Suspension of Share Repurchase Programme

MTI Wireless Edge Ltd (AIM: MWE), the technology group focused on comprehensive communication and radio frequency solutions across multiple sectors, announces that it has decided to suspend its share buyback programme to repurchase ordinary shares ("Ordinary Shares") of par value 0.01 Israeli Shekels each in the Company (the "Share Repurchase Programme") (the “Share Buyback Suspension”).

The Share Buyback Suspension has been decided upon due to the total joint direct and indirect holdings of the Borovitz family and the Beer family, which constitute a controlling block in the Company, currently representing in aggregate, 44.9 per cent of the voting rights in the Company. Under the Israeli Companies Law, where a person acquires shares in a company, and as a result of such acquisition, such person will hold more than 45 per cent of the voting rights in the company (the “45 Per Cent Threshold”), and there is no other shareholder holding more than 45 per cent of the voting rights in the company, a special purchase offer must be made, as set out in the provisions of the Israeli Companies Law, failing which the shares so acquired will be treated as dormant.

However, these provisions do not apply where the 45 Per Cent Threshold is exceeded as a result of a share repurchase by the Company, although in such a case the shares in excess of the 45 Per Cent Threshold would not entitle their holder to voting rights.

As such, the Board has decided to put the Share Buyback Suspension into effect given that, if as a result of the Share Repurchase Programme, the Borovitz family and Beer family directly or indirectly were to hold more than 45% of the voting rights in the Company, a special purchase offer under the Israeli Companies Law will not be required, and the other shareholders would lose the protections otherwise afforded by the Israeli Companies Law.

The Share Repurchase Programme was originally announced on 24 January 2019, and has been subsequently extended, most recently to terminate at the end of March 2027 and has a maximum value of up to £1,000,000. The Company currently holds 2,343,000 Ordinary Shares in treasury under the Share Repurchase Programme, which do not have voting rights. Any recommencement of market purchases under the Share Repurchase Programme will be announced to the market. The Share Buyback Suspension is permitted under the terms of the Share Repurchase Programme.

The Company confirms that it is not currently in possession of any unpublished inside information.

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About MTI Wireless Edge Ltd. ("MTI")

Antenna division

Water Control & Management division

Distribution & Professional Consulting Services division