CNMV approves and registers Soltec Power Holdings' IPO prospectus

The Company will issue shares for an initial amount of 150 million euros, and the offer will be extendable by an additional 15 million euros worth of shares in the event that the call option is exercised. greenshoe granted by its main shareholder

The share offering will be aimed primarily at qualified international institutional investors, with a tranche for non-qualified investors (employees of the Company and other related investors), and is expected to commence trading on 29 October under the ticker symbol ticker "SUN"

The market capitalisation of Soltec Power Holdings after the offer would be between 370.5 and 440.4 million euros, according to the indicative and non-binding price range of 3.66 and 4.82 euros per share.

The Spanish Securities and Exchange Commission (CNMV) has approved the prospectus for the offer for subscription (Offer) and admission to trading of Soltec Power Holdings shares. The Company will issue new shares worth approximately EUR 150 million. In addition, the offer may be extended by the sale of shares for an additional EUR 15 million in the event that the global coordinating entities exercise the option to purchase shares owned by the Company's main shareholder, Grupo Corporativo Sefrán, S.L., up to 10% of the initial offer. In addition, the Company and its existing shareholders will enter into a lock-up agreement for 180 days (Company and Grupo Corporativo Sefrán) or 365 days (all other shareholders) following the date on which the shares are admitted to trading on the Spanish Stock Exchanges.

Following the transaction, Grupo Corporativo Sefran will continue to be the main shareholder of Soltec Power Holdings alongside Valueteam.

The Offer will be executed in two tranches and will be primarily targeted at qualified international institutional investors. In addition, there will be a tranche for non-qualified investors through which it will be extended to employees of the Company and its Spanish subsidiaries, as well as to certain pre-determined related investors. The latter tranche will not exceed the greater of 2% of the initial offering (excluding the call option). greenshoe) and EUR 3 million, after the application of a 10% discount to employees.

The shares are expected to start trading on the Madrid, Barcelona, Valencia and Bilbao stock exchanges on 29 October 2020 under the ticker "SOL".

The indicative and non-binding price range has been set at between EUR 3.66 and EUR 4.82 per share, which would put the market capitalisation of Soltec Power Holdings after the offer at between EUR 370.5 million and EUR 440.4 million. The final issue price of the shares is expected to be set around 27 October, following completion of the placement process which begins tomorrow, 16 October 2020.

Banco Santander, S.A. is acting as Senior Joint Global Coordinator y Joint Bookrunner and CaixaBank, S.A. acting as Joint Global Coordinator y Joint Bookrunner (the "Global Coordination Entities"), together with JB Capital Markets, Sociedad de Valores, S.A.U., and Joh. Berenberg, Gossler & Co. KG, both acting as Joint Bookrunners (the "Joint Bookrunners" and together with the Global Coordination Entities, the "Joint Bookrunners" and together with the Global Coordination Entities, the "Joint Bookrunners"). Rothschild & Co. acts as Financial Adviser to the Company.

With the IPO, Soltec Power Holdings aims to reinforce its transparency and corporate governance, as well as to strengthen and institutionalise the relationship with its internal and external stakeholders, while broadening its shareholder base and diversifying its sources of financing. Furthermore, by becoming a listed company, Soltec Power Holdings also seeks to strengthen its role as a key player in the energy transition, placing its integrated and sustainable business model at the service of this transition.

Raul Morales, CEO of Soltec Power Holdings, said: "We are very excited to start this new stage in Soltec's history. We have been operating successfully for more than 16 years. We have a solid global business with a remarkable growth trajectory and which operates in a sector, the photovoltaic sector, with very positive development prospects for the coming years worldwide.

We believe we are in the best position to introduce our company to the stock market, as we are confident in the attractiveness of our value proposition to attract the attention of investors and to take advantage of the expected development of the PV sector in the coming years.

Leading company in a key sector

Soltec Power Holdings is a leading company specialising in integrated solar photovoltaic solutions focused on solar tracking systems with a strong commitment to innovation. It ranks third worldwide in the market among solar tracker suppliers, first in Mexico and Argentina and second in Brazil and Spain..

Headquartered in Molina de Segura, Murcia, Spain, Soltec has been operating since 2004 and has a diversified geographic presence focused on Spain, North America and Latin America. It is present in 16 countries with more than 1,320 employees. Since its incorporation, Soltec has supplied trackers for projects with a total of 7.1 GW of installed capacity, of which 42% are in Latin America, 31% in North America (including Mexico), 25% in Europe, Middle East and Africa and 2% in Asia-Pacific.

Soltec Power Holdings is composed of:

• Soltec Industrial: is responsible for the production of solar trackers, offering installation and construction services.
• for Powertis: is in charge of the development of photovoltaic projects (Project Development).

Soltec Industrial has a committed order book (order backlog) 190 million (about 1.8 GW) and an estimated potential order book of approximately (order pipeline) 2,148 million (about 17.6 GW) as of 30 June 2020, calculated as the sum of the potential revenues and MW of such projects, respectively, not weighted by Soltec's estimate of the probability that it will sign a contract in relation to them.

Powertis, for its part, has a committed volume of development (development backlog) of approximately 1.3 GW and an estimated pipeline of potential developments (development pipeline) of approximately 3.8 GW, calculated as the sum of potential MW unweighted by Soltec's estimate of the probability that the project will be completed.

Both divisions operate at the various stages of a PV project, offering Soltec Power Holdings' customers a comprehensive service that responds to the growing demand and development potential of the PV sector. The integration of the two companies under Soltec Power Holdings also allows for numerous synergies and additional benefits.

Per MW of solar trackers delivered in 2019. Source: IHS Markit Global PV Tracker Market Report 2020.