MISSISSAUGA, ON, Dec. 8, 2021 /CNW/ - Cymat Technologies Ltd. (TSXV: CYM) (the "Company" or "Cymat") is pleased to announce that the Company has made a strategic investment in Tesseract Structural Solutions Inc. ("Tesseract") and Michael Liik, Cymat CEO and Chairman, has been appointed to the Tesseract board of directors. Tesseract is an automotive design company specializing in the creation of light-weight solutions for crash energy absorption within automotive body structures.
Cymat has invested USD 250,000 into a convertible promissory note (the "Note") bearing interest at ten percent (10%) per annum and maturing on May 15, 2023 (the "Maturity Date"). In the event that Tesseract issues equity for proceeds of USD 500,000 or above prior to the Maturity Date, the Notes and any unpaid interest will convert to common equity. In addition, Cymat has entered into an agreement with Tesseract to appoint Mr. Liik (or a Cymat designated substitute under certain conditions) to the Tesseract board of directors for a 10 year term. Cymat had previously entered into a marketing co-operation agreement with Tesseract (see press release issued Oct. 20, 2020). Amongst other conditions, the agreement obligates Tesseract to deploy Cymat's SmartMetalTM stabilized aluminum foam ("SAF") exclusively into its components.
Michael Liik, CEO, commented, "We are thrilled to advance our relationship with Tesseract. The company's engineering and design capabilities, coupled with Cymat's unique SAF material and associated material science expertise, create an ideal platform to offer OEMs a suite of fully developed components for adoption into a variety of automotive structures or add-on solutions." Mr. Liik further added, "Tesseract has developed a comprehensive understanding of how to optimize SAF's use in light-weight crash-mitigation components. These parts are designed to address the unique crash-mitigation and vehicle light-weighting challenges faced by electric vehicle OEMs."
James Lancaster, Tesseract CEO, commented, "This is the logical culmination of working together with Cymat over many years to perfect our technology. Our current focus is to combine Cymat's aluminum foam - a material that one of our customers has called 'magical' - with our engineering expertise to create high-impact automotive components. Tesseract is particularly pleased about Cymat's addition of two seasoned automotive business development executives that will without a doubt accelerate the wider-scale adoption of our array of components."
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 AlusionTM brand and its automotive and military SAF under the SmartMetalTM brand. For further information, please visit our website at www.cymat.com.
About Tesseract Structural Innovations
Tesseract Structural Innovations is developing new solutions for vehicle safety. Its flagship product, the patents-pending Uniform Deceleration Unit or UDU, is a unique structure that has the ability to absorb an enormous amount of energy during a vehicle crash. The UDU is designed to fit into the various locations of vehicle including cars, trucks, minivans, SUVs, crossovers or even heavy trucks. Through its ability to absorb significant kinetic energy, the UDU reduces crash forces to decrease impact shocks and intrusion of vehicle components into the passenger space or a EV battery during the crash. UDU is a major advance in vehicle safety that can save lives and prevent serious injuries. Further information is available at https://tesseractinnovations.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.
SOURCE Cymat Technologies Ltd.
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