Franchetti

M&A Activity • Jan 30, 2025

PRESS RELEASE

Franchetti S.p.A. - Closing completed for acquisition of majority stake in new company Strucinspect GmbH

Arzignano (VI), January 30, 2025 – Franchetti S.p.A. (Ticker BIT: FCH), the parent company of the multinational software development and engineering design Group of the same name, announces the closing today of the transaction announced on December 23, 2024 for the acquisition of a 66.67% stake in the Austrian company Strucinspect GmbH.

Through Strucinspect GmbH, whose partners include the international technology and mechanical engineering company Palfinger AG, which specializes in lifting and handling technologies, Franchetti seeks to accelerate the development and international deployment of the "Strucinspect" software, an AI-based platform for predictive diagnosis and the advanced management of infrastructure such as bridges, dams and tunnels.

"We are proud to announce the completion of this strategic transaction and a significant step toward expanding our technology leadership in the area of predictive infrastructure maintenance, stated Gianluca Del Fabbro, General Manager of Franchetti S.p.A. "Strucinspect GmbH not only strengthens our position in the European and North American markets, but also offers cutting-edge solutions that meet the needs of infrastructure managers in terms of safety, efficiency and sustainability."

Transaction details

Strucinspect GmbH owns the "Strucinspect" predictive diagnostic software, the related brand name and a team of highly-qualified engineers. Franchetti S.p.A. pursuant to the investment agreement signed on 23 December 2024, completed the first capital increase for Euro 874,000, acquiring 66.67% of the new company's share capital. The remaining 33.33% remains held by the other partners, including Palfinger AG.

Strategic outlook

The acquisition represents a important step in Franchetti's international expansion, particularly in the DACH area (Germany, Austria and Switzerland) and in the United States, where the "Strucinspect" software has already proven its abilities in iconic projects such as the inspection of the Los Angeles subway and the Clunie Dam in Scotland.

Based on advanced AI algorithms, "Strucinspect" sets itself apart by its ability to accurately detect structural defects and innovative features that enable comprehensive predictive management by fully integrating with both Franchetti's products and other systems,

including the Bridge Management Systems (BMS) and Enterprise Resource Planning (ERP) solutions to offer innovative interconnected management services.

Fee and timing

Franchetti S.p.A. will invest a total of Euro 1.874 million in Strucinspect GmbH between the initial payment of Euro 874,000 which will be completed in the next few days, and an additional Euro 1,000,000 to be settled by the first anniversary of the closing.

Transaction advisors

Franchetti S.p.A. was supported by ADVANT Nctm and Wolf Theiss Rechtsanwälte GmbH & Co for the legal and corporate aspects under Austrian law.

The transaction is not considered a significant transaction as per Article 12 of the Euronext Growth Milan Issuers' Regulation.

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This press release is available in the Investor Relations/Financial Press Releases section of the website www.franchetti.tech and athttps:///PORTALE

Franchetti S.p.A.

Franchetti S.p.A. heads the Franchetti Group, a pioneer in the management, diagnostics and predictive maintenance of infrastructure (bridges and viaducts in particular). Founded in 2013 in Arzignano (VI), with subsidiaries in Brazil and Canada and operations in the US and India, Franchetti is an innovative SME that has worked on over 40,000 equivalent motorway and railway bridges worldwide. The Group boasts a technical and scientific track record that places it among the industry's leading international experts. Operations are broken into two main business lines: diagnosis and planning for infrastructure maintenance, with inspections and assessments, intervention planning and construction management and ICT services for the predictive programming of infrastructure maintenance. Franchetti has in fact developed two proprietary software programs that leverage the potential of artificial intelligence and predictive data analysis: Argan® can estimate an infrastructure's life cycle and automatically assess safety levels over time for a range of maintenance scenarios and contexts, Pathwork© ensures the optimized management of road and highway works on infrastructure and to support sustainable mobility, while SIDECHECK© can intelligently compare collected data related to inspections, inspectors, schedules, and work estimates to make the evaluation process as objective and complete as possible. With a workforce of 70 professionals, more than 90% of whom are engineering graduates, the Group achieved a Value of Production of Euro 3.5 million in H1 2024 (+22% on H1 2023) and EBITDA of Euro 1.1 million (+122% on H1 2023).

Contacts:

Franchetti S.p.A. TWIN

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Issuer Investor & Media Relations Advisor

Tel. +39 0444671443 franchetti@twin.services ir@franchetti.tech Mara Di Giorgio || +39 335 7737417 Federico Bagatella || +39 331 8007258