Enapter : Consolidated Interim Financial Statements as of 30 June 2021

CONSOLIDATED INTERIM FINANCIAL STATEMENTS

of

ENAPTER AG

Heidelberg

as of 30 June 2021

ENGLISH TRANSLATION

Enapter at a glance

Enapter is a fast-growing energy technology company with the goal of sustainably reducing CO2 emissions. We use Anion Exchange Membrane (AEM) technology and its unique advantages. It enables the cost- effective scaled mass production of electrolyzers.

Based on our forecasts, we expect hydrogen from AEM electrolysers to be cheaper than fossil fuels in the medium term.

Sebastian-Justus Schmidt founded Enapter in November 2017 with the aim of building affordable, scalable electrolysers through productisation and standardisation and creating a competitive alternative to fossil fuels in the medium term. Since then, we have made great progress in product development and have grown to 132 employees by June 2021.

In August 2020, Enapter went public via a reverse merger. We are listed on the Frankfurt and Hamburg stock exchanges (General Standard, regulated market, ISIN DE000A255G02).

Now, we aim to scale up production to mass production of our AEM electrolyzers.

Our DNA

SIMPLICIT

TRANSPARENC

RGENC

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The Enapter share

Information on the share
ISIN		DE000A255G02
WKN			A255G02
Bloomberg Ticker			H2O
Shares issued		23.101.300
Stock exchange segment	Regulated Market /General Standard
Country			Germany
Sector			Cleantech
Subsector			Hydrogen
Shareholder structure
BluGreen			75.55 %
Sergei Storozhenko			4.73 %
Free Float			19.72 %
Content
			Page
Interim Group Management Report from 1 January to 30 June 2021		3
Company and market			3
Major events			8
Economic framework conditions			10
Business development			11
Current assessment of the opportunity and risk situation		16
Forecast			19
Responsibility statement by the legal representatives		20
Interim Consolidated Financial Statements (condensed) as at 30 June 2021	21
Balance sheet			21
Profit and loss account			23
Statement of comprehensive income			24
Statement of changes in equity			25
Cash flow statement			26
Notes			27

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Interim Group Management Report

from 1 January to 30 June 2021

Company and market

R e p or tin g com p an y

Enapter AG is a stock corporation under German law (hereinafter "Enapter AG") with its registered office in Heidelberg. Enapter AG is registered in the Commercial Register of the Local Court of Mannheim under the number HRB 735361. The business address is Reinhardtstrasse 35 in 10117 Berlin.

Enapter AG acts as an investment company that provides management and functional services to the subsidiaries it controls (hereinafter "Enapter" or "Group" or "Unternehmensgruppe"). It is also responsible for the financing of the group.

Enapter is develops and manufactures patented hydrogen generators - electrolysers - based on anion exchange membrane electrolysis (AEM electrolysis). Enapter pursues the vision of replacing fossil fuels with "green hydrogen". The plans for a production site for mass production in Germany with an investment budget of around EUR 100 million are well advanced. Mass production is scheduled to start in 2023.

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M a r k e t an d c u s t om e r s

Around the world, the realisation is gaining ground that fossil fuels are a discontinued model. Wind and solar energy are now the cheapest option to generate electricity almost everywhere. However, our society does not only need energy in the form of electrons (electricity). We are also dependent on fuels such as oil and gas. These fuels can be replaced by hydrogen. And hydrogen produced with renewable energy, as green hydrogen, can provide our energy needs in a CO2-neutral way.

The market for green hydrogen is at the beginning of a rapid growth curve. The International Energy Agency (IEA) 1estimated the global demand for pure hydrogen at more than 70 million tonnes per year. Oil refineries and fertiliser manufacturers account for the largest share. Another 45 million tonnes per year are used in the steel and methanol industries, but without the hydrogen being separated from other gases beforehand (mixed hydrogen).

Today, hydrogen is mainly used in industrial applications. The four most important applications are oil refining (33%), ammonia production (27%), methanol production (11%) and the direct reduction of iron ore (3%). Furthermore, hydrogen is used in float glass, polysilicon, semiconductor, electronics, food and chemical production (others: 26%).

The Hydrogen Council 2 assumes an eightfold increase in the demand for hydrogen by 2050. This would correspond to an average growth rate of approx. 7% p.a. (CAGR 2020-2050). In 2050, hydrogen could account for one fifth of global final energy consumption, save 6 Gt of CO2 and eliminate local emissions such as sulphur and nitrogen oxides (SOx & NOx) and particulate matter.

1. IEA, "The Future of Hydrogen", 2019
2. Hydrogen Council, "Hydrogen. Scaling up"

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