• Received confidential, non-binding indicative merger proposal from Advanced Innergy Solutions
• Proposal involves Matrix acquiring privately-owned AIS through share issue
• No agreement or certainty on transaction terms or if proposal will proceed

Matrix Composites & Engineering Ltd (ASX: MCE) has received a confidential, highly conditional and non-binding indicative proposal from Advanced Innergy Solutions Limited (AIS) in relation to a potential reverse merger transaction with Matrix. The Board of Matrix is currently considering the Proposal alongside its financial and legal advisers. As at the time of this announcement, the Proposal is preliminary in nature, incomplete, and in its current form involves Matrix acquiring the privately owned AIS through the issue of Matrix shares, with no cash consideration proposed for Matrix shareholders. There is no agreement or understanding between the parties regarding the terms of any transaction, nor is there any certainty of any formal agreement being reached in respect to the Proposal or that the Proposal (or any transaction involving Matrix) will proceed or eventuate. Matrix has advised its shareholders to take no action in response to the Proposal and will keep them informed about any potential developments in accordance with its continuous disclosure obligations.