Resolution of Legacy Defect Notifications

Tekmar Group plc (AIM: TGP), a leading provider of asset protection technology and offshore energy services globally, announces that it has reached a commercial settlement with one of its customers (the "Customer") in relation to a number of legacy defect notifications, as referenced in the Company's FY24 Annual Report.

The settlements relate to the industry-wide issue of abrasion affecting legacy cable protection systems installed at offshore wind farms. Tekmar has agreed settlement terms with the Customer with no admission of liability and no conclusion of defect with the Company's products.

The financial impact of the settlement is fully covered by insurance proceeds already received by Tekmar and will therefore have no cash impact. The agreement draws a line under all known defect claims with the Customer and does not affect Tekmar's ongoing commercial relationships with the Customer or, in Tekmar's view, the wider industry.

With matters fully concluded with this Customer, and the announcement by Tekmar on 20 March 2025 relating to a commercial settlement concluded with a different customer, commercial discussions remain ongoing regarding the resolution of the remaining notifications related to legacy matters as set out in the FY24 Annual Report.

Richard Turner, CEO of Tekmar Group, commented:

"Resolving these legacy matters is an important step as we continue to move forward from historic industry-wide challenges. We are pleased to have reached this agreement, fully supported by insurance proceeds, and to maintain a strong and positive relationship with a leading offshore wind developer. Our focus remains firmly on developing market leading products, growing our orderbook and delivering value for customers across the global offshore energy market."