This is an ad hoc announcement pursuant to Article 53 of the Listing Rules (LR) of the SIX Exchange Regulation AG.

With the fulfilment of all required regulatory approvals and other closing conditions, the divestment of GF Casting Solutions’ automotive business to Mexican-based Nemak S.A.B. de C.V was successfully completed on 12 February 2026. The divestment included all automotive activities of GF Casting Solutions, which generated approximately CHF 622 million in sales in 2024.

The transaction enterprise value amounts to USD 336 million, of which USD 216 million was paid at closing. The remaining amount consists of instalments totalling USD 188 million over a five-year period until early 2031 and the assumption of potential operating and financial liabilities by Nemak. The future payments are not subject to any business performance-related conditions. Certain purchase price adjustments may be applied on the final closing accounts.

Following the agreement with Nemak to sell the division, GF will show in its 2025 annual results impairment charges on property, plant and equipment, intangible assets and value adjustments on non-current loans previously attributable to the divested division in the total amount of CHF 166 million.

In 2026, the division will be deconsolidated with an expected negative impact on the operating profit of CHF 180 million. The vast majority of this negative impact arises on non-cash items such as cumulative translation adjustments (CTA) and recycled goodwill. The consolidated equity will not be impacted by these effects.

The cash proceeds from the divestment will be used in line with GF’s capital allocation framework to further reduce outstanding net debt. The divestment process for the division’s aerospace and industrial gas turbine operations, including its three sites in Novazzano, Stabio (both in Switzerland) and Arad (Romania), is ongoing.

As already announced, GF will present its full-year 2025 results at the analyst & media conference on 25 February 2026 in Zurich.