Steakholder Foods Ltd. announced the closure of its wholly owned subsidiary, Peace of Meat BV (PoM), as a means to optimize its funds and investment strategy, alongside enabling a greater focus on
recently-announced core goals such as accelerating the commercialization of its 3D printing technology. As part of the Company's purchase of the shares of PoM at the end of 2020, PoM's management had been granted full contractual autonomy throughout 2021 and 2022, and was provided with the funding required to develop its technologies in accordance with the terms of the purchase. Following the conclusion of the autonomous period and following its previously announced plans to restructure PoM, the Company further evaluated the expected return on its investment, and decided not to further fund PoM, in order to focus its efforts in the advancement of its core technology 3D printing of cultured products, and potential collaborations. As a result, PoM has ceased operations and is expected to be liquidated. As part of this process, Steakholder Foods expects PoM's assets to be realized, following which the Company shall consider how and when to continue development of cultivated avian products. The closure of PoM is expected to reduce Steakholder Foods' expenses by about $4.5 million annually, relative to 2022.