Company: BWAY
Filing Date: 2025-04-22
Form Type: 20-F
Source: 0001171843-25-002347
Chunk: 69

Company: Brainsway Ltd.
Filing Date: 2025-04-22
Form: 20-F
Item: Item 5
Chunk 69
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 2023, Hamas terrorists infiltrated Israel’s
southern border from the Gaza Strip and conducted a series of attacks on civilian and military targets. Hamas also launched extensive
rocket attacks on Israeli population and industrial centers located along Israel’s border with the Gaza Strip and in other areas
within the State of Israel. These attacks resulted in extensive deaths, injuries and kidnapping of civilians and soldiers. Following the
attack, Israel’s security cabinet declared war against Hamas and a military campaign against this terrorist organization commenced
in parallel to its continued rocket and terror attacks. In addition, in October 2023, Hezbollah, a terror group based in Lebanon, commenced
extensive rocket attacks on northern Israel and other areas within the State of Israel. The personnel and facilities of our outsourced
manufacturer, located near the Israel-Lebanon border, were particularly susceptible throughout 2024 to the risks and instabilities posed
by the outbreaks of violence that occurred between Israel and Hezbollah during this period. Although a temporary ceasefire with Hezbollah
was reached in late 2024, the clash between Israel and Hezbollah in Lebanon may escalate in the future into a greater regional conflict.
Additionally, a Yemeni rebel group, the Houthis, launched a series of attacks on global shipping routes in the Red Sea, causing disruptions
of supply chain and also launched rockets and drones in an attempt to reach Israeli military and civilian targets. These geopolitical
developments may adversely affect our ability to continue carrying out various administrative, research, operational and commercial functions
and activities both in Israel and globally.

In addition, popular uprisings in various countries
in the Middle East and North Africa are affecting the political stability of those countries. Such instability may lead to deterioration
in the political and trade relationships that exist between the State of Israel and these countries. Furthermore, some countries restrict
doing business with Israel and Israeli companies, and additional countries may impose restrictions on doing business with Israel and Israeli
companies if hostilities involving Israeli or political instability in the region continue or intensify. Such restrictions may seriously
limit our ability to sell Deep TMS to customers in those countries. In addition, there have been increased efforts by activists to cause
companies and consumers to boycott Israeli products. Such efforts, particularly if they become more widespread, may materially and adversely
impact our ability to sell our products.

Any hostilities involving Israel or the interruption
or curtailment of trade between Israel and its present trading partners, or significant downturns in the economic or financial condition
of Israel could adversely affect our