Metavista Announces Termination of Distribution Agreement and Settlement Payment

Executive Summary

• Metavista3D’s subsidiary psHolix AG terminated its strategic distribution agreement with Consultant Mysticum Limited, paying a settlement of $4,966,511 (US$3.5 M).
• The termination restores exclusive distribution rights to the Company, enhancing operational flexibility and preserving future economic upside in the affected territories.
• The cash settlement caused a short‑term reduction in working capital but is not expected to adversely affect ongoing operations.

Key Details

• Settlement Payment: $4,966,511 (US$3,500,000) paid on July 16 2025 to terminate the Distribution Agreement.
• Original Agreement: Granted Consultant exclusive rights to purchase products at production cost + 10% margin for resale in designated territories.
• Prior Financial Interactions with Consultant:
• Participated in a concurrent private placement of 1,436,781 common shares at $1.74 per share, gross proceeds $2,500,000 (press release Feb 27 2025).
• Entered into a loan agreement allowing the Company to borrow up to $12,500,000 until Aug 31 2027 (press release Sept 15 2025).
• Strategic Rationale: Termination removes exclusivity constraints that limited direct contracting with customers and improves flexibility for current and future projects.
• Impact on Working Capital: The settlement reduces cash balances in the current period; management expects offset by future capture of full economic benefits from previously restricted agreements.
• Future Outlook: No adverse impact anticipated on operational capability; the Company anticipates enhanced upside from regained distribution rights.

Notable Quotes

• “Terminating the Distribution Agreement and reacquiring the distribution rights is in the best interests of the Company to enhance operational flexibility and preserve economic upside associated with our projects.” – Jeffrey Carlson, CEO