Mr. Andrew Hider reports

ATS TO ACQUIRE LABORATORY SOLUTIONS PROVIDER HEIDOLPH GROUP

ATS Corp. has entered into a definitive agreement to acquire all material assets from Heidolph Instruments GmbH & Co. KG and Hans Heidolph GmbH (together, Heidolph), a leading manufacturer of premium lab equipment for the life sciences and pharmaceutical industries, subject to closing conditions in the agreement.

"With a comprehensive product range and a strong reputation established over 80 years, Heidolph will be a strong addition to our ATS Life Sciences business," said Andrew Hider, chief executive officer of ATS. "As we continue to grow our presence in regulated markets, Heidolph will bolster our solution set to customers in all stages of their operations."

Founded in 1938 and headquartered in Schwabach, Germany, Heidolph is a leading global manufacturer and distributor of equipment for evaporation, stirring, automation, shaking and mixing, liquid handling, and other crucial laboratory solutions. These adjacent strategic capabilities will complement ATS businesses, in particular ATS Scientific Products and Avidity Science, and allow ATS to offer comprehensive laboratory solutions. In addition to laboratory equipment, Heidolph also offers software solutions for laboratory workflow automation and data documentation. In its fiscal year ended March 31, 2024, Heidolph generated revenues of approximately 50 million euros and gross margins accretive to ATS's current gross margins, with a significant presence in Europe and Asia. Heidolph employs over 200 individuals in facilities in Germany, the United States, South Korea and China.

"As we continue to expand our value proposition for customers in the life sciences market, the addition of Heidolph will strengthen our portfolio of offerings," added Prakash (Cash) Mahesh, group executive for ATS Life Sciences. "Furthermore, its strong reputation, brand recognition and strategic location on three continents will broaden our reach while also expanding our customer base in key life sciences segments, from initial research and development right through to commercialization."

The purchase price represented a valuation multiple accretive to ATS's current trading multiple, however, specific financial terms of the transaction were not disclosed. The transaction is expected to close in the third calendar quarter of 2024. ATS plans to finance the acquisition with cash and by drawing on its revolving credit facility.

About ATS Corp.

ATS is an industry-leading automation solutions provider to many of the world's most successful companies. ATS uses its extensive knowledge base and global capabilities in custom automation, repeat automation, automation products and value-added solutions, including preautomation and after-sales services, to address the sophisticated manufacturing automation systems and service needs of multinational customers in markets, such as life sciences, transportation, food and beverage, consumer products, and energy. Founded in 1978, ATS employs over 7,000 people at more than 65 manufacturing facilities and over 85 offices in North America, Europe, Southeast Asia and Oceania. The company's common shares are traded on the Toronto Stock Exchange and the New York Stock Exchange under the symbol ATS.

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