VTEX announced the termination of its Joint Operation ("J"), VT Com rcio Digital S.A. ("VT"), with TOTVS S.A. The JO was announced in July 2019, together with the acquisition of Ciashop S.A., a TOTVS subsidiary at the time, by VTEX, and was crucial to accelerate the digital commerce transformation of TOTVS's customers, especially during the Covid-19 pandemic, and to create a distribution channel for the VTEX Platform to TOTVS enterprise customers. Having fulfilled its objectives, the JO was terminated and VTEX and TOTVS will maintain their long-term partnership with current JO customers. As originally stated in the JO agreement, with the dissolution of VT, the terms that regulate the balanced commercial and financial relationship with the JO customers, VTEX and TOTVS'll be applied.

The JO customers' contracts will be assigned to VTEX, without any downtime or interruption of the services provided, and TOTVS will regularly maintain the relationship with its customers. VTEX reiterates its strategy to build the global backbone of connected commerce for enterprise brands and retailers. The termination of the JO with TOTVS is not expected to have any material impact on VTEX's operational or financial results.