BABYLON PUMP & POWER LIMITED — M&A Activity 2026

May 18, 2026

BABYLON
PUMP & POWER LTD
19 May 2026

Discontinuation of Proposed Transactions and Update on Suspension

Specialist resources services provider Babylon Pump & Power Limited ("Babylon" or "the Company") (ASX: BPP) refers to the voluntary suspension granted to the Company with effect from 22 April 2026 and the subsequent continuation of suspension under ASX Listing Rule 17.3.

As noted in the voluntary suspension request and the Company's further announcement of 27 April 2026, the Company has been in advanced negotiations to acquire a water pumping and storage business (Target) and an associated capital raising to fund the acquisition (Proposed Transactions).

Babylon now advises that the Company and Target have been unable to mutually agree acquisition terms and have ceased negotiations. As such, the Proposed Transactions will not proceed.

While disappointed that a mutually agreeable outcome could not be obtained in this instance, the Company will continue to assess opportunities complementary to its existing portfolio and looks forward to updating the market on its continued growth trajectory as it progresses its strategy of building a scaled, high-margin water management platform, with a focus on rental and technical services.

In light of the above, the Company intends to undertake a capital raise to refresh its working capital and, subject to its successful completion, apply to ASX to lift the suspension from quotation of its securities.

This ASX release has been authorised by Managing Director Michael Shelby.

For more information, please contact:

Michael Shelby
Managing Director
+61 (0) 8 9454 6309
mshelby@babylonpumpandpower.com

Tim Dohrmann
NWR Communications
+61 (0) 468 420 846
tim@nwrcommunications.com.au

Babylon Pump & Power Limited | 1 Port Place, High Wycombe 6057 | PO Box 31, Como WA 6952
P +61 (0) 8 9454 6309 | W www.babylonpumpandpower.com
ABN 47 009 436 908
B

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BABYLON PUMP & POWER LTD

About Babylon Pump & Power Ltd

Babylon Pump & Power Ltd (ASX: BPP) is a provider of speciality mining services to the resources sector in Australia. The company is a specialist in high-pressure pumping, dewatering and project water management with decades of experience supplying and maintaining equipment in remote and offshore locations. Babylon also provides a full range of speciality power generation solutions, including system design, installation, commissioning, operations and maintenance services.

With a team of highly experienced technicians, Babylon also provides full maintenance and asset management services for high horsepower mobile equipment including engines, power train assemblies and components. Babylon is based in Perth with operations in Western Australia and Queensland.

Forward-Looking Statements

This announcement contains forward-looking statements that involve risk and uncertainties. Indications of, and guidelines or outlook on, financial position and returns, performance, targets, timelines, estimates and assumptions in respect of production, prices, operating and other costs, capital expenditures and development timelines are forward looking statements. These statements are based on an assessment of present economic and operating conditions, and on a number of assumptions and estimates regarding future events and actions that, while considered reasonable as at the date of this announcement are inherently subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies.

Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, assumptions and other important factors, many of which are beyond the control of the Company, the directors and management. We cannot and do not give any assurance that the results, performance or achievements expressed or implied by the forward-looking statements contained in this announcement will actually occur and readers are cautioned not to place undue reliance on these forward-looking statements. These forward-looking statements are subject to various risk factors that could cause actual events or results to differ materially from the events or results estimated, expressed or anticipated in these statements.