Kongsberg Automotive

M&A Activity • Jul 11, 2023

Kongsberg Automotive completes the share purchase in Chassis Autonomy, expanding its autonomous driving product portfolio

Kongsberg Automotive completes the share purchase in Chassis Autonomy, expanding its autonomous driving product portfolio

Zurich, July 11, 2023: Kongsberg Automotive AS (KA) has signed an agreement to

acquire 20% of the shares in Chassis Autonomy SBA

AB (https://www.chassisautonomy.com/) (Chassis Autonomy) via a directed rights

issue. The agreement further includes call options to acquire up to 100% of the

total outstanding shares within 2027.

Additionally, KA has entered an exclusive partnership collaboration with Chassis

Autonomy to support the continued growth of the company and unlock its market

potential.

Chassis Autonomy specializes in the design and development of steer-by-wire and

brake-by-wire systems (that compromise the mechanical hardware, control

electronics, and software) for use in highly automated (L3) and fully autonomous

(L4 and L5) vehicles, agriculture, and construction applications where KA is

seeking a strong market position.

The highly innovative technology is 'fail-operational', which means that it is

designed to ensure functionality even in the event of a system fault or failure.

This guarantees that the vehicle maintains steering functionality even in the

event of a system or vehicle fault, enabling the journey to continue, which

would otherwise have required the vehicle to perform a potentially dangerous

emergency stop. This proprietary technology is protected by several patent

applications.

"The transformation journey towards autonomous driving for the entire industry

has already started and with this investment, KA has positioned itself to offer

unique technology to our customers in partnership with Chassis Autonomy. This

technology will allow KA to empower customers to incorporate fail-operational

steer-by-wire solutions in their vehicles today, preparing them for autonomous

driving (L3-5) for road and farming vehicles. This eliminates uncertainty about

technology longevity and future requirements, saving customers from costly

redesign efforts," says KA's President & CEO Joerg Buchheim adding, "I am

excited about this investment and our close partnership with Chassis Autonomy,

as it provides a strong foundation for the future with our complementary

competences and capabilities."

Chassis Autonomy will continue to invest into product development, primarily

control electronics and software. Chassis Autonomy has a strong ambition to

reach a valuation of USD 1 billion and become a unicorn company in five years.

The company's founders Peter Johansson and Thomas Li will continue in their

roles as CEO and CTO and remain major shareholders in the company.

KA has a proven track record as a tier 1 and tier 2 supplier in off-highway

vehicles and several segments of the automotive industry. KA's experience and

capabilities will be made available to Chassis Autonomy to accelerate the growth

journey. KA will be the exclusive partner for producing and commercializing

products embodying Chassis Autonomy's technology.

With this purchase, KA and Chassis Autonomy will strengthen the collaboration

that started in 2022 (https://www.kongsbergautomotive.com/media-news/press

-releases/2022/kongsberg-automotive-signs-a-collaboration-agreement-with-chassis

-autonomy-in-sweden/), followed by a non-binding

agreement (https://www.kongsbergautomotive.com/media-news/press

-releases/2023/kongsberg-automotive-enters-a-non-binding-agreement-to-acquire-20

-of-chassis-autonomy/) which was signed in June 2023.

IR & Media Contact:

Mads Langaard

mads.langaard@ka-group.com

+47 905 81 264

About Kongsberg Automotive ASA

Kongsberg Automotive provides cutting-edge technology to the global vehicle

industry. We drive the global transition to sustainable mobility by putting

engineering, sustainability, and innovation into practice. Our product portfolio

includes driver and motion control systems, fluid assemblies, and industrial

driver interface products. Find more information at:

kongsbergautomotive.com (https://www.kongsbergautomotive.com/)

About Chassis Autonomy

Chassis Autonomy is a deep technology start-up with a vision to enable

autonomous mobility through actuation.  Our fail-operational, steer and brake-by

-wire systems will set the benchmark and define the new state-of-the-art for

safe actuation systems that are used in highly automated and fully autonomous

vehicles. For more information, please visit:

chassisautonomy.com (https://www.chassisautonomy.com/)

The information in this announcement is considered inside information pursuant

to the EU Market Abuse Regulation and is subject to the disclosure requirements

pursuant section 5-12 of the Norwegian Securities Trading Act. This announcement

was published by Kongsberg Automotive's Investor & Media Relations contact as

set out above.

Forward-looking statements

This announcement contains forward-looking statements. Forward-looking

statements are statements that are not historical facts and may be identified by

words such as "believe", "expect", "anticipate", "strategy", "intends",

"estimate", "will", "may", "should" and similar expressions. The forward-looking

statements in this announcement are based upon various assumptions, which in

turn may be based on further assumptions. Although Kongsberg Automotive believes

that these assumptions were reasonable when made, these assumptions are

inherently subject to significant known and unknown risks, uncertainties,

contingencies, and other important factors that are difficult or impossible to

predict and are beyond its control. Various factors could cause Kongsberg

Automotive's actual results to differ materially from those projected in a

forward-looking statement. No assurances can be given that the assumptions

underlying the forward-looking statements prove to have been correct. Kongsberg

Automotive disclaims any obligation to update or revise any forward-looking

statements, whether as a result of new information, future events or otherwise.