Thank you. Good evening, or good morning, as the case may be. My name is Pat Elliott. I'm the Chairman of CAP-XX, and it's now 6:00 P.M. Sydney and 7:00 A.M. UK. I welcome you to this Annual General Meeting of the Shareholders of CAP-XX. As we have a quorum, I now declare the Annual General Meeting open, the quorum being two shareholders. The Notice of Annual General Meeting was dispatched to all shareholders on 4 December 2024. If there is no objection, I propose that the Notice of Meeting be taken as read. There being no objection, we will proceed. Firstly, I would like to introduce the Board of Directors and Management who are present on this call. From CAP-XX, we have Lars Stegmann, our CEO; Dr. Graham Cooley, Non-Executive Director; Peter Fraser, Non-Executive Director; Dr. Anthony Sive, Non-Executive Director; and Jo Morbey, Company Secretary.
I will also introduce Gareth Few from the Company's Auditors, BDO, and Ariel Sivikofsky, who has recently been appointed our Interim Chief Financial Officer. Before the resolutions are put to the meeting, please note that Resolution One has been withdrawn following the resignation of Mr. Steen Feldskov. The resignation of Mr. Feldskov was advised to AIM on Tuesday, 7 January 2025. The format of this meeting is that we will deal with the four remaining resolutions on the Notice of Annual General Meeting and then respond to questions sent in by shareholders. As Chairman, in relation to the proxy votes given, I intend to vote in favor of the four resolutions. I advise that there have been 126,118,565 proxies received from six shareholders, representing 2.03% of the issued capital. The first item of ordinary business is the tabling of the financial reports and directors' and auditors' reports.
To receive and consider the financial report, the directors' report, and the independent audit report of the company for the financial year ending 30 June 2024, are there any questions relating to those accounts? There being no questions, we'll move to the resolutions. Resolution Two is the election of Mr. Peter Fraser as a director to consider and, if thought fit, to pass the following resolution as an ordinary resolution: that Mr. Peter Fraser, retiring in accordance with the company's constitution and being eligible for election, be elected as a director of the company. Votes for: 123,974,644, against: 1,036,661, open: 107,260, and abstentions: 1 million. From those numbers, Resolution Two has received a 99% endorsement and declared the resolution carried and Peter Fraser elected as a director. Turning to Resolution Three, the election of Dr.
Anthony Sive as a director to consider and, if thought fit, to pass the following resolution as an ordinary resolution: that Dr. Anthony Sive, retiring in accordance with the company's constitution and being eligible for re-election, be elected as a director of the company. Votes for: 123,974,644; against: 1,036,661; open: 107,260; abstentions: 1 million. From those numbers, Resolution Three has received a 99% endorsement. I declare the resolution carried and Dr. Anthony Sive elected as a director. Resolution Four, the election of Dr. Graham Cooley as a director to consider and, if thought fit, to pass the following resolution as an ordinary resolution: that Dr. Graham Cooley, retiring in accordance with the company's constitution and being eligible for election, be elected as a director of the company. Proxies for: 123,174,644; against: 1,836,661; open: 107,260; abstentions: 1 million. From those numbers, Resolution Four has received a 98% endorsement.
I declare the resolution carried and Dr. Graham Cooley elected as a director. Resolution Five, the issued share capital dilution policy, to consider and, if thought fit, to pass the following resolution as an ordinary resolution: that notwithstanding any issues of securities by the company during the 12 months prior to the date of this meeting and notwithstanding the dilution policy as defined in the attached explanatory statement of the company, the directors of CAP-XX are hereby authorized to exercise all or any of the powers of the company to issue for cash an aggregate number of securities up to 15% of the entire issued capital of CAP-XX, provided that such authority will expire on the date 12 months after the passing of this resolution. Votes for: 75,763,992; against: 49,150,768; open: 107,260; abstentions: 1,096,545. From those numbers, Resolution Five has received a 60% endorsement, and I declare the resolution carried.
Ladies and gentlemen, there being no further formal business, I now declare this Annual General Meeting closed. Now that these formalities are over and the meeting closed, we can now take other relevant questions from attendees. We have received numerous questions from shareholders online, and answers to some of those questions submitted are price-sensitive or confidential, but we have tried to answer everything we can within the stock market rules. So we have 38 questions that we will answer today. Question One: Will CAP-XX improve its website and branding to reflect its refreshed strategy and ambitions for 2025? Answer: Yes. Enhancing our website and branding is a strategic priority for 2025. We're actively exploring updates that will better represent our growth ambitions, market leadership, and innovative energy storage solutions. Question Two: When can we expect the new surface mount technology, SMT, to be implemented?
Answer: The launch timing of our new SMT solutions remains contingent on achieving finalizing some key development milestones. Question Three: Is CAP-XX pursuing supply deals with Australian mining, defence, and energy companies? Answer: CAP-XX is pursuing supply deals with a range of companies across a number of geographies. These include the Australian mining, defence, and energy companies to provide sustainable and innovative energy solutions tailored to their operational needs. Question Four: Will CAP-XX begin using X, formerly Twitter, to improve its exposure and investor relations? Answer: While social media offers outreach potential, we currently focus on communication channels better aligned with our corporate stock market obligations. However, we continuously review our approach and may expand into new platforms in the future. Question Five: Will co-branded CAP-XX and Schurter supercapacitors be in production or announced in 2025? Answer: We will inform shareholders when the first shipments are made from Seven Hills.
Question Six: What is CAP-XX's current sales pipeline compared to the reported $9 million in March 2024? Answer: We are pleased with the development of our sales pipeline. We are also in the process of implementing a new CRM system to provide even more accurate sales data moving forward. Question Seven: What limits CAP-XX from securing a GBP 20 million supercapacitor supply contract? Answer: We are well positioned to pursue and fulfil contracts of scale, supported by our production capacity and global partnerships. We do look forward to that high-class problem. Question Eight: How is CAP-XX positioning itself as Australia's leading supercapacitor manufacturer? Answer: We are continually investing in R&D, strengthening partnerships with Australian industries, and expanding our product portfolio to deliver market-leading energy storage solutions. Question Nine: Has CAP-XX explored opportunities in AI and quantum computing sectors?
Answer: Yes, we are evaluating how our technology can contribute CAP-XX's power supply solutions to these rapidly growing AI and Quantum Computing sectors. Question Ten: Is CAP-XX seeking contracts in data centers, nuclear energy, and crypto- mining infrastructure? Answer: We are actively pursuing opportunities across a wide range of business sectors, including data centers and crypto- mining infrastructure. However, we do not currently engage with the nuclear energy sector because of the onerous compliance regulations. Question Eleven: Has CAP-XX considered entering the space industry for supercapacitor applications? Answer: Yes, we are exploring opportunities in the space industry in collaboration with Schurter, leveraging their eDIAS approvals. Question Twelve: Is CAP-XX considering strategic acquisitions for growth? Answer: We believe the opportunities for CAP-XX's existing business and expanding portfolio of products are significant, and this will remain the primary focus of the company.
Question Thirteen: What is the status of the Continental AG supply deal? Answer: We have received an initial order, however, the project has been postponed to late fiscal year 2025 due to Continental's existing inventory commitments. Question Fourteen: Did DMH production begin in May 2024 as planned? Answer: As highlighted in our annual results, customer evaluation of the DMH product is underway, and initial feedback is encouraging. Installation of the DMH production line is ongoing. Question Fifteen: What is the status of the 3-volt supercapacitors in design-ins? Answer: Development is progressing with several potential customers undertaking evaluation trials. We are not expecting sales until we have the necessary design-in wins. The timing of that is largely beyond our control. Question Sixteen: Is the partnership with Energous still alive? Answer: The partnership with Energous is currently inactive, with no new developments to report.
Question Seventeen: Will the planned capital markets seminar still take place? Answer: Yes, we are finalizing arrangements and will confirm the date shortly. Question Eighteen: When will the Ionic Industries and CAP-XX rGO joint venture begin generating sales? Answer: The venture is still in development. We will provide a timeline once progress is made. Question Nineteen: Can we expect exciting news in 2025? Answer: Yes, we anticipate sharing significant updates throughout the year. Question Twenty: Is CAP-XX running at full capacity on a single shift, given the hiring of four additional shifts? Answer: We are expanding operations, but specific production details remain confidential. Question Twenty-One: Thank you for hosting the meeting at a convenient U.K. time. Answer: We appreciate that feedback and are glad to try and accommodate our U.K. investors. Question Twenty-Two: Are you planning a share consolidation?
Answer: This remains under review, and we will update shareholders if a decision is made. Share consolidations, however, have quite often resulted in reduced market capitalisations in the absence of significant other news. Question Twenty-Three: Did Allenby receive fees or warrants for the latest placement? Answer: Allenby Capital received fees, but no warrants for the latest placement. Does Allenby still hold any outstanding warrants? Answer: Yes, Allenby Capital holds 115 million warrants at an exercise price of 0.15p per share, which will provide, when exercised, £172,500 of additional funding for CAP-XX. Question Twenty-Five: Are there institutions or high-net-worth investors holding more than 3% of CAP-XX stock? Answer: High-net-worth individuals over 3% have an obligation to announce via a TR-1 disclosure. Dr. Graham Cooley has done so and is currently the only one. Institutions have a higher disclosure threshold of 5%, and none have done so to date.
We are actively working to attract institutional investors. Question Twenty-Six: When will CAP-XX provide financial forecasts or a trading update? Answer: We plan to release a trading update later in February 2025. Question Twenty-Seven: Will Schurter place large inventory orders with upfront payments? Answer: Commercial details are confidential, but we very much value Schurter as a strategic partner. Question Twenty-Eight: Are CAP-XX supercapacitors too large for mobile phones? Answer: No. Our SMT technology allows for compact designs suitable for integration into mobile devices. Question Twenty-Nine: Are large-volume design wins progressing? Answer: We are hopeful of progress on high-volume design wins during this calendar year. Question Thirty: What is the status of the two patents filed in December 2023? Answer: These patents are currently under review as they move towards grant, and we will provide updates as they progress. Question Thirty-One: Why does CAP-XX use the hashtag #VentureCapital on LinkedIn?
Answer: This is part of our strategy to increase visibility and attract investor interest. Question Thirty-Two: Has Spire Health ceased operations? Answer: We cannot comment on Spire Health's business status. Question Thirty-Three: Are new distributors significantly impacting sales? Answer: New distributor partnerships are contributing very positively to sales growth. Question Thirty-Four: Why do customers choose competitors over CAP-XX? Answer: Customer supplier choices are driven by numerous factors, including product specifications and supply chain considerations. Question Thirty-Five: Will CAP-XX publish independent product comparisons? Answer: Our data sheets highlight competitive advantages, but third-party reviews are beyond our control, and that data is often confidential. Question Thirty-Six: Are there plans to move production to Europe? Answer: No. We are committed to maintaining production in Australia. Further factory relocation is an expensive and risky undertaking. Question Thirty-Seven: How will CAP-XX restore shareholder value?
Answer: We are focused on revenue growth, strategic partnerships, and operational efficiency to rebuild value. Question Thirty-Eight: What are CAP-XX's 2025/26 objectives? Answer: Our 2025/26 goal is to grow market share and achieve cash flow positive operation. That is the end of the questions we have received, and there are no more questions that have come through on the system live. So, on that basis, I declare the meeting closed and thank you very much for your attendance and interest in CAP-XX. Thank you.
Fantastic, Pat. Thank you and the board for updating attendees today. Could I please ask attendees not to close this session? You'll be automatically redirected to provide your feedback in order the team can better understand your views and expectations. This meeting will take a few moments to complete, and it is greatly valued by the company. On behalf of the board of CAP-XX Limited, I'd like to thank you for attending today's annual general meeting proceedings, and good morning to you all.