New Indian Order for 350,000 Omnimesh Modules

7 September 2020

CyanConnode Holdings plc

("CyanConnode" or the "Company")

New Indian Order for 350,000 Omnimesh Modules

CyanConnode Holdings plc (AIM: CYAN), a world leader in Narrowband Radio Frequency (RF) Smart Mesh Networks, is pleased to announce a new order for the Indian state-owned utility "Madhya Pradesh Paschim Kshetra Vidyut Vitaran Company Ltd" ("MPWZ"), for 350,000 Omnimesh Modules, with the majority of payments secured against a Letter of Credit ("LoC").

The order has been placed by M.P. Smart Grid Private Limited, which is the Project Special Purpose Vehicle ("SPV") formed by India Power Corporation Ltd ("IPCL") and is for smart-metering communications in the towns of Ujjain, Dewas, Ratlam, Mhow and Khargone.

MPWZ serves more than 3 million consumers. We have previously announced and deployed two orders for this utility, totalling 120,000. This latest order, which is the third order for MPWZ, will increase the total number of its Omnimesh enabled smart-meters to 470,000. Under the order, CyanConnode will supply Omnimesh RF Mesh and Cellular Communications Modules, Gateways, Head End Software ("HES") and associated services, together with an Annual Maintenance Contract ("AMC"). The AMC is for an initial period of five years, after which the AMC can be extended on an annual basis, subject to mutually agreeing terms and conditions. This is the first Indian order where the Omnimesh HES will be deployed to communicate with both RF Mesh and Cellular enabled smart-meters.

Most of the order will be paid for under a CapEx model with the balance of the order being paid for under an OpEx model with Equated Monthly Instalments ("EMI"), over a five year period. The smart meters, which are being supplied by existing partners, will be deployed over thirty months, with initial deliveries commencing in Q3 2020.

The value of orders currently being deployed by CyanConnode in India is approximately INR 1.8 billion and the Omnimesh Modules on order are set out in the table below. The majority of the revenue for these contracts is expected to be recognised over the next two years, with payments secured against LoCs.

Anil Daulani, CyanConnode India CEO and MD, commented:

"We are delighted to receive this large order, which will be our first order using a Hybrid, CapEx + OpEx, payment model. This is the third consecutive order from MPWZ, which demonstrates both our technological excellence as well as our ability to deliver projects efficiently. After seeing the benefits of Omnimesh enabled smart-meters at Indore city, MPWZ is now expanding the deployment to five other cities of the state.

"With real time data flow from each smart-meter, we have proved that Omnimesh provides reliable and robust 24-7 communication. From the initial deployment of 120,000 Omnimesh enabled smart meters, MPWZ has benefitted from significant improvements and, based on the success of the Indore city deployment, we are very confident that we will secure further orders for Omnimesh."

Raghav Kanoria, IPCL MD, commented:

"I am pleased to be partnering with CyanConnode on this prestigious project. The CyanConnode Omnimesh technology has already been proven at the MPWZ Utility where they have seen considerable benefits from the meters deployed to date. I look forward to working together with CyanConnode on this project and providing further benefits both to the Utility and consumers of MPWZ.

"IPCL, a Kanoria Foundation Company, is committed to increasing its footprint in OpEx based smart-metering projects and this partnership will complement each other for more wins."

- Ends -

Enquiries:

CyanConnode Holdings plc Tel: +44 (0) 1223 225 060

John Cronin, Executive Chairman www.cyanconnode.com

Yellow Jersey PR (Financial PR) Tel: +44 (0) 20 3004 9512Sarah Hollins/ Annabel Atkins cyanconnode@yellowjerseypr.com

Arden Partners plc (Joint Broker) Tel: +44 (0) 20 7614 5900

Paul Shackleton / Dan Gee-Summons (Corporate Finance)

Simon Johnson (Corporate Broking)

About CyanConnode

CyanConnode (AIM:CYAN.L), is a world leader in Narrowband Radio Frequency (RF) Smart Mesh Networks, which are used for machine to machine (M2M) communication. As well as being self-forming and self-healing, CyanConnode's RF Smart Mesh Networks are designed for rapid deployment, whilst giving exceptional performance and competitive total cost of ownership.

In June 2018, CyanConnode launched its award-winning Omnimesh Advanced Metering Infrastructure (AMI) platform, which has already gained considerable commercial traction, especially in India which is a key market for the Company.

Through a Global partner eco-system, which is vendor agnostic, CyanConnode has several routes to market, therefore it is well positioned to capitalise upon increasing Global demand for smart metering solutions.

For more information, please visit www.cyanconnode.com

About Indian Power Corporation Limited

India Power Corporation Limited (IPCL), formerly known as DPSC Limited and incorporated in 1919, is one of the leading power-generation and utility companies in India, which has actively forayed into a diversified portfolio, with renewable and conventional modes of power generation, distribution & power trading.

As a Distribution Company, IPCL flies high in its licensed area of 618 sq km in the Asansol- Raniganj belt of West Bengal. The distribution network is overhead, and the current T&D loss is below 3%, lower than the industry average of approximately 25%.

For more information, please visit https://www.indiapower.com