# EDGAR Filing Document

**Accession Number:** 0001987240
**File Stem:** 0001104659-25-121844
**Filing Date:** 2025-12
**Character Count:** 108553
**Document Hash:** b401f4a09d9264f122942f6762e06928
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001104659-25-121844.hdr.sgml**: 20251217

**ACCESSION NUMBER**: 0001104659-25-121844

**CONFORMED SUBMISSION TYPE**: 6-K

**PUBLIC DOCUMENT COUNT**: 5

**CONFORMED PERIOD OF REPORT**: 20251217

**FILED AS OF DATE**: 20251217

**DATE AS OF CHANGE**: 20251217

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** SCHMID Group N.V.
- **CENTRAL INDEX KEY:** 0001987240
- **STANDARD INDUSTRIAL CLASSIFICATION:** MISC INDUSTRIAL & COMMERCIAL MACHINERY & EQUIPMENT [3590]
- **ORGANIZATION NAME:** 06 Technology
- **EIN:** 000000000
- **STATE OF INCORPORATION:** P7
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 6-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-42040
- **FILM NUMBER:** 251577372

**BUSINESS ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** ROBERT-BOSCH-STR. 32-36
- **CITY:** FREUDENSTADT
- **PROVINCE COUNTRY:** 2M
- **ZIP:** 72250
- **BUSINESS PHONE:** 44 73 84 24 7998

**MAIL ADDRESS:**
- **ADDRESS IS A NON US LOCATION:** YES
- **STREET 1:** ROBERT-BOSCH-STR. 32-36
- **CITY:** FREUDENSTADT
- **PROVINCE COUNTRY:** 2M
- **ZIP:** 72250

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Pegasus TopCo B.V.
- **DATE OF NAME CHANGE:** 20230725

**UNITED STATES SECURITIES AND EXCHANGE<br> COMMISSION**

**Washington, D.C. 20549**

------

**FORM 6-K**

------

**REPORT OF FOREIGN PRIVATE ISSUER PURSUANT<br> TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES<br> EXCHANGE ACT OF 1934**

For the month of December 2025

Commission File Number: 001-42040

**SCHMID Group N.V.**

(Registrant's name)

**Robert-Bosch-Str. 32-36, 72250**

**Freudenstadt, Germany**

**Tel:** **+49 7441 538 0**

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F: Form 20-F ⌧ Form 40-F ◻

**INFORMATION CONTAINED IN THIS REPORT ON FORM 6-K**

**Half-Year Financial Statements for the Six Month Period Ended June 30, 2025 and updated Full-Year Guidance**

On December 17, 2025, SCHMID Group N.V. (the "**Company**") issued a press release entitled "SCHMID Group N.V. reports H1 2025 Financial Results and Guidance Update" (the "**HY Financials Press Release**") in which the Company reported its financial and operational results for the six month periods ended June 30, 2025, a copy of which is furnished as Exhibit 99.2 hereto.

The Company previously published a forecast for the full year 2025 financial results in a press release dated November 17, 2025 furnished on Form 6-K with the Securities and Exchange Commission which estimated that sales would be within a range of €72 million to €77 million for the full financial year of 2025 and unadjusted EBITDA will be approximately 15% of sales.

Due to delays in receiving contractual advance payments and the resulting project postponements, sales for 2025 will be at the lower end of the estimated range. Even at the lower end of the sales range, we can reconfirm our EBITDA margin projection of approximately 15%.

**Company announces appointment of new Chief Financial Officer, Arthur Schuetz, joining as of January 1, 2026**

On December 16, 2025 the Company's board of directors appointed Arthur Schuetz as incoming Chief Financial Officer ("**CFO**") of SCHMID Group N.V. Julia Natterer, current CFO of the Company, will hand over to Mr. Schuetz effective January 1, 2026, to concentrate on the operative business and remain chief financial officer of Gebr. Schmid GmbH. Arthur Schuetz has more than 20 years of investment banking experience in Europe and Asia, in particular leading equity and debt capital fundraisings, including into US markets. His experience also extends into complex cross-border M&A transactions. Mr. Schuetz is expected to bring significant strategic insight and capital markets experience to the Company.

**Two-Tranche Loan Facility Agreement signed with Black Forest Special Situations I for up to €10,000,000**

As part of the realignment of the Company's financial structure, the Company, as borrower, and Black Forest Special Situations I, a Cayman Islands incorporated vehicle (the "**Lender**"), signed an agreed upon secured two-tranche term loan facility on December 16, 2025 (the "**Term Loan Facility**"), with a total commitment value of up to €10,000,000.

The Lender is backed by a consortium that includes the Company's Chairman of the Board, Sir Ralf Speth, members of the Board of Directors of the Company, its newly appointed CFO Arthur Schuetz, and third-party investment and advisory professionals. The first tranche consists of €2,500,000, which will be paid out on December 18, 2025. The second tranche of up to €7,500,000 is set to be drawn down early in 2026.

The Lender in the Term Loan Facility has a conversion right which is exercisable at a share price of US$2.15 into shares of the Company between six months after the draw down of the first tranche and the date of the Term Loan Facility's maturity which is 15 months after the first tranche draw down. The first and second tranches may be converted independently of one another. The Term Loan Facility has a 15% p.a. interest rate with interest payable at maturity, unless the conversion right is exercised and interest is also converted into shares of the Company.

Further, the Term Loan Facility includes security by the Company's majority shareholders, Christian Schmid and Anette Schmid who pledged personal assets for each tranche as security. The Company and the Company's 100% German subsidiary Gebr. Schmid GmbH are both guarantors under the Term Loan Facility.

The Term Loan Facility is attached to this Form 6-K as Exhibit 10.1.

The Company expects to complete its 2024 financial statement and publish its annual report for that year on Form 20-F ("**FY 2024 Form 20-F**") following receipt of payment of both tranches. The Company currently expects to file its FY 2024 Form 20-F in February 2026.

**Company announces conclusion of Loan amounting to €200,000**

As a further component of the realignment of the Company received a cash injection of €200,000 from a related party of the Schmid family on December 15 2025. The agreed interest rate is market standard and the loan has a maturity of 15 months. The €200,000 were injected into the Company alongside the Company's conclusion of the Term Loan Facility described above.

**Press Releases Furnished as Exhibits**

On December 17, 2025, the Company issued two press releases (a) <u>announcing the appointment of new Company CFO and signing of term loan facility</u>, which is furnished herewith as Exhibit 99.1, and (b) <u>announcing unaudited half year 2025 financial results and guidance</u>, which is furnished herewith as Exhibit 99.2.

The information furnished in this Form 6-K, including the information contained in Exhibit 10.1, Exhibit 99.1, and Exhibit 99.2 shall not be deemed to be "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "**Exchange Act**"), or otherwise subject to the liabilities of that section, and shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by a specific reference in such filing.

*Caution Regarding Forward-Looking Statements*

This report contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are based upon current expectations or beliefs, as well as assumptions about future events. Forward-looking statements include all statements that are not historical facts and can generally be identified by terms such as "could," "estimate," "expect," "intend," "may," "plan," "potentially," or "will" or similar expressions and the negatives of those terms. These statements include, but are not limited to, statements relating to the Company's plan to regain compliance with Nasdaq's rules, the Company's plans and expectations about the completion and filing of the FY 2024 Form 20-F, and the timing thereof, planned financing transactions of the Company, and the Company's future financial performance. Actual results could differ materially from those expressed in or implied by the forward-looking statements due to a number of risks and uncertainties, including but not limited to, the timing of the Company's submission of a plan to regain compliance, Nasdaq's acceptance of the plan, the duration of any extension that may be granted by Nasdaq, the potential inability to meet Nasdaq's requirements, the Company's preparation of the FY 2024 Form 20-F, the possibility of additional delays in the filing of the FY 2024 Form 20-F, unexpected delays in securing financing or changes to financing agreements and the other risks and uncertainties described in the Company's SEC reports and under the heading "Risk Factors" in its most recent annual report on Form 20-F which are available at www.sec.gov. These forward-looking statements speak only as of the date of this report. Except as required by law, the Company does not undertake any obligation to update or revise its forward-looking statements to reflect events or circumstances after the date of this report.

---

| | |
|:---|:---|
| **The following exhibit is furnished herewith** | **The following exhibit is furnished herewith** |
| **Exhibit**<br> **Number** |  |
| [10.1](tm2533679d1_ex10-1.htm) | [Term Loan Facility Agreement dated December 16, 2025](tm2533679d1_ex10-1.htm) |
| [99.1](tm2533679d1_ex99-1.htm) | [Press release dated December 17, 2025 announcing the appointment of new Company CFO and signing of term loan facility.](tm2533679d1_ex99-1.htm) |
| [99.2](tm2533679d1_ex99-2.htm) | [Press release dated December 17, 2025 announcing unaudited half year 2025 financial results and guidance.](tm2533679d1_ex99-2.htm) |

---

**SIGNATURE**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
| Dated: December 17, 2025 | **SCHMID Group N.V.** | **SCHMID Group N.V.** |
|  | By: | /s/ Julia Natterer |
|  | Name: | Julia Natterer |
|  | Title: | Chief Financial Officer |

---

## Exhibit 10.1

**Exhibit 10.1**

Execution Version

Facility Agreement

SCHMID Group N.V.

as Company

CHRISTIAN SCHMID

as Security Provider

ANETTE SCHMID

as Security Provider

Black Forest Special Situations I<br> as Lender

**CONTENTS**

---

| | |
|:---|:---|
| **CLAUSE** | **PAGE** |

---

---

| | | |
|:---|:---|:---|
| 1. | DEFINITIONS AND INTERPRETATION | 3 |
| 2. | THE FACILITY | 7 |
| 3. | PURPOSE | 7 |
| 4. | UTILISATIONS | 8 |
| 5. | REPAYMENT | 9 |
| 6. | INTEREST | 9 |
| 7. | FIRST TRANCHE INCENTIVE | 9 |
| 8. | CONVERSION | 10 |
| 9. | ARRANGEMENT FEE | 11 |
| 10. | TAX GROSS UP AND INDEMNITIES | 11 |
| 11. | COSTS AND EXPENSES | 12 |
| 12. | GUARANTEE AND SECURITY | 12 |
| 13. | REPRESENTATIONS | 17 |
| 14. | UNDERTAKING BY THE COMPANY | 17 |
| 15. | EVENTS OF DEFAULT | 18 |
| 16. | ILLEGALITY | 20 |
| 17. | NO ASSIGNMENT | 20 |
| 18. | PAYMENT MECHANICS | 20 |
| 19. | CONDUCT OF BUSINESS BY THE LENDER | 20 |
| 20. | NOTICES | 20 |
| 21. | CALCULATIONS | 21 |
| 22. | PARTIAL INVALIDITY | 21 |
| 23. | REMEDIES AND WAIVERS | 21 |
| 24. | AMENDMENTS AND WAIVERS | 21 |
| 25. | CONFIDENTIALITY | 21 |
| 26. | GOVERNING LAW | 22 |
| 27. | JURISDICTION | 22 |
| 28. | CONCLUSION OF THIS AGREEMENT (*VERTRAGSSCHLUSS*) | 22 |
| SCHEDULE 1 | SCHEDULE 1 | 23 |
| Conditions Precedent | Conditions Precedent | 23 |
| Part 1 - Conditions Precedent to utilisation of First Tranche | Part 1 - Conditions Precedent to utilisation of First Tranche | 23 |
| Part 2 - Conditions Precedent to utilisation of Second Tranche | Part 2 - Conditions Precedent to utilisation of Second Tranche | 23 |

---

**THIS AGREEMENT** is made on _________ 2025:

(1) **SCHMID Group N.V.**, a Dutch public limited liability company (*naamloze vennootschap*),
 registered in the Commercial Register of the Chamber of Commerce (*Kamer van Koophandel*)
 in the Netherlands under number 89188276 (the **"Company"** and **"Borrower"**);

(2) **Gebr. Schmid GmbH**, a limited liability company "*Gesellschaft mit beschränkter Haftung*" registered with the commercial register "*Handelsregister* "
 of the local court "*Amtsgericht*" of Stuttgart under registration number
 HRB 738354 as the company (the **"OpCo"**);

(parties under (1) and (2) together, the **"Guarantors"**);

(3) **Christian Schmid**, business address Robert-Bosch-Str. 32-36, 72250 Freudenstadt, Germany;

(4) **Anette Schmid**, business address Robert-Bosch-Str. 32-36, 72250 Freudenstadt, Germany:

(parties under (3) and (4) together, the "**Security Providers**");

(5) **Black Forest Special Situations I**, an exempted company incorporated under the laws of the Cayman
 Islands with registered office at 71 Fort Street, George Town, Grand Cayman KY1-1106, Cayman
 Islands (the "**Lender** ");

**THE PARTIES AGREE AS FOLLOWS:**

1. **Definitions And Interpretation** 

1.1 In
 this agreement the following words and expressions and abbreviations have the following meaning:

**"Acceleration Notice"** has the meaning given to that term in clause 15.7 (Acceleration);

"**Affiliate**" means, in relation to any person, a Subsidiary of that person or a Holding Company of that person or any other Subsidiary of that Holding Company;

"**Authorisation**" means an authorisation, consent, approval, resolution, licence, exemption, filing or registration;

"**Borrower**" means the Company;

"**Business Day**" means a day (other than a Saturday or Sunday) on which banks are open for general business in Stuttgart, Germany;

"**Closing Date**" means the date on which the first Utilisation of the Facility occurs;

"**Commitment**" means a Facility Commitment;

"**Confidential Information**" means, irrespective of form, all information regarding any member of the Group or the Finance Documents received by the Lender, or of which it becomes aware, under or in connection with the Finance Documents directly or indirectly from any member of the Group or any of their advisers, excluding public or non-confidential information and information that is known by the Lender before the date that information is disclosed to it as set out above or is lawfully obtained by the Lender after that date (i) from a source which is unconnected with the Group and (ii) which has not been obtained in breach of, and is not subject to, any obligation of confidentiality, in each case as far as the Lender is aware;

"**Confidentiality Undertaking**" means a confidentiality undertaking substantially in a recommended form of the Loan Market Association or in any other form agreed between the Company and the Lender;

"**Conversion**" means the conversion by the Lender, in accordance with clause 8 (Conversion), of all (but not part) of the First Tranche and/or the Second Tranche together with all accrued but unpaid interest thereon into ordinary shares of the Company;

"**Default**" means an Event of Default or any event or circumstance specified in clause 15 (Events of Default) which would (with the expiry of a grace period, the giving of notice, the making of any determination under the Finance Documents or any combination of any of the foregoing) be an Event of Default;

"**Event of Default**" means any event or circumstance specified as such in clause 15 (Events of Default);

"**Facility**" means the term facility made available in EUR under this Agreement;

"**Facility Commitment**" means the First Tranche and the Second Tranche;

"**Facility Loan**" means a loan made or to be made under the Facility or the principal amount outstanding for the time being of that loan;

"**Finance Document**" means this Agreement, any Transaction Security Document, and any other document designated as such by the Lender and the Company;

"**First Tranche**" means a Loan in the amount of EUR 2,500,000;

**"Funds Flow Statement"** means a funds flow statement in agreed form;

"**Group**" means the Company and its Subsidiaries from time to time;

"**Guarantor**" means the Company and the OpCo;

"**Holding Company**" means, in relation to a company or corporation, any other company or corporation in respect of which it is a Subsidiary;

"**Legal Reservations**" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 principle that equitable remedies may be granted or refused at the discretion of a court
 and the limitation of enforcement by laws relating to insolvency, reorganisation and other
 laws generally affecting the rights of creditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 accessory nature of Security, defences of set-off and counterclaim and the time barring of
 claims under the German Civil Code (Bürgerliches Gesetzbuch);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) similar
 principles, rights and defences under the laws of any relevant jurisdiction; and

"**Loan**" means a Facility Loan;

"**Material Adverse Effect**" means a material adverse effect which is demonstrable, material and durationally significant on the ability of the Obligors, taken as a whole, to perform their payment obligations when due under the Finance Documents, provided that no event or circumstance shall constitute a Material Adverse Effect to the extent it results from:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) changes
 in general economic, political or market conditions, including changes in interest rates,
 credit markets or capital markets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) changes
 affecting the industry or markets in which the Group operates generally;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) changes
 in law, regulation or accounting standards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) acts
 of war, terrorism, pandemics or natural disasters;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) changes
 in the market price, trading volume or volatility of the Company's shares; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the
 announcement or performance of this Agreement or any transaction contemplated hereby,

unless, in the case of paragraphs (a) to (d), such event or circumstance has a materially disproportionate adverse effect on the Group taken as a whole as compared to other companies operating in the same industry. The existence of a Material Adverse Effect shall be determined by reference to objective evidence, and the burden of proof shall rest with the Lender.

"**Obligor**" means the Borrower or the OpCo;

**"Obligors' Agent"** means the Company, appointed to act on behalf of each Obligor in relation to the Finance Documents pursuant to clause 2.1(Obligors' Agent);

"**Party**" means a party to this Agreement;

**"Representative"** means any delegate, agent, manager, administrator, nominee, attorney, trustee or custodian;

"**Second Tranche**" means a Loan in the amount of up to EUR 7,500,000;

"**Security**" means any security interest in respect of an asset (*dingliche Sicherheit*);

"**Subsidiary**" means a subsidiary within the meaning of sections 15 - 17 German Stock Corporation Act (*Aktiengesetz*) and section 290 of the German Commercial Code (*Handelsgesetzbuch*);

"**Tax**" means any tax, levy, impost, duty or other charge or withholding of a similar nature (including any penalty or interest payable in connection with any failure to pay or any delay in paying any of the same);

"**Termination Date**" means, in relation to the Facility, fifteen months from the date of this Agreement;

"**Total Commitments**" means the Total Maximum Facility Commitments;

"**Total Maximum Facility Commitments**" means the aggregate of the Facility Commitments, being a maximum of EUR 10,000,000;

"**Tranche**" means the First Tranche and the Second Tranche;

"**Transaction Security**" means the Security created or expressed to be created in favour of the Lender pursuant to the Transaction Security Documents;

"**Transaction Security Documents**" means each document entered into by any Obligor or any third party creating or expressed to create any Security over all or any part of its assets in respect of the obligations of any of the Obligors under any of the Finance Documents;

"**USA Patriot Act**" means the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, Public law 107-56 of the United States;

"**Utilisation**" means a Loan;

"**Utilisation Date**" means the date of a Utilisation, being the date on which the relevant Loan is to be made;

"**VWAP**" means US$4.1956, being the trailing six month SEC 10b-18 volume weighted average price of the shares of the Company as at 12 December 2025 per Bloomberg;

1.2 **Construction** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Unless
 a contrary indication appears, any reference in this Agreement to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any
 "**Lender** ", any "**Obligor** ", or any "**Party** "
 shall be construed so as to include its successors in title, permitted assigns and permitted
 transferees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) "**assets** "
 includes present and future properties, revenues and rights of every description;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) "**director** "
 includes any statutory legal representative(s) (*organschaftlicher Vertreter*)
 of a person pursuant to the laws of its jurisdiction of incorporation, including but not
 limited to, in relation to a person incorporated or established in Germany, a managing director
 (*Geschäftsführer*) or member of the board of directors (*Vorstand*);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) "**indebtedness** "
 includes any obligation (whether incurred as principal or as surety) for the payment or repayment
 of money, whether present or future, actual or contingent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) a
 "**person**" includes any individual, firm, company, corporation, government,
 state or agency of a state or any association, trust, joint venture, consortium, partnership
 or other entity(whether or not having separate legal personality);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) a
 "**regulation**" includes any regulation, rule, official directive, request
 or guideline (whether or not having the force of law) of any governmental, intergovernmental
 or supranational body, agency, department or of any regulatory, self-regulatory or other
 authority or organisation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) a
 provision of law is a reference to that provision as amended or re-enacted; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) a
 time of day is a reference to Frankfurt time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Section,
 clause and schedule headings are for ease of reference only.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Unless
 a contrary indication appears, a term used in any other Finance Document or in any notice
 given under or in connection with any Finance Document has the same meaning in that Finance
 Document or notice as in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) A
 Default (including an Event of Default) is "**continuing**" if it has not been
 remedied (including by an Equity Cure) or waived.

1.3 This
 Agreement is made in the English language. For the avoidance of doubt, the English language
 version of this Agreement shall prevail over any translation of this Agreement. However,
 where a German translation of a word or phrase appears in the text of this Agreement, the
 German translation of such word or phrase shall prevail.

2. **The Facility** 

Subject to the terms of this Agreement, the Lender makes available to the Borrower a term facility in an amount up to the Total Maximum Facility Commitments.

2.1 **Obligors' Agent** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) OpCo
 by its execution of this Agreement irrevocably appoints the Company to act on its behalf
 as its agent (*Bevollmächtigter*) in relation to the Finance Documents and authorises:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 Company to supply on its behalf all information concerning itself contemplated by this Agreement
 to the Lender and to give all notices and instructions, to execute on its behalf any Accession
 Letter, to make such agreements and to effect the relevant amendments, supplements and variations
 capable of being given, made or effected by any Obligor notwithstanding that they may affect
 the Obligor, without further reference to or the consent of that Obligor; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 Lender to give any notice, demand or other communication to that Obligor pursuant to the
 Finance Documents to the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Every
 act, omission, agreement, undertaking, settlement, waiver, amendment, supplement, variation,
 notice or other communication given or made by the Obligors' Agent or given to the Obligors'
 Agent under any Finance Document on behalf of OpCo or in connection with any Finance Document
 (whether or not known to OpCo) shall be binding for all purposes on OpCo as if OpCo had expressly
 made, given or concurred with it. In the event of any conflict between any notices or other
 communications of the Obligors' Agent and OpCo, those of the Obligors' Agent shall prevail.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For
 the purposes of acting as their agent in accordance with this clause, OpCo exempts the Company
 from the restrictions imposed by section 181 Civil Code (*Bürgerliches Gesetzbuch*)
 (and any equivalent restriction under any applicable foreign law) in this respect to the
 extent legally possible.

3. **Purpose** 

3.1 The
 Borrower shall apply all amounts borrowed by it under the First Tranche in the following
 order ()"**First Tranche Purpose** "):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Payment
 of [\*\*\*];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Payment
 of [\*\*\*] with such amount being paid directly by the Lender [\*\*\*];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Payment
 of EUR 50,000 to the Lender as an arrangement fee, with such amount being withheld by the
 Lender from the funded drawdown in accordance with Clause 9 (Arrangement Fee);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Payment
 of [\*\*\*], with such amount being paid by the Lender to the account set out in Clause 4.3;

3.2 Upon
 utilising the Second Tranche (if any), the Borrower will apply the funds in the following
 manner ()"**Second Tranche Purpose** "):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Payment
 to the Lender of an arrangement fee equal to 2% of the amount drawn, with such amount being
 withheld by the Lender from the funded drawdown in accordance with Clause 9 (Arrangement
 Fee);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) [\*\*\*] ;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) [\*\*\*]
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) All
 remaining amounts towards the working capital of the Company and OpCo.

3.3 The
 Lender will provide the Borrower with transfer confirmations for the payments pursuant to
 3.1(a) and 3.1(b) and, to the extent made directly, 3.2(b and 3.2(c) by no
 later than close of business on the date of the relevant drawdown.

3.4 The
 Borrower will provide the Lender will payment confirmations showing the use of funds in accordance
 with Clause 3.1(d) for the First Payment Tranche and Clause 3.2 (b) and Clause
 3.2(c), to the extent that such payments are made from the Second Payment Tranche and not
 paid directly by the Lender, as soon as available and by no later than close of business
 on the second Business Day after the relevant drawdown.

4. **Utilisations** 

4.1 **Tranches** 

The Facility shall be made available in two Loans (each a Tranche) forming part of the Facility Commitments, each denominated in EUR:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 First Tranche, in an amount of EUR 2,500,000, to be utilised in full on 18 December 2025;
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 Second Tranche, in an amount of up to EUR 7,500,000 (with no minimum amount) and equal to
 the maximum amount of the capital raised by the Lender between the First Tranche and 30 January 2026
 (or on such later date as agreed by the Borrower), which shall be capped at EUR 7,500,000,
 to be utilised in full on 30 January 2026 (or such later date as agreed by the Borrower)
 or on such earlier date (on no less than 2 Business Days' notice) communicated to the
 Borrower by which time the Lender has raised the full EUR 7.5m; the Lender shall inform the
 Borrower of the amount of the Second Tranche 2 Business Days before utilisation.

4.2 **Deemed utilisation requests** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject
 to satisfaction (or waiver by the Lender) of the applicable Conditions Precedent set out
 in Schedule 1, each Tranche shall be automatically utilised in full on its scheduled Utilisation
 Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) No
 separate utilisation request shall be required in respect of either Tranche.

4.3 **Obligation of the Lender** 

On each scheduled utilisation date, the Lender shall make the relevant Tranche available to the Borrower by crediting the proceeds (after deduction of the applicable arrangement fee pursuant to clause 9 (Arrangement Fee) and any amounts which are being paid by the Lender directly to [\*\*\*]) to the following bank account of the OpCo, such transfer being made on behalf of and in the name of the Company by abbreviation of the payment method (*Abkürzung des Zahlungswegs*), or any bank account designated by the Company in writing not later than five Business Days prior to the relevant utilisation date:

Account holder: Gebr. Schmid GmbH<br> Account bank: Commerzbank AG<br> SWIFT-BIC: COBADEFFXXX<br> IBAN: DE31660400180220133300

4.4 **No further conditions** 

The Lender shall not be entitled to impose any additional conditions, reduce the amount, or delay the utilisation of any Tranche, except as expressly provided in this Agreement.

5. **Repayment** 

The Borrower under the Facility shall repay the aggregate Loans in full on the Termination Date if no Conversion has occurred before the Termination Date.

6. **Interest** 

6.1 **Calculation of interest** 

The rate of interest on each Loan under the Facility is 15 % p.a.

6.2 **Payment of interest** 

The Borrower shall pay accrued interest on each Loan in cash on the Maturity Date, unless the accrued interest is converted in the Conversion.

7. **First Tranche Incentive** 

7.1 Grant
 of options

As part of the compensation for providing the First Tranche, the Company undertakes to grant to the Lender options in relation to the shares of the Company for 1,250,000 ordinary shares in the Company (the "**Options**").

7.2 Key
 terms of the Options

The Options shall have the following principal terms:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 exercise price per share shall be equal to the VWAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 maturity of the Options shall be five (5) years from the date of grant;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the
 Options may be exercised only once and only in respect of all (but not part) of the Options
 held by the relevant holder who is exercising the Options; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the
 Options shall be non-transferable, except: (i) with the prior written consent of the
 Company (such consent not to be unreasonably withheld); or (ii) to one or more shareholders
 of the Lender.

7.3 Implementation

The Options shall be granted pursuant to an option agreement or option plan to be entered into between the Company and the Lender (or its nominee) within 15 Business Days after the utilisation of the First Tranche, which shall reflect the terms set out in this clause 7 and contain customary additional provisions, including provisions relating to the creation of the shares if the Options are exercised, settlement mechanics (including how the shares will be issued in case the Options are exercised), adjustment events and compliance with applicable law.

7.4 Regulatory
 and corporate law compliance

The grant and exercise of the Options shall be subject to compliance with applicable corporate, capital markets and stock exchange laws and regulations, as well as any required corporate approvals of the Company.

To the extent the Options have not been granted as a result of any regulatory restriction, additional shares shall be issued to the Lender using the following formula:

Bonus Shares = X \* 1,250,000 / 2.15

Where:

X = The greater of: (i) US$1; and (ii) (A – VWAP)

A = Current market price

7.5 No
 cash consideration

The Options shall be granted for no additional cash consideration, other than payment of the applicable exercise price upon exercise.

8. **Conversion** 

8.1 First
 Tranche and Second Tranche Conversion Right

Subject to the conditions set out in this clause 8, the Lender shall have the right, at any time from the date falling six (6) months after the Closing Date but before the Termination Date, to elect to convert (a) the aggregate principal amount outstanding under the outstanding Loans and (b) all accrued but unpaid interest thereon, into ordinary shares of the Company (the "**Conversion"**).

For the avoidance of doubt the Lender shall be permitted to convert the principal amount outstanding in two tranches: (i) EUR 2,500,000 plus all accrued interest thereon (being the amount drawn under the First Tranche) ("**First Tranche Conversion Amount"**); and (ii) such amount as is drawn under the Second Tranche plus all accrued interest thereon ("**Second Tranche Conversion Amount"**).

8.2 Conditions
 to Conversion

The Conversion may only be exercised if no Acceleration Notice has been given and is outstanding at the time of the Conversion.

8.3 Conversion
 price and mechanics

The conversion price shall be USD 2.15 per share (the **Conversion Price**). The number of shares to be issued upon Conversion shall be determined by dividing the First Tranche Conversion Amount or Second Tranche Conversion Amount (as applicable) (expressed in USD at the spot exchange rate published by the European Central Bank on the Conversion Date) by the Conversion Price. Any fractional entitlements shall be rounded down and no cash adjustment shall be made in respect thereof.

8.4 Conversion
 notice

The Lender shall exercise the Conversion by delivering a written conversion notice to the Company (the Conversion Notice) specifying the proposed conversion date (the Conversion Date), which shall be not less than 20 Business Days after receipt of the Conversion Notice by the Company.

8.5 Implementation
 and issuance of shares

The Conversion shall be implemented by way of capital increase or issuance of shares in accordance with applicable law and the constitutional documents of the Company. The Company shall use best endeavours to procure all necessary corporate, regulatory and stock exchange approvals required to effect the Conversion. The shares issued upon Conversion will be initially unregistered securities and not freely transferable or tradeable, subject to applicable securities laws; the Lender acknowledges and accepts this. The Company will take all necessary steps using best endeavours to procure that such shares become freely transferable.

8.6 Regulatory
 and legal limitations

If the Conversion cannot be implemented on the proposed Conversion Date due to any legal, regulatory or corporate law restriction, the Parties shall cooperate in good faith to effect the Conversion as soon as reasonably practicable thereafter. Failure to effect the Conversion due to such restriction shall not constitute an Event of Default for a period of 90 days, provided that the Company is using reasonable best endeavours to overcome such restriction.

8.7 Effect
 of Conversion

Upon completion of the Conversion, being the time at which freely transferrable shares are held by the Company ("**Conversion Completion**") (a) the converted principal and interest shall be irrevocably discharged and (b) the Lender shall cease to have any rights as a creditor in respect of the converted amounts.

8.8 No
 obligation to convert

Nothing in this Agreement shall oblige the Lender to exercise the Conversion right, and the Conversion right shall lapse automatically upon repayment in full of all amounts outstanding under the Facility.

9. **Arrangement Fee** 

The Borrower shall pay to the Lender an arrangement fee in an amount equal to 2% of the amount of each Loan. The arrangement fee in respect of a Loan shall be due and payable on the date on which such Loan is disbursed. The Lender shall withhold the amount of the relevant arrangement fee from the proceeds of such Loan at the time of disbursement, and the Borrower hereby irrevocably authorises the Lender to do so.

10. **Tax Gross Up and Indemnities** 

10.1 **Tax gross-up** 

Each Obligor shall make all payments to be made by it without any Tax Deduction, unless a Tax Deduction is required by law. **"Tax Deduction"** means a deduction or withholding for or on account of Tax from a payment under a Finance Document.

10.2 **VAT** 

All amounts set out or expressed in a Finance Document to be payable by any Party to the Lender which (in whole or in part) constitute the consideration for a supply or supplies for VAT purposes shall be deemed to be exclusive of any VAT which is chargeable on such supply or supplies, and accordingly, if VAT is or becomes chargeable on any supply made by the Lender to any Party under a Finance Document and the Lender is required to account to the relevant tax authority for the VAT, that Party shall pay to the Lender (in addition to and at the same time as paying any other consideration for such supply) an amount equal to the amount of such VAT (subject to the Lender having delivered to that Party a VAT invoice which fulfils the requirements of the applicable VAT law).

11. **Costs And Expenses** 

11.1 Each
 Party shall bear the costs it incurred in connection with this Agreement or any other Finance
 Document, including the costs of its advisors.

11.2 If,
 as a result of the introduction of or any change in law or regulation after the date of this
 Agreement the Lender incurs direct, demonstrable and non-recurring costs in performing its
 obligations under this Agreement, the Company shall, to the extent permitted by law, reimburse
 such costs provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such
 costs are reasonable and properly attributable to this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 Lender has used reasonable efforts to mitigate such costs;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the
 Lender provides reasonable evidence of the amount claimed; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) no
 reimbursement shall be required in respect of any costs arising from the Lender's internal
 policies, funding structure or tax position.

Any amount payable under this clause 11.2 shall not give rise to an Event of Default if disputed in good faith.

12. **Guarantee and Security** 

12.1 **Undertaking to provide share pledges** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each
 Obligor and each Security Provider irrevocably undertakes that, within 15 Business Days after
 the Utilisation Date of the First Tranche, it shall or shall procure that Christian Schmid
 and/or Anette Schmid and/or companies and/or partnerships that are wholly owned by Christian
 Schmid and/or Anette Schmid shall enter into and deliver to the Lender one or more first
 priority share pledge agreements, creating Security over 156,250 common stock in [\*\*\*], a
 Delaware corporation with its registered office in [\*\*\*], Delaware, USA, registered with
 the Secretary of State - Division of Corporations under file number [\*\*\*] ("[\*\*\*]",
 any stock or shares in [\*\*\*] "[\*\*\*] Shares"). For the avoidance of doubt, the
 absence of such share pledge at the time of utilisation of the First Tranche shall not affect
 the validity of the Utilisation or the obligation of the Lender to fund the First Tranche
 in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each
 Obligor and each Security Provider irrevocably undertakes that, within 3 Business Days after
 the Utilisation Date of the Second Tranche, it shall or shall procure that Christian Schmid
 and/or Anette Schmid and/or companies and/or partnerships that are wholly owned by Christian
 Schmid and/or Anette Schmid shall enter into and deliver to the Lender one or more share
 pledge agreements, creating Security over such number of [\*\*\*] Shares which shall be equal
 to 625,000 multiplied by a fraction, the numerator of which is the actual amount of the Second
 Tranche utilised, and the denominator of which is EUR 7,500,000. For the avoidance of doubt,
 the absence of such share pledge at the time of utilisation of the Second Tranche shall not
 affect the validity of the Utilisation or the obligation of the Lender to fund the Second
 Tranche in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Failure
 to comply with the undertakings in this clause 12.1 shall not constitute an Event of Default,
 provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 relevant Obligor is using best endeavours to comply with this clause; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) such
 failure is remedied within 5 Business Days after written notice from the Lender.

12.2 **Enforcement of Transaction Security Documents** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The
 Security granted pursuant to the Transaction Security Documents may only be enforced if an
 Acceleration Notice has been given to the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The
 Lender agrees to enforce or exercise any rights or powers arising under a Transaction Security
 Document only in accordance with the Finance Documents.

12.3 **Release of Security** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a
 disposal to a person or persons outside the Group of any asset of the Group or any asset

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) being
 effected at the request of the Lender in circumstances where any of the security created
 by the Transaction Security Documents has become enforceable; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) being
 effected by enforcement of the Transaction Security Documents or being effected upon request
 or instruction of the Lender, after an Acceleration Notice has been provided or after the
 enforcement of any Transaction Security Document, to a person or persons which is, or are,
 not a member or members of the Group, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (A) all
 Loans are irrevocably repaid in full, all Commitments have been cancelled and no Lender is
 under any actual or contingent liability to make any further advances or provide any other
 financial accommodation hereunder or (B) Conversion Completion has occurred,

the Lender is obliged to execute on behalf of it and of each Obligor (and at the cost of the Company) the releases and disposals referred to in paragraph (b) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If
 the Lender is obliged to effect any of the releases or disposals in circumstances permitted
 under the paragraphs above, the Lender and each Obligor must promptly execute any document
 which is reasonably required to achieve that release or disposal. Each Obligor irrevocably
 authorises the Lender to promptly execute any such document. Any release will not affect
 the obligations of any other member of the Group under the Finance Documents.

12.4 **Cash collateral release of security of [\*\*\*] Shares** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding
 anything to the contrary in this Agreement or any Transaction Security Document, the Lender
 agrees that the Security granted over any [\*\*\*] Shares shall be released in respect of such
 [\*\*\*] Shares if the following conditions are satisfied:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 relevant owner of the [\*\*\*] Shares (which shall not be a member of the Group) deposits an
 amount in cash equal to EUR 19.00 per [\*\*\*] Share (the "**Cash Collateral Amount** ")
 into an escrow account in the name of the Lender (the "**Cash Collateral Account** ")
 with the escrow agent instructed to release any fund necessary to the Lenders to satisfy
 amounts due under this Agreement with any excess funds to be returned to the the relevant
 owner; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) no
 Event of Default is continuing at the time of such release.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Upon
 satisfaction of the conditions set out above, the Lender shall, without undue delay, execute
 all documents and take all actions reasonably required to release the Security over the relevant
 [\*\*\*] Shares, whereupon the relevant owner of such [\*\*\*] Shares shall be free to dispose
 of them without restriction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The
 Cash Collateral Amount shall constitute Transaction Security and shall secure the Obligors'
 obligations under the Finance Documents on the same basis as the released Security over the
 [\*\*\*] Shares.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the
 Cash Collateral Amount shall remain fully funded until the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the
 irrevocable repayment in full of all amounts outstanding under the Finance Documents; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Conversion
 Completion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Any
 excess amount standing to the credit of the Cash Collateral Account following such repayment
 or Conversion Completion shall be released to the Company or the party that deposited the
 Cash Collateral Amount.

12.5 **Additional release events for [\*\*\*] Shares** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In
 addition to the release mechanism set out in this clause 12, the Lender agrees that the Security
 granted over any [\*\*\*] Shares shall also be released if the relevant [\*\*\*] Shares are to
 be sold:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in
 connection with an initial public offering (IPO) of [\*\*\*]; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) in
 connection with a transaction pursuant to which a majority of the shares in [\*\*\*] are sold
 to a third party and the relevant [\*\*\*] Shares are sold alongside such transaction; and

the individual(s) or entity(ies) who granted the Security over such [\*\*\*] Shares (the "**Security Provider**") assigns to the Lender, by way of assignment for security or outright assignment, all of its claims to receive the cash consideration payable in respect of the sale of such [\*\*\*] Shares (the "**Assigned Sale Proceeds**"), such assignment to be effective no later than concurrently with completion of the relevant sale.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Upon
 satisfaction of the conditions set out in this clause 12.5, the Lender shall, without undue
 delay and concurrently with completion of the relevant sale, execute all documents and take
 all actions reasonably required to release the Security over the relevant [\*\*\*] Shares, and
 the Assigned Sale Proceeds shall constitute Transaction Security securing the Obligors'
 obligations under the Finance Documents on the same basis as the released Security.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any
 surplus of the Assigned Sale Proceeds remaining after the irrevocable repayment in full of
 all amounts outstanding under the Finance Documents or following Conversion Completion in
 accordance with clause 8 (Conversion) shall be released to the relevant Security Provider.

12.6 **Acknowledgement of restrictions relating to [\*\*\*] Shares** 

The Lender acknowledges and agrees that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 [\*\*\*] Shares are shares in a private venture-backed company which is pursuing an initial
 public offering, and are subject to customary and market standard restrictions on transferability
 and the exercise of shareholder rights, including restrictions arising under applicable law,
 constitutional documents and contractual arrangements commonly used in private venture financings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 Lender has been provided with, has reviewed and understands the terms of the Investors'
 Rights Agreement and the Voting Agreement relating to [\*\*\*] (each as in effect on the date
 of this Agreement), which contain such transfer restrictions and other limitations on shareholder
 rights;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any
 transfer of ownership of the [\*\*\*] Shares to the Lender (whether by enforcement of Security
 or otherwise) is conditional upon the Lender acceding to the Investors' Rights Agreement
 and the Voting Agreement in their respective current form, and the Lender agrees that it
 shall execute any accession documentation required for such purpose; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the
 existence or enforcement of such restrictions, and any delay or limitation resulting therefrom,
 shall not constitute a breach of any Finance Document, shall not give rise to any Event of
 Default, and shall not prejudice the validity or enforceability of the Security over the
 [\*\*\*] Shares.

12.7 **Guarantee (*Garantie*)** 

Each Guarantor irrevocably and unconditionally jointly and severally (*gesamtschuldnerisch*) guarantees (*garantiert*) to the Lender to pay to the Lender within 15 Business Days of receipt by it of a written demand by the Lender the amount of principal, interest, costs, expenses or other amount demanded in that demand, which demand shall state that the sum demanded by the Lender under or in connection with the Finance Documents has not been fully and irrevocably paid by the Borrower; and

For the avoidance of doubt this guarantee does not constitute a guarantee upon first demand (*Garantie auf erstes Anfordern*).

12.8 **Continuing and independent guarantee** 

This guarantee is independent and separate from the obligations of any Borrower, is a continuing guarantee which will extend to the ultimate balance of sums payable by the Borrower under the Finance Documents, including as a result of any amendment, supplement or replacement of any Finance Document (including any extension, increase or addition of any facility), regardless of any intermediate payment or discharge in whole or in part, and is in addition to and is not in any way prejudiced by any other guarantee or security now or subsequently held by the Lender or any circumstance or event affecting any other Obligor.

12.9 **Permitted defences** 

For the avoidance of doubt nothing in this clause 12 shall preclude any defences (a) based on personal defences of the Borrower (*Einreden des Hauptschuldners*) or any right of revocation (*Anfechtung*) or set-off (*Aufrechnung*) of the Borrower or (b) that any Guarantor (in its capacity as Guarantor only) may have against the Lender that the guarantee and indemnity does not constitute its legal, valid, binding or enforceable obligations.

12.10 **Release of Guarantors' right of contribution** 

If any Guarantor (a "**Retiring Guarantor**") ceases to be a Guarantor in accordance with the terms of the Finance Documents for the purpose of any sale or other disposal of that Retiring Guarantor (i) it shall be released from any liability vis-à-vis each other Guarantor and (ii) any other Guarantor waives any right to take the benefit of any right or security granted by the Retiring Guarantor to the Lender in relation to its assets, in each case arising by reason of the performance of such other Guarantor's obligations under the Finance Documents.

12.11 **Guarantee Limitation for OpCo** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) For
 the purpose of this clause 12.11:

**"German Guarantor"** means OpCo as long as it is incorporated in the Federal Republic of Germany as a private limited company "*Gesellschaft mit beschränkter Haftung*";

**"Guarantee Obligations"** means the obligations of any Guarantor granted or incurred under the guarantee and indemnity pursuant to this clause 12 (Guarantee and Security); and

**"Net Assets"** means, in relation to the German Guarantor, the amount of its assets (section 266 sub-section 2 A, B, C, D and E HGB) less (i) the aggregate of its liabilities (section 266 sub-section 3 B, C (but, for the avoidance of doubt, disregarding any Guarantee Obligations), D and E HGB), and (ii) its stated share capital "*Stammkapital*".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The
 enforcement of the Guarantee Obligations shall be limited in relation to German Guarantors
 as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The
 Lender agrees not to enforce the Guarantee Obligations if and to the extent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the
 Guarantee Obligations relate to any obligations of, or amounts owed by, an Affiliate of the
 German Guarantor (other than the relevant German Guarantor's Subsidiaries (each an **"Upstream Affiliate"**); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) such
 enforcement would cause the German Guarantor's Net Assets to be reduced below zero or further
 reduced if already below zero (such circumstances constituting a **"Share Capital Impairment"**).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) For
 the purposes of the calculation of the Net Assets, the following balance sheet items shall
 be adjusted as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the
 amount of any increase of the registered share capital "*Stammkapital*" of
 the German Guarantor after the date of this Agreement which is not expressly permitted under
 any Finance Document shall be deducted from the relevant registered share capital "*Stammkapital* ";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) in
 case the registered share capital of the relevant German Guarantor is not fully paid up "*nicht voll eingezahlt* ", the amount which is not paid up shall be deducted from the relevant
 registered share capital "*Stammkapital* "; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) loans
 and other liabilities which are subordinated (including, without limitation, pursuant to
 an Subordination Agreement or section 39 sub-section 1 no. 5 InsO)
 to any Financial Indebtedness outstanding under the Agreement (including liabilities in respect
 of guarantees for loans or other liabilities which is so subordinated) shall be disregarded
 to the extent that the subordination has not been declared in breach with section 30
 GmbHG.

13. **Representations** 

13.1 **General** 

Each Obligor in respect of itself makes the representations and warranties set out in this clause 13 to Lender.

13.2 **Status** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) It
 is a corporation, limited liability company or partnership with limited liability, duly incorporated
 or, in the case of a partnership, established and validly existing under the law of its jurisdiction
 of incorporation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) It
 has the power to own its assets and carry on its business as it is being conducted.

13.3 **Non-conflict with other obligations** 

Subject to the Legal Reservations, the entry into, performance by it of, and the transactions contemplated by, the Finance Documents and the granting of the Transaction Security do not and will not conflict with:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any
 law or regulation applicable to it; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) its
 constitutional documents.

13.4 **Power and authority** 

It has the power to enter into, perform and deliver, and has taken all necessary action to authorise its entry into, performance and delivery of, the Finance Documents to which it is a party and the transactions contemplated by those Finance Documents.

13.5 **Validity and admissibility in evidence** 

All Authorisations required or desirable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to
 enable it lawfully to enter into, exercise its rights and comply with its obligations in
 the Finance Documents to which it is a party; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) to
 make the Finance Documents to which it is a party admissible in evidence in its jurisdiction
 of incorporation, have been obtained or effected and are in full force and effect.

14. **Undertaking by the Company** 

The Company undertakes that, following the utilisation of the Second Tranche, it shall use its best efforts to engage an investor relations firm, on terms and conditions that are market standard for a company of comparable size, earnings profile and market capitalisation, subject to the prior consent of the Lender (such consent not to be unreasonably withheld or delayed).

15. **Events Of Default** 

Each of the events or circumstances set out in clause 15 is an Event of Default (save for clause 15.7 (Acceleration)).

15.1 **Non-payment** 

An Obligor does not pay on the due date any amount payable pursuant to a Finance Document at the place and in the currency in which it is expressed to be payable unless (i) its failure to pay is caused by administrative or technical error and (ii) payment is made within 8 Business Days of its due date.

15.2 **Insolvency and insolvency proceedings** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) An
 Obligor is unable or admits inability to pay its debts as they fall due, suspends making
 payments on any of its debts or, by reason of actual or anticipated financial difficulties,
 commences negotiations with one or more of its creditors (other than the Lender in its capacity
 as such) with a view to rescheduling any of its indebtedness and, in particular, OpCo as
 an Obligor incorporated in Germany is unable to pay its debts as they fall due (*zahlungsunfähig*)
 within the meaning of section 17 of the Insolvency Code (*Insolvenzordnung*) ()"**InsO** ").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) OpCo
 as Obligor incorporated in Germany is over-indebted within the meaning of section 19 InsO
 or, with respect to any other member of the Group, the value of the assets of any member
 of the Group is less than its liabilities (taking into account contingent and prospective
 liabilities).

15.3 **Destruction or abandonment of assets** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any
 material part of the assets of an Obligor is destroyed, damaged or rendered unusable, unless
 such destruction, damage or loss is covered by adequate insurance and the relevant insurance
 proceeds are (or will be) applied in accordance with the Finance Documents, and such event
 has or is reasonably likely to have a Material Adverse Effect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) an
 Obligor abandons, suspends or permanently ceases to operate, use or maintain any material
 part of its assets or business, unless such abandonment or cessation is temporary and the
 resulting impairment is covered by adequate insurance and the relevant insurance proceeds
 are (or will be) applied in accordance with the Finance Documents, and such action has or
 is reasonably likely to have a Material Adverse Effect.

provided that no Event of Default shall occur under this clause if the relevant Obligor has fully reinstated, repaired or replaced such assets (or has entered into binding arrangements to do so) within 15 Business Days.

15.4 **Change of Borrower's COMI** 

The centre of main interest (COMI) (as defined in Regulation (EU) 2015/848 on insolvency proceedings) of Borrower is changed from the jurisdiction in which it is located on the date of this Agreement, unless:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) such
 change is not reasonably likely to prejudice the interests of the Lender in any material
 respect; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the
 Lender has been prior notified in writing of such change not less than 30 Business days in
 advance; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) no
 insolvency proceedings have been commenced or are reasonably likely to be commenced in respect
 of the Borrower as a result of such change.

Any Event of Default under this clause shall be deemed remedied if the Borrower re-establishes its COMI in the original jurisdiction within 30 Business Days after the occurrence of such change.

15.5 **Non-compliance with Finance Documents** 

The Borrower fails to comply with any material provision of a Finance Document (including any condition subsequent), other than those expressly dealt with elsewhere in this clause 15, provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) no
 Event of Default shall occur unless such failure remains unremedied for 15 Business Days
 after the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the
 Company becoming aware of such failure; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the
 Lender giving notice of such failure to the Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) if
 such failure is capable of remedy, the Borrower is using reasonable endeavours to remedy
 such failure within such period.

15.6 **Non-compliance with Purpose** 

The Borrower fails to apply: (x) the First Tranche in accordance with the purpose set out in Clause 3.1; or (y) the Second Tranche in accordance with the purpose set out in Clause 3.2.

15.7 **Acceleration** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) On
 and at any time after the occurrence of an Event of Default which is continuing the Lender
 may, by notice (the **"Acceleration Notice"**) to the Company:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) cancel
 the Total Commitments whereupon they shall be immediately cancelled;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) declare
 that all or part of the Utilisations, together with accrued interest, and all other amounts
 accrued or outstanding under the Finance Documents be immediately due and payable, at which
 time they shall become due and payable after 10 Business Days;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) exercise
 any or all of its rights, remedies, powers or discretions under the Finance Documents, but
 may only enforce any Transaction Security 20 Business Days after an Acceleration Notice has
 become effective, provided that the relevant Event of Default is continuing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Prior
 to giving an Acceleration Notice other than in respect of any Acceleration Notice provided
 following an Event of Default under Clause 15.2 in which case no notice is required, the
 Lender shall notify the Company in writing of its intention to do so and shall consult in
 good faith with the Company for a period of 15 Business Days with a view to agreeing remedial
 actions or a waiver.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Where
 an Event of Default has occurred but the Lender is entitled to exercise the Conversion, the
 Lender shall not accelerate unless it has first elected not to exercise such Conversion.

16. **Illegality** 

16.1 If,
 at any time, it becomes unlawful in any applicable jurisdiction for the Lender to perform
 any of its obligations under this Agreement or to fund or maintain a Loan:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the
 Lender shall promptly notify the Company of the relevant circumstances;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the
 Parties shall use reasonable endeavours for a period of 30 Business Days to agree on an amendment
 or alternative structure which would avoid such illegality without materially prejudicing
 the Company; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) if
 no such solution is agreed within such period, the Lender may, by notice to the Company,
 cancel the undrawn Commitment affected by the illegality.

16.2 Any
 outstanding Loan affected by such illegality shall be prepaid on the Termination Date or
 such later date as agreed, without penalty or breakage costs, and no Event of Default shall
 arise solely as a result of such illegality.

17. **No Assignment** 

No Party may assign any of its rights or transfer any of its rights or obligations under the Finance Documents.

18. **Payment Mechanics** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any
 payment which is due to be made on a day that is not a Business Day shall be made on the
 next Business Day in the same calendar month (if there is one) or the preceding Business
 Day (if there is not).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) During
 any extension of the due date for payment of any amount under this Agreement (other than
 interest) in accordance with paragraph (a) above interest is payable on that amount
 at the rate payable on the original due date.

19. **Conduct of business by the LENDER** 

No provision of this Agreement will:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) interfere
 with the right of the Lender to arrange its affairs (tax or otherwise) in whatever manner
 it thinks fit;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) oblige
 the Lender to investigate or claim any credit, relief, remission or repayment available to
 it or the extent, order and manner of any claim; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) oblige
 the Lender to disclose any information relating to its affairs (tax or otherwise) or any
 computations in respect of Tax.

20. **Notices** 

20.1 **Communication** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any
 communication to be made under or in connection with the Finance Documents shall be made
 in writing and, unless otherwise stated, may be made by email or letter or in any other way
 agreed from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any
 notice or other documents given under or in connection with any Finance Document must be
 in English or accompanied by a English translation.

20.2 **Addresses** 

The address and email address (and the department or officer, if any, for whose attention the communication is to be made) of each Party for any communication or document to be made or delivered under or in connection with the Finance Documents is that identified with its name below or any substitute address, email address or department or officer as the Party may notify to the other Parties by not less than five Business Days' notice.

20.3 **USA Patriot Act** 

If the Lender is subject to the USA Patriot Act the Lender hereby notifies the Obligors that pursuant to the requirements of the USA Patriot Act, it is required to obtain, verify and record information that identifies the Obligors, which information includes the name and address of each Obligor and other information that will allow the Lender to identify such Obligor in accordance with the USA Patriot Act. Each Obligor shall, promptly following a request by the Lender, provide all documentation and other information that the Lender requests in order to comply with its ongoing obligations under applicable "know your customer" and anti-money laundering rules and regulations, including the USA Patriot Act.

21. **Calculations** 

Any interest, commission or fee accruing under a Finance Document will accrue from day to day and is calculated on the basis of the actual number of days elapsed and a year of 360 days.

22. **Partial Invalidity** 

22.1 The
 Parties agree that should at any time, any provisions of this Agreement be or become void
 (*nichtig*), invalid or due to any reason ineffective (*unwirksam*) this will indisputably
 (*unwiderlegbar*) not affect the validity or effectiveness of the remaining provisions
 and this Agreement will remain valid and effective, save for the void, invalid or ineffective
 provisions, without any Party having to argue (*darlegen*) and prove (*beweisen*)
 the Parties intent to uphold this Agreement even without the void, invalid or ineffective
 provisions.

22.2 The
 void, invalid or ineffective provision shall be deemed replaced by such valid and effective
 provision that in legal and economic terms comes closest to what the Parties intended or
 would have intended in accordance with the purpose of this Agreement if they had considered
 the point at the time of conclusion of this Agreement.

23. **Remedies And Waivers** 

No failure to exercise, nor any delay in exercising any right or remedy under the Finance Documents shall operate as a waiver, nor shall any single or partial exercise of any right or remedy prevent any further or other exercise or the exercise of any other right or remedy. The rights and remedies provided in this Agreement are cumulative and not exclusive of any rights or remedies provided by law.

24. **Amendments And Waivers** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any
 term of the Finance Documents may be amended or waived only with the consent of the Lender
 and the Company and any such amendment or waiver will be binding on all Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) OpCo
 agrees to any such amendment or waiver permitted by this Clause 24 which is agreed to
 by the Company.

25. **Confidentiality** 

25.1 **Confidential Information** 

The Lender agrees to keep all Confidential Information confidential, to ensure that all Confidential Information is protected with security measures and a degree of care that would apply to its own confidential information and not to disclose it to any person that is not a Party and other than:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) to
 any of its or their officers, directors, employees, professional advisers, auditors, partners,
 Representatives or potential providers of capital for the Second Tranche such Confidential
 Information if any person to whom the Confidential Information shall be disclosed has entered
 into a Confidentiality Undertaking; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any
 person to whom information is required or requested to be disclosed (i) by any court
 of competent jurisdiction or any governmental, banking, taxation or other regulatory authority
 or similar body, the rules of any relevant stock exchange or pursuant to any applicable
 law or regulation or (ii) in connection with any litigation, arbitration, administrative
 or other investigations, proceedings or disputes if any person to whom the Confidential Information
 shall be disclosed is informed of its confidential nature.

25.2 **Notification of disclosure** 

The Lender (to the extent permitted by law and regulation) shall inform the Company (i) of any disclosure of Confidential Information made pursuant to paragraph (b) of clause 25.1 (Confidential Information) and (ii) upon becoming aware that Confidential Information has been disclosed in breach of this clause 25 (Confidentiality).

25.3 **Continuing obligations** 

The obligations in this clause 25 (Confidentiality) shall remain binding on the Lender for a period of twenty four months from the earlier of (i) the final discharge of this Agreement and (ii) the date on which the Lender otherwise ceases to be a Lender.

26. **Governing Law** 

This Agreement and any non-contractual obligations arising out of or in connection with it are governed by German law.

27. **Jurisdiction** 

The courts of Frankfurt am Main, Germany have exclusive jurisdiction to settle any dispute arising out of or in connection with this Agreement (including a dispute relating to the existence, validity or termination of this Agreement or any non-contractual obligation arising out of or in connection with this Agreement) (a "**Dispute**"). This clause 27 is for the benefit of all Parties.

28. **Conclusion of this Agreement (*Vertragsschluss*)** 

28.1 The
 Parties to this Agreement may choose to conclude this Agreement by an exchange of signed
 signature page(s), transmitted by means of telecommunication (*telekommunikative Übermittlung*)
 by way of fax or attached as an electronic photocopy (pdf, tif, etc.) to electronic
 mail.

28.2 If
 the Parties to this Agreement choose to conclude this Agreement in accordance with clause
 28.1 above, they will transmit the signed signature page(s) of this Agreement to Dr. Moritz
 v. Hutten (mhutten@stolzenberg-legal.de) (the "**Recipient** "). The Agreement
 will be considered concluded once the Recipient has actually received the signed signature
 page(s) (*Zugang der Unterschriftsseite(n)*) from all Parties to this Agreement
 and at the time of the receipt of the last outstanding signature page(s).

28.3 For
 the purposes of this clause 28 only, the Parties to this Agreement appoint the Recipient
 as agent of receipt (*Empfangsvertreter*) and expressly allow (*gestatten*) the
 Recipient to collect the signed signature page(s) from all and for all Parties to this
 Agreement. For the avoidance of doubt, the Recipient will have no further duties connected
 with its position as Recipient. In particular, the Recipient may assume the conformity to
 the authentic original(s) of the signature page(s) transmitted to it by means of
 telecommunication, the genuineness of all signatures on the original signature page(s) and
 the signing authority of the signatories.

**schedule 1**

**Conditions Precedent**

**Part 1 - Conditions Precedent to utilisation of First Tranche**

1. **Finance documents** 

This Agreement executed by the Parties.

2. **Transaction Security Documents** 

n/a

3. **Other documents and evidence** 

The Funds Flow Statement.

**Part 2 - Conditions Precedent to utilisation of Second Tranche**

1. **Finance documents** 

This Agreement executed by the Parties.

2. **Transaction Security Documents** 

n/a

3. **Other documents and evidence** 

Employment of Mr. A. Schuetz as Chief Financial Officer of the Company, effective 1 January 2026 and public announcement thereof, also via SEC Form 6-K.

This Agreement was signed on December 16, 2025:

---

| | | | |
|:---|:---|:---|:---|
| **SCHMID Group N.V.:** | **SCHMID Group N.V.:** | **GEBR. SCHMID GMBH:** | **GEBR. SCHMID GMBH:** |
| as Company, Borrower and Guarantor | as Company, Borrower and Guarantor | as Guarantor | as Guarantor |
| /s/ Christian Schmid | /s/ Christian Schmid | /s/ Christian Schmid | /s/ Christian Schmid |
| (Signature) | (Signature) | (Signature) | (Signature) |
| Christian Schmid | Christian Schmid | Christian Schmid | Christian Schmid |
| (Name in block letters) | (Name in block letters) | (Name in block letters) | (Name in block letters) |
|  |  | MANAGING DIRECTOR | MANAGING DIRECTOR |
| (Title in block letters) | (Title in block letters) | (Title in block letters) | (Title in block letters) |
| Address: | Robert-Bosch-Str. 32-36, 72250 Freudenstadt, Germany | Address: | Robert-Bosch-Str. 32-36, 72250 Freudenstadt, Germany |
| Email: | Schmid.Ch@schmid-group.com | Email: | Schmid.Ch@schmid-group.com |
| Attention: | Christian Schmid | Attention: | Christian Schmid |

---

---

| | | | |
|:---|:---|:---|:---|
| **Christian Schmid:** | **Christian Schmid:** | **Anette Schmid:** | **Anette Schmid:** |
| as Security Provider | as Security Provider | as Security Provider | as Security Provider |
| /s/ Christian Schmid | /s/ Christian Schmid | /s/ Anette Schmid | /s/ Anette Schmid |
| (Signature) | (Signature) | (Signature) | (Signature) |
| Christian Schmid | Christian Schmid | Anette Schmid | Anette Schmid |
| (Name in block letters) | (Name in block letters) | (Name in block letters) | (Name in block letters) |
| Address: | Robert-Bosch-Str. 32-36, 72250 Freudenstadt, Germany | Address: | Robert-Bosch-Str. 32-36, 72250 Freudenstadt, Germany |
| Email: | Schmid.Ch@schmid-group.com | Email: | Schmid.An@schmid-group.com |
| Attention: | Christian Schmid | Attention: | &nbsp;&nbsp;&nbsp;&nbsp;Anette Schmid |

---

[*Signature Page to the Facility Agreement*]

---

| |
|:---|
| **Black Forest Special Situations I:** |
| as Lender |
| /s/ DAVID ROBERT BULLEY |
| (Signature) |
| DAVID ROBERT BULLEY |
| (Name in block letters) |
| DIRECTOR |
| (Title in block letters) |

---

---

| | |
|:---|:---|
| Address: | Suites 3404B-06, |
|  | Two Taikoo Place |
|  | 979 King's Road |
|  | Quarry Bay |
|  | Hong Kong |
| Telephone: | +852 6201 3662 |
| Email: | <u>dbulley@applebyglobal.com</u> |
| Attention: | David Bulley |

---

[*Signature Page to the Facility Agreement*]

## Exhibit 99.1

**Exhibit 99.1**

![](tm2533679d1_ex99-2img001.jpg)

**SCHMID Group N.V. secures a Two-Tranche Convertible Term Loan Facility from Lender Consortium for up to EUR 10 million**

**Freudenstadt, Germany, December 17, 2025**– SCHMID Group N.V. (NASDAQ: SHMD) (the "**Company**"), a global leader in providing solutions to the high-tech electronics, photovoltaics, glass, and energy systems industries, announced today that it signed an agreement for a secured two-tranche term loan facility for up to €10,000,000 with Black Forest Special Situations I, a vehicle established in the Cayman Islands (the "**Lender**"). The term loan facility includes an optional equity conversion right of the Lender to convert the loan amounts into shares of SCHMID Group N.V. at a fixed share price of USD 2.15 per share. The loan facility is also secured by a private pledge by the Company's Majority Shareholders Christian Schmid and Anette Schmid. Additionally, the Company raised €200,000 separately, as part of the same overarching realignment of the Company's financial structure, in a related party loan. The investors for these two capital raises include the Company's Chairman, members of the Board of Directors, its new incoming Chief Financial Officer (CFO), the Company's Majority Shareholders and external financial investors.

While the term loan facility comprises commitments of up to €10 million, it is to be drawn down in two tranches with the first tranche totaling €2,500,000, which is expected to be drawn down by the Company on December 18, 2025. The second tranche is expected to be drawn down early in the year 2026. The proceeds of the convertible term loan will be used to strengthen the working capital position of the Company, enabling the conversion of its strong order intake into revenues. This financing also underscores the Company's board of directors' and management's commitment to optimizing the Company's capital structure to enable it to capitalize on near and medium term opportunities.

The Company also announced the appointment of a new Chief Financial Officer of SCHMID Group N.V., Arthur Schuetz, who has been appointed by the board of directors of the Company to join the Company as of January 1, 2026. Julia Natterer, current CFO of SCHMID Group N.V., will hand over all roles in SCHMID Group N.V. to Mr. Schuetz, remain chief financial officer of Gebr. Schmid GmbH and concentrate on the Company's daily business.

Mr. Schuetz has more than 20 years of investment banking experience in Europe and Asia, leading equity and debt capital fundraisings, including into the US markets. His experience also includes the shepherding of complex cross-border M&A transactions. He is expected to bring significant strategic insight and capital markets experience to SCHMID.

"Securing this convertible term loan with the backing of our Board, Arthur Schuetz, the Schmid family, and external investors is a strong endorsement of SCHMID's potential," said Professor Sir Ralf Speth, Chairman of the Board. "We look forward to Arthur joining the team and to working closely with him and our partners to optimize the company's financing and to evaluating and implementing high quality strategic initiatives."

"Having followed SCHMID for some years, I am very pleased to have the opportunity to join SCHMID and to work alongside such an experienced and dedicated Board, the Schmid family, and our external investors," said Arthur Schuetz. "I look forward to contributing my expertise as a former investment banker in strategic finance to help the company strengthen its balance sheet, optimize its working capital, and create long-term value for all stakeholders."

**Forward-looking Statements**

This press release may contain forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements can include statements regarding our financial outlook for 2025, our expectations with respect to future performance and the anticipated timing of certain commercial or financing activities. There are a significant number of factors that could cause actual results to differ materially from the statements made in this press release, including: geopolitical events, conflicts or wars, including trade wars, macroeconomic trends including changes in inflation or interest rates, or other events beyond our control on the overall economy, our business and those of our customers and suppliers, including due to supply chain disruptions and expense increases; our limited operating history as a public company; our current dependence on sales to a limited number of customers for most of our revenues; supply chain interruptions and expense increases; unexpected delays in new product introductions; our ability to expand our operations and market share in Europe and the U.S.; the effects of competition; and the risk that our technology could have undetected defects or errors. Additional risks and uncertainties that could affect our financial results are included under "Item 3. Key Information – 3.D. Risk Factors" in our annual report on Form 20-F filed with the SEC on May 15, 2024, which is available on the SEC's website at www.sec.gov. Additional information will also be set forth in other filings that we make with the SEC from time to time. All forward-looking statements in this press release are based on information available to us as of the date hereof, and we do not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made, except as required by applicable law.

![](tm2533679d1_ex99-2img001.jpg)

**About The SCHMID Group**

The SCHMID Group is a world-leading global solutions provider for the high-tech electronic, photovoltaics, glass, and energy systems industries, with its headquarters based in Freudenstadt, Germany. Founded in 1864, today it employs more than 800 staff members worldwide, and has technology centers and manufacturing sites in multiple locations including Germany and China, in addition to several sales and service locations globally. The Group focuses on developing customized equipment and process solutions for multiple industries including electronics, renewables, and energy storage. Our system and process solutions for the manufacture of substrates, printed circuit boards and other electrical components ensure the highest technology levels, high yields with low production costs, maximized efficiency, quality, and sustainability in green production processes.

Learn more at www.schmid-group.com

## Exhibit 99.2

**Exhibit 99.2**

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**Press Release**

**SCHMID Group N.V. reports H1 2025 Financial Results and Guidance Update**

**Freudenstadt, Germany, December 17, 2025** – SCHMID Group N.V. (NASDAQ: SHMD), a global leader in providing solutions to the high-tech electronics, photovoltaics, glass, and energy systems industries, reports its unaudited financial results for the first half of 2025, covering the period ended June 30, 2025 and updates its full-year 2025 guidance.

**Key Highlights**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **Revenues**: €16.9
 million for the six months ended June 30, 2025 compared to €29.7 million for the same period last year due to lower order
 volumes in Asia, Europe and the USA

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **Gross Profit:** €-1.7
 million for the six months ended June 30, 2025 compared to €5.6 million for the same period last year principally as a
 result of the low revenue

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **Other income**: €6.1
 million for the six months ended June 30, 2025 mainly results from FX translation effects on foreign currency liabilities, which
 arose due to the weaker performance of the USD compared to the Euro. In the same period of last year, other income was €10.4
 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **Operating Result**: €-7.8
 million for the six months ended June 30, 2025 compared to €-70.1 million for the same period last year principally as
 a result of the low revenue and negative gross profit.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· **Adjusted EBITDA (non-IFRS)\*:** €-5.3 million for the six months ended June 30, 2025 compared to €6.1 million for the same period last year

**Revenue and Operating Results for H1 2025**

SCHMID Group N.V.'s revenues and gross profits were lower in the first half of 2025 than in the comparable period of 2024, in particular due to weak revenues in Asia, China and Europe. The production plant in Freudenstadt was not operating at full capacity in the first quarter of 2025. Order intake improved noticeably in the middle of the second quarter of 2025. Since then, both production plants of the Company have been operating at full capacity again. However, due to accounting for new orders, such new orders did not yet translate into corresponding sales in the six month period ended June 30, 2025. The low sales level led to a negative gross profit in the first half year 2025.

The Group's operating results were impacted by the negative gross profit. However, the valuation of financial liabilities denominated in USD resulted in a positive valuation effect after the USD has performed weakly against the Euro in the first half year. Nevertheless, the Group achieved a negative operating result for the first half of the year overall.

**Adjusted Outlook for 2025 and Update on Financial Status of SCHMID**

We published an outlook for 2025 in the Company's Form 6-K filed with the Securities and Exchange Commission (the "SEC") on November 17, 2025. Based on our backlog and our delivery schedule at that time, we previously estimated that our sales will be within a range of €72 million to €77 million for the full financial year of 2025 and our unadjusted EBITDA will be approximately 15% of our sales.

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Due to delays in receiving contractual advance payments and the resulting project postponements, sales for 2025 will be at the lower end of the estimated range. Even at the lower end of the sales range, we can reconfirm our EBITDA margin projection of approximately 15%.

The machines subject to delivery delays will be included in sales figures for the first and second quarter of 2026.

In our press release dated November 17, 2025, we referred to ongoing discussions with investors about possible equity or debt investments in SCHMID Group in 2025. Negotiations with XJ Harbour Ltd. regarding a debt-equity swap have been successfully concluded and a shareholders' meeting will be held on December 23, 2025 to authorize the issuance of shares to XJ Harbour Ltd. offsetting more than USD 26 million in financial liabilities to XJ Harbour Ltd. As previously announced, negotiations with potential debt investors have been ongoing. A two-tranche loan facility agreement with Black Forest Special Situations I, a Cayman Islands incorporated vehicle (the "**Lender**") backed by a consortium of lenders, including several of the Company's board members, was signed and is expected to be closed with the first tranche to be drawn down on December 18, 2025. This loan facility amounts to up to €10 million, with the first tranche amounting to €2.5 million. The second tranche of up to €7.5 million is expected to be drawn down early in 2026 following the Lender raising further funds. The loan facility includes an equity conversion right, exercisable under certain circumstances by the Lender which would convert the amounts outstanding under the loan facility at a share price of USD 2.15 per share into shares of the Company. Additionally, the Company raised €200,000 separately, as part of the same overarching realignment of the Company's financial structure, by the conclusion of a loan with a related party of the Schmid family. The agreed interest rate is market standard and the loan has a maturity of 15 months.

Negotiations with other possible debt and equity investors remain ongoing. The Group expects that further funds to support and accelerate the growth of the Company will be raised within the coming months.

Once the two tranches of the loan facility, amounting to up to €10 million have been received, SCHMID intends to complete its 2024 financial statements and publish its annual report for the financial year 2024 on Form 20-F. SCHMID expects that its Form 20-F for 2024 will be filed in February 2026.

**Outlook for 2026**

For the financial year 2026, we confirm our expectation of realizing sales revenue of over EUR 100 million and, taking into account this level of sales, an Adjusted EBITDA margin of more than 12 % on sales.

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**Forward-looking Statements**

This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include statements regarding our financial outlook for 2024, our expectations with respect to future performance and the anticipated timing of certain commercial activities. There are a significant number of factors that could cause actual results to differ materially from the statements made in this press release, including: the impact of the COVID-19 pandemic, geopolitical events including the Russian invasion of Ukraine, macroeconomic trends including changes in inflation or interest rates, or other events beyond our control on the overall economy, our business and those of our customers and suppliers, including due to supply chain disruptions and expense increases; our limited operating history as a public company; our current dependence on sales to a limited number of customers for most of our revenues; supply chain interruptions and expense increases; unexpected delays in new product introductions; our ability to expand our operations and market share in Europe and the U.S.; the effects of competition; and the risk that our technology could have undetected defects or errors. Additional risks and uncertainties that could affect our financial results are included under "Item 3. Key Information – 3.D. Risk Factors" in our annual report on Form 20-F filed with the SEC on May 15, 2024, which is available on the SEC's website at www.sec.gov. Additional information will also be set forth in other filings that we make with the SEC from time to time. All forward-looking statements in this press release are based on information available to us as of the date hereof, and we do not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made, except as required by applicable law.

**\*Non-IFRS Financial Measures**

In addition to our results determined in accordance with International Financial Reporting Standards ("IFRS"), as issued by the International Accounting Standards Board (IASB), we review financial measures that are not calculated and presented in accordance with IFRS ("non-IFRS financial measures"). We believe our non-IFRS financial measures are useful in evaluating our operating performance. We use the following non-IFRS financial information, collectively, to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that non-IFRS financial information, when taken collectively, may be helpful to investors, because it provides consistency and comparability with past financial performance and assists in comparisons with other companies, some of which use similar non-GAAP financial information to supplement their IFRS or US-GAAP results. The non-IFRS financial information is presented for supplemental informational purposes only, should not be considered a substitute for financial information presented in accordance with IFRS, and may be different from similarly titled non-IFRS measures used by other companies. A reconciliation of each historical non-IFRS financial measure to the most directly comparable financial measure stated in accordance with IFRS is provided above. Reconciliations of forward- looking non-IFRS financial measures are not provided because we are unable to provide such reconciliations without unreasonable effort due to the uncertainty regarding, and potential variability of, certain items, such as stock-based compensation expense and other costs and expenses that may be incurred in the future. Investors are encouraged to review the related IFRS financial measures and the reconciliation of these non-IFRS financial measures to their most directly comparable IFRS financial measures.

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Our non-IFRS financial measures include adjusted EBITDA defined as Net income (loss) for the period before net finance result, depreciation, and amortization (including impairments), and special items including the IFRS 2 expenses due to the business combination with Pegasus Digital Mobility Acquisition Corporation. Our management team ordinarily excludes special items from its review of the results of the ongoing operations. Special items may comprise significant asset impairments and write-offs, special accounting charges and other items that we do not necessarily consider to be indicative of earnings from ongoing operating activities.

The financial figures for 2025 and 2024 are preliminary and unaudited and are subject to change based on the completion of the audit for the financial year 2024. The audited financial statements for the financial year 2024 will be published in the Company's Form 20-F.

**About The SCHMID Group**

The SCHMID Group is a world-leading global solutions provider for the high-tech electronic, photovoltaics, glass, and energy systems industries, with its headquarters based in Freudenstadt, Germany. Founded in 1864, today it employs more than 800 staff members worldwide, and has technology centers and manufacturing sites in multiple locations including Germany and China, in addition to several sales and service locations globally. The Group focuses on developing customized equipment and process solutions for multiple industries including electronics, renewables, and energy storage. Our system and process solutions for the manufacture of substrates, printed circuit boards and other electrical components ensure the highest technology levels, high yields with low production costs, maximized efficiency, quality, and sustainability in green production processes.

Learn more at www.schmid-group.com

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**Appendix:**

**Statements of Profit or Loss for the half years ended June 30, 2025 and 2024**

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| | | |
|:---|:---|:---|
| <br>**in € thousand** | **Jan 1 - Jun, 30**<br>**2025** | **Jan 1 - Jun, 30**<br>**2024** |
| Revenue | 16.892 | 29.700 |
| Cost of sales | -18.621 | -24.054 |
| **Gross Profit** | **-1.729** | **5.646** |
| Selling | -5.741 | -6.533 |
| General administration | -5.461 | -5.116 |
| Research and development | -1.540 | -3.037 |
| Other income | 6.144 | 10.399 |
| Other expenses | 495 | -71.480 |
| (Impairment) / Reversal on impairment on financial assets | 0 | 7 |
| **Operating profit (loss)** | **-7.832** | **-70.114** |
| **Financial result** | **-2.648** | **-3.968** |
| **Income (loss) before income tax** | **-10.481** | **-74.082** |
| Income tax benefit (expense) | -76 | -850 |
| **Net income (loss) for the period** | **-10.557** | **-74.932** |

---

---

| | | |
|:---|:---|:---|
| <br>**in € thousand** | **Jan 1 - Jun, 30**<br>**2025** | **Jan 1 - Jun, 30**<br>**2024** |
| **Net income (loss) for the period** | **-10.557** | **-74.932** |
| Taxes | -76 | -850 |
| Financial result | -2.648 | -3.968 |
| Amortization and depreciation | -2.547 | -4.511 |
| Business combination related legal, consulting and other costs | 0 | -1.084 |
| IFRS 2 charge | 0 | -70.623 |
| **Total Adjusted EBITDA** | **-5.285** | **6.104** |

---

In the first half of 2024, the Adjusted EBITDA includes income from the initial consolidation of SCHMID Energy Systems GmbH of € 9.1 million.

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**Assets**

---

| | | |
|:---|:---|:---|
| **in € thousand** | **Jun 30, 2025** | **Dec 31, 2024** |
| Intangible assets | 15.615 | 14.611 |
| Goodwill | 0 | 0 |
| Property, plant and equipment, net | 12.096 | 13.092 |
| Financial assets | 121 | 135 |
| Investments in joint ventures | 9.349 | 9.800 |
| Deferred tax assets | 2.423 | 2.684 |
| **Non-current assets** | **39.604** | **40.322** |
| Inventories | 19.960 | 15.858 |
| Trade receivables and other receivables | 45.081 | 47.421 |
| Other current assets | 4.468 | 3.077 |
| Cash and cash equivalents | 2.456 | 3.791 |
| **Current assets** | **71.964** | **70.147** |
| **Total assets** | **111.568** | **110.469** |

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**Equity and Liabilities**

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| | | |
|:---|:---|:---|
| **in € thousand** | **Jun 30, 2025** | **Dec 31, 2024** |
| Owners' net investment | 114.879 | 114.879 |
| Other reserves | -170.161 | -158.145 |
| **Equity attributable to owners of the group** | **-55.283** | **-43.266** |
| Non-controlling interest | 665 | 661 |
| **Equity** | **-54.618** | **-42.605** |
| &nbsp;&nbsp;&nbsp;Non-current financial liabilities | 38.191 | 37.000 |
| &nbsp;&nbsp;&nbsp;Other non-current liabilities | 5.375 | 5.053 |
| &nbsp;&nbsp;&nbsp;Provisions for pensions | 978 | 978 |
| &nbsp;&nbsp;&nbsp;Non-current provisions | 178 | 345 |
| &nbsp;&nbsp;&nbsp;Deferred tax liabilities | 936 | 937 |
| &nbsp;&nbsp;&nbsp;Non-current lease liabilities | 7.736 | 8.233 |
| **Non-current liabilities** | **53.395** | **52.546** |
| &nbsp;&nbsp;&nbsp;Current financial liabilities | 38.894 | 40.433 |
| &nbsp;&nbsp;&nbsp;Current contract liabilities | 29.172 | 11.284 |
| &nbsp;&nbsp;&nbsp;Trade payables and other financial liabilities | 28.859 | 28.290 |
| &nbsp;&nbsp;&nbsp;Other current liabilities | 12.843 | 17.513 |
| &nbsp;&nbsp;&nbsp;Current lease liabilities | 1.465 | 1.461 |
| &nbsp;&nbsp;&nbsp;Current provisions | 261 | 184 |
| &nbsp;&nbsp;&nbsp;Income tax liabilities | 1.297 | 1.364 |
| **Current liabilities** | **112.792** | **100.528** |
| **Total equity and liabilities** | **111.568** | **110.469** |

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