Polyrizon Signs MOU to Acquire 20% Stake in Colugo

Polyrizon announced the signing of a non-binding memorandum of understanding with shareholders of Colugo Systems for the acquisition of up to 20% stake in Colugo. Established in 2016, Colugo designs and manufactures aircraft that are designed to drive advancements in aviation in the urban air mobility market. Under the terms of the MOU, two shareholders will sell to Polyrizon approximately 20% of the outstanding share capital of Colugo on a fully-diluted basis. The aggregate purchase price for the Colugo shares is up to $6M, either in cash or through the issuance of Polyrizon shares, as shall be mutually agreed upon in the definitive agreement. Polyrizon's share price will be determined at the signing of the definitive agreement. The closing of Polyrizion acquisition of the Colugo shares is expected to occur promptly following satisfaction of the conditions set forth in the MOU, including execution of a definitive agreement, required corporate approvals of both companies, and waiver or exercise of any right of first refusal or co-sale rights of certain Colugo shareholders. The MOU will terminates upon the earlier of written notice of termination by either party or September 30 if the transaction has not closed by such date.