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Elco Ltd.

Capital/Financing Update Dec 1, 2025

6763_rns_2025-12-01_21d723ec-eb63-44b1-8e01-845a491fde9d.pdf

Capital/Financing Update

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ELCO LTD

Registry Number: 520025370

To:

Form Number: T121 (Public)

Transmitted via MAGNA: 01/12/2025 Reference: 2025-01-095234

Immediate Report of General Material Information

Explanation: Do not use this form when a form tailored to the reported event exists. Remark: This form is designated for material reports for which there is no suitable designated form. Remark: Results of an offering must be reported via Form 20 and not with this form. Remark: Reporting on the rating of BONDS or corporation rating must be filed using Form T125.

Nature of Event:

_________, _________, _________

Intention to issue company BONDS (Series 14) by way of an expansion of the series

Reference numbers of previous related reports:

The company is honored to announce that it intends to act to expand the company's BONDS (Series 14) (1), in accordance with a shelf offering report to be published by the company (if published), under the company's shelf prospectus dated September 13, 2023 (2) ("Shelf Offering Report"). The expansion of the series, if and insofar as it is carried out, will be by way of a uniform offering, in a tender at the unit price (the "Offering").

The company intends to hold, on December 2, 2025, a tender for classified investors at an early commitment commission rate of 0.4% of the total consideration received for the units for which classified investors commit to submit requests in the public tender, with no minimum price.

For the avoidance of doubt, the company clarifies and emphasizes that the structure and terms of the offering have not yet been determined, and the expansion of the series, if carried out, will be under the terms to be determined by the company's board of directors and specified in the shelf offering report.

Nothing stated above shall constitute an indication or create any commitment by the company to execute the expansion of the BONDS series (Series 14) as mentioned. The execution of the series expansion and the publication of the shelf offering report are subject to obtaining all approvals required by law, including, among others, board approval, obtaining a rating from the rating company for the BONDS in question, and approval from the Tel Aviv Stock Exchange for listing the BONDS for trading.

A file is attached.

The company is not a shell company as defined by the stock exchange regulations.

Date on which the corporation first learned of the event: 01/12/2025 at 17:00

Details of authorized signatories on behalf of the corporation:

# Name Position
1 Michael Zalkind Other; Joint CEO and Director
2 Eliezer Wesley CFO

Explanation: According to Regulation 5 of the Periodic and Immediate Reports Regulations (1970), reports delivered in accordance with these regulations shall be signed by those authorized to sign on behalf of the corporation. See staff position on the Authority's website: Click Here.

Notes:

    1. The BONDS (Series 14) were first issued according to a shelf offering report dated June 17, 2024 (Reference Number: 2024-01- 061584). The trustee for holders of BONDS (Series 14) is Mishmeret Trust Company Ltd., with whom the company executed a trust deed on June 16, 2024, regulating the terms of BONDS (Series 14).
    1. The company's shelf prospectus was published on September 12, 2023 (Reference Number: 2023-01-086227) and its validity was extended until September 12, 2026, as published on September 7, 2025 (Reference Number: 2025-01-067338).

Reference numbers of previous documents on the subject (mention is not a reference by way of inclusion):

Securities of the corporation are listed for trading on the Tel Aviv Stock Exchange

Form structure update date: 06/08/2024

Short Name: ELCO

Address: Yigal Allon 98, Tel Aviv 6789141 Phone: 03-6939696, Fax: 03-6939689

Email: [email protected]

Company website: http://www.elco.co.il/

Previous names of the reporting entity: Elco Holdings Ltd

Electronic reporting name: Wesley Eliezer Position: CFO Employer:

Address: Yigal Allon 98, Tel Aviv 6789141

Phone: 03-6939678 Fax: 03-6939656 Email: [email protected]

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