iQ Power AG: Reverse Merger of iQ Power AG into iQ Power Licensing AG overwhelmingly approved by Shareholders

Zug (pta006/28.01.2015/07:45 UTC+1) ,
- Merger of iQ Power AG with the wholly owned subsidiary iQ Power Licensing AG
- Both measures pass by 99% and 93% majorities.
- Equity restructuring will allow earlier dividend payout
- Simplified company structure will increase efficiency and reduce costs
- Current shares to be exchanged for new shares in the new company
- Listing of the new shares on the Berlin stock exchange is planned
- Reduction in the total number of shares in a 4:1 ratio
- Amalgamation of the two previous classes of shares

Zug/Switzerland, 28 January 2015 - iQ Power AG (ISIN: CH0020609688, German Securities Code Number (WKN): A0DQVL / symbol: IQPB, ISIN: CH0199540599 / German Securities Code Number (WKN): A1J7TW / symbol: IQPA), a developer and marketer of technologies for environmentally friendly and technologically innovative starter batteries for motor vehicles and licences in these technologies, announces that shareholders at an extraordinary general meeting approved the merger contract entered into by iQ Power AG and iQ Power Licensing AG. The extraordinary general meeting was held at 10 a.m. on 27 January 2015 at the premises of the Migros Klubschule, Metalli-Gebäude, Industriestrasse 15, Zug, Switzerland. The resolution on the merger was passed by 93% of the votes and the resolution for the set-off of capital contribution reserves in the amount of CHF 14,575,665.57 through loss carry-forward, which is an accounting prerequisite for the merger, was passed with a 99% majority.

The plan involves the takeover of iQ Power AG by iQ Power Licensing AG, which is a wholly owned subsidiary of iQ Power AG and is the legal owner of all patent rights held by the iQ Power Group as well as all tools and equipment for the production of the plastic components based on the patents held by the iQ Power Group.

All rights and obligations of iQ Power AG will be taken over in full by iQ Power Licensing AG as part of the merger.

The key reason for the merger is the prospect of being able earlier than was previously possible to distribute dividends as soon as the company earns suitable profits.

The implementation of the planned transaction will reduce the share capital of the listed company to 2.452 million Swiss francs and the total number of shares will be reduced to around 245 million and this will mean, as a result, an exchange ratio of 4:1 for the new shares. The total net assets of the iQ Power Group will be the same post-merger.

It is intended to list the new shares after the merger on the Berlin Stock Market.
Shareholders whose shareholdings cannot be divided by four at the exchange ratio of 4:1 will receive a corresponding cash settlement based on the value of the shares after trading in the new shares commences.

The merged company will feature a more transparent and simple structure with one legal unit and with only one category of shares. The simplified structure will trim many administrative expenses and reduce the operating costs. Examples of this include the previous high costs related to the financial reporting, the fees paid to authorities and also the expenditure of time of by company personnel.

As the dividend rights of the two previous classes of shares (ordinary and preference) are financially the same and the voting rights are broadly identical, the exchange ratio for the two classes will be the same. This means 1 new registered share of common for every 4 current common shares as well as for every 4 preference shares. This situation has been reviewed and the ratio was confirmed by the independent Swiss auditors in the official Merger report.

The Management Board.

You can find more detailed information about iQ Power AG on the iQ website at www.iqpower.com.

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Emitter:	iQ Power AG Metallstrasse 6 6304 Zug Switzerland
Contact Person:	Dr. Eva Reuter
Phone:	+49 251 9801560
E-Mail:	e.reuter@dr-reuter.eu
Website:	www.iqpower.com
ISIN(s):	CH0020609688 (Share)
Stock Exchange(s):	Regulated Market in Frankfurt; Free Market in Berlin, Dusseldorf, Munich