Meta Materials Acquires UK-Based Plasma App Ltd.

Superior Coating Technology, PLASMAfusion™, Expected to Strengthen Existing Applications and Enable New Verticals Including Battery Materials

HALIFAX, NS / ACCESSWIRE / April 4, 2022 / Meta Materials Inc. (the "Company" or "META^®") (NASDAQ:MMAT)(FSE:MMAT) a developer of high-performance functional materials and nanocomposites, announced today it has acquired Plasma App Ltd. ("PAL"), in a stock for stock transaction valued at $20 million. PAL is the developer of PLASMAfusion™, a first of its kind, proprietary manufacturing platform technology, which enables high speed coating of any solid material on any type of substrate. PAL's team is located at the Rutherford Appleton Laboratories in Oxford, UK.

META expects to apply PLASMAfusion™ to the metallization step in its roll-to-roll production process for NANOWEB^® films as well as KolourOptik^® security films. This is expected to significantly accelerate line speed and increase annual capacity. Large scale and efficient metallization is a critical step for volume production of NANOWEB^® and many other high volume potential applications such as battery materials, requiring hundreds of millions of square meters per year. Large scale metallization is expected to leverage capital equipment investment and substantially reduce cost per square meter of output.

"This is a strategic acquisition for META, pairing the best nanopatterning technologies with the best coating technology. PLASMAfusion™ is a versatile coating platform technology, which we believe will improve our existing manufacturing processes, expand our IP portfolio, and open new markets," said George Palikaras, President and CEO of META. "As we scale our operations, META is committed to investing in more sustainable technologies that reduce cost and increase volumes of our metamaterial applications. We have had a great relationship with PAL since 2019, and I am excited to welcome its founder, Dr. Dmitry Yarmolich, to META. We expect PLASMAfusion™ to enable META to deliver new solutions at unprecedented scale and cost, with semiconductor accuracy and quality."

PLASMAfusion™ uniquely combines the benefits of sputtering and evaporation, while using zero VOCs (volatile organic compounds). PAL's technology works in a more sustainable, customizable, and efficient way, by producing new materials in vacuum at low substrate temperatures with higher adhesion. META intends to continue to industrialize and scale up PLASMAfusion™ including applications for META's high volume factory in Thurso, Quebec. Additionally, PLASMAfusion™ will be available for licensing and co-development for strategic partners.

"I am excited to join the META team and support its vision to democratize nanotechnology, enabling the next generation of high-performance metamaterial applications," said Dmitry Yarmolich, CEO of Plasma App Ltd. "There is a large opportunity to reduce cost, increase capacity, and enlarge the market for META's platform technologies. There are also multiple other promising high-volume applications, such as battery components, for which we have already achieved successful prototypes and strategic relationships which complement META's scale-up roadmap."

PAL has been developing next generation battery materials for several years with partners. A prototype Li ion battery anode pictured here was fabricated by PLASMAfusion™ of CALIB anode active material on a standard battery separator followed by deposition of a thin copper current collector. Results were published in January 2021 in Nano Energy 83 (2021) 105816. PLASMAfusion™ shows promise to increase the safety of batteries while reducing weight and increasing energy density. The technology is described in this publication as virtual cathode deposition. PAL's technology has also been used to develop next generation thermoelectric generators. Results were published in March 2019 in Scientific Reports (2019) 9:4393.

"PAL's technology creates unprecedented new high-performance nanocomposites in real time, by using multiple, time sequenced targets. We believe this is a unique process enabler, likely to facilitate META's entry into multiple high-growth markets," said Jonathan Waldern, META's Chief Technology Officer. "High energy beam deposition of materials, at low temperature, without solvents and other toxic chemicals is a major breakthrough. Compared to traditional coating technologies, we estimate PLASMAfusion™ is approximately 60x more energy efficient compared to Plasma Laser Deposition (PLD) and 8x more efficient compared to Magnetron Sputtering to produce each 100nm of coating on each square cm area of the substrate, while also offering higher adhesion, deposition rates, and overall coating uniformity."

To learn more about applications of PLASMAfusion™ technology, including Semiconductors & Metamaterials, Printed Circuit Boards, Protective/Optical Coatings and Batteries please visit https://metamaterial.com/technologies/plasmafusion/.

Transaction Summary

META acquired 100% of the shares of Plasma App Ltd. in exchange for META common shares with a total value of $20 million, priced at $1.86, based on the VWAP for the ten trading days ending on March 31, 2022. The transaction closed on April 1st.

About Meta Materials Inc.

META^® delivers previously unachievable performance, across a range of applications, by inventing, designing, developing, and manufacturing sustainable, highly functional materials. Our extensive technology platform enables leading global brands to deliver breakthrough products to their customers in consumer electronics, 5G communications, health and wellness, aerospace, automotive, and clean energy. Our nano-optic technology provides anti-counterfeiting security features for government documents and currencies and authentication for brands. Our achievements have been widely recognized, including being named a Lux Research Innovator of the Year in 2021. Learn more at www.metamaterial.com.

Forward Looking Information

This press release includes forward-looking information or statements within the meaning of Canadian securities laws and within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, regarding the Company, which may include, but are not limited to, statements with respect to the Company's acquisition of PAL, the potential benefits of PLASMAfusion™ technology for the Company's manufacturing processes, the potential application of PLASMAfusion™ technology to battery components and other vertical markets, the capabilities of our facilities and the expansion thereof, research and development projects of the Company, the market potential of the products of the Company , the market position of the Company, the scalability of the Company's production ability, capacity for new customer engagements, material selection programs timeframes, the ability to reduce production costs, enhance metamaterials manufacturing capabilities and extend market reach into new applications and industries, the ability to accelerate commercialization plans, the possibility of new customer contracts, the continued engagement of our employees, the technology industry, market strategic and operational activities, and management's ability to manage and to operate the business, as well as the business strategies, product development, expansion plans and operational activities of the Company. Often but not always, forward-looking information can be identified by the use of words such as "pursuing", "potential", "predicts", "projects", "seeks", "plans", "expect", "intends", "anticipated", "believes" or variations (including negative variations) of such words and phrases, or statements that certain actions, events or results "may", "could", "should", "would" or "will" be taken, occur or be achieved. Such statements are based on the current expectations and views of future events of the management of the Company and are based on assumptions and subject to risks and uncertainties. Although the management of the Company believes that the assumptions underlying these statements are reasonable, they may prove to be incorrect. The forward-looking events and circumstances discussed in this release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting the Company, including, without limitation, the Company's ability to integrate past and future acquisitions, the Company's limited operating history, the Company's ability to raise sufficient additional capital to execute its business plan, the Company's ability to generate sales of its products, and the Company's ability to protect its proprietary technology and intellectual property rights. More details about these and other risks that may impact the Company's businesses are described under Part I, Item 1A (Risk Factors) of the Company's Form 10-K filed with the SEC on March 2, 2022, and in subsequent filings made by Meta Materials with the SEC, which are available on SEC's website at www.sec.gov. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. Accordingly, readers should not place undue reliance on any forward-looking statements or information. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and the Company does not undertake any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except to the extent required by law.

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SOURCE: Meta Materials Inc.