Scandinavian Enviro Systems AB (publ) ("Enviro" or the “Company”) has received notice from Infiniteria Europe Sàrl ("Infiniteria") that Infiniteria intends to initiate a declaratory action against Enviro before the Swedish Patent and Market Court. Infiniteria requests the Patent and Market Court to declare that Infiniteria’s exclusive licence to Enviro's patented pyrolysis technology for tyre recycling in Europe remains in force. Enviro disputes Infiniteria's claims in their entirety.

Infiniteria's action is based on the assertion that Infiniteria's exclusive licence to the patents is protected as a right in rem and that Enviro's termination of the licence agreement on 20 March 2026 would be without effect. Infiniteria further claims compensation for legal costs together with interest.

It is Enviro's position that the termination of the licence agreement has been carried out in accordance with applicable legislation within the framework of the ongoing company reorganisation. Enviro maintains that the exclusivity of the licence ceases upon the termination of the licence agreement taking effect at the expiry of the notice period on 20 June 2026, and that Enviro thereafter is free to utilise its patented pyrolysis technology. Enviro intends to vigorously defend its right to dispose of the technology and its ability to develop and operate pyrolysis plants in Europe.

Enviro will file its statement of defence with the Patent and Market Court in accordance with the court's instructions. Enviro will evaluate all available legal measures, including potential claims for damages and costs attributable to the proceedings.

Further information regarding the termination of the licence agreement can be found in the press release published on 20 March 2026, available on Enviro's website, www.envirosystems.se.