective alternatives to traditional grid upgrades. Our technology provides value to all key stakeholders - from the consumer, to the electricity retailer, the distribution utility, and the system operator. Since 1998, Eguana Technologies has connected utilities with consumers through its high-performance commercial and residential energy storage solutions. The Eguana product suite has been designed from the ground up with both the end user and the utility in mind to transition the power grid seamlessly. Manufactured in local facilities across the globe to ensure compliance and quality, Eguana's standardized platform allows the flexibility to ensure each product solution is optimized for use in major grid modernization markets.

To learn more, visit www.EguanaTech.com or follow us on LinkedIn and @EguanaTech on X.

Company Inquiries

Justin Holland, CEO Eguana Technologies Inc.

+1.416.728.7635

Justin.Holland@EguanaTech.com

Forward-Looking Statements

The reader is advised that all information herein, other than statements of historical fact, may constitute forward-looking statements and forward-looking information (together, "forward-looking statements") within the meaning assigned by National Instrument 51-102 - Continuous Disclosure Obligations and other relevant securities legislation. In particular, forward-looking statements include, among other things, that the Annual Filings will be finalized by June 30, 2025, the Company's compliance with the MCTO and NP 12-203. Forward-looking statements are not a guarantee of future performance and involve a number of risks and uncertainties. Many factors could cause the Company's actual results, performance or achievements, or future events or developments, to differ materially from those expressed or implied by forward-looking statements. Such factors include, but are not limited to, the factors set out in the "Risk Factors" section of the Company's management's discussion and analysis for the three and nine months ended September 30, 2024 and Company's management's discussion and analysis for the year ended December 31, 2023, which may be found on its website or at www.sedarplus.ca. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. The Company does not undertake any obligation to release publicly any revisions to forward-looking statements contained herein to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.

Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/256115

FAQ

Why did Eguana Technologies (EGTYF) receive a management cease trade order extension?

Eguana received the MCTO extension until June 30, 2025, due to delays in filing FY2024 annual financial statements, caused by auditing complexities with their German subsidiary liquidation and inventory discrepancies.

What restrictions does the MCTO place on Eguana Technologies (EGTYF)?

The MCTO prevents Eguana's CEO and CFO from trading company securities, prohibits share buybacks, and restricts the company from issuing or acquiring securities from insiders or employees.

When will Eguana Technologies (EGTYF) file its delayed annual financial statements?

Eguana expects to file its FY2024 annual financial statements by June 30, 2025, followed by Q1 2025 financials shortly after.

Is Eguana Technologies (EGTYF) facing insolvency proceedings?

No, Eguana has explicitly confirmed it is not subject to any insolvency proceedings.

What operational issues is Eguana Technologies (EGTYF) currently facing?

Eguana is dealing with resource constraints, auditing complexities related to its German subsidiary liquidation, inventory discrepancies with a third-party vendor, and is in the process of hiring an interim CFO.