Zenith Energy

Zenith Energy Ltd. (“Zenith” or the “Company”) announced on November 3, 2026, that the Company has received an updated independent valuation of its Italian solar development pipeline from Gruppo Amira S.r.l.s., a Genoa-based consultancy specializing in the Italian energy sector. The valuation assigns a value of EUR 85.6m to the approximately 238 MWp pipeline. This represents an increase of 56 % from the EUR 54.7m valuation announced on March 31, 2026, and of 211 % from the EUR 27.5m valuation announced on December 4, 2025. The total agreed acquisition consideration for the pipeline amounts to EUR 22.1m, or approximately EUR 93,000 per MWp. Zenith further stated that it expects to complete its first disposals of solar assets, comprising approximately 89 MWp in Piedmont and Lazio, between February and April 2027, with expected gross proceeds of approximately EUR 28.3m. On October 30, 2026, the Company also announced the addition of a new 5 MWp photovoltaic development project in the Province of Foggia, Puglia, which brings the pipeline close to its target of 240 MWp by the end of 2026.

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Conclusion

In Analyst Group’s view, the updated independent valuation provides further confirmation of the value being created within Zenith’s Italian solar platform. The valuation has increased by 56 % in seven months, driven both by the expansion of the pipeline and by a like-for-like increase of approximately 18 % in value per MWp. Meanwhile, the acquisition considerations become payable only as projects secure the required permits. Of particular significance, the expected first disposals have been priced at a premium of approximately 6 % to the independent value per MWp applied in March 2026. This provides tangible market support for the valuation and a clear path toward converting development value into non-dilutive cash. With the first Puglia plants expected to generate revenue at the beginning of 2027 and the pipeline within reach of the 240 MWp target, Analyst Group views 2027 as the year in which Zenith’s solar strategy is expected to move from value creation to value realization.

Analyst Group’s View on the Valuation Update and Pipeline Expansion

The increase in the valuation reflects two drivers. First, the pipeline has grown from 173.5 MWp to approximately 238 MWp, including approximately 65 MWp of newly acquired, early-stage projects. Second, the indicative values per MWp have increased by approximately 18 % on a like-for-like basis. Permitting-phase projects are now valued at EUR 354,000 per MWp, compared with EUR 300,000 in March, and projects at Ready-to-Build (“RtB”) stage or under construction at EUR 590,000 per MWp, compared with EUR 500,000. The Company attributes this to higher Italian electricity forward prices, which rose by approximately 58 % between March and October 2026 to EUR 173.96 per MWh on the EEX. That the valuer has reflected only part of this price increase indicates, in Analyst Group’s view, a measured approach that supports the robustness of the valuation. Notably, the average value per MWp has risen from approximately EUR 315,000 to EUR 360,000 despite the addition of early-stage projects. At approximately 3.9x the agreed acquisition consideration, the valuation also underlines the capital efficiency of Zenith’s model, under which value is created without committing significant acquisition capital in advance. Analyst Group notes that the valuation has been prepared by an external valuer on behalf of the Company and is separate from Analyst Group’s own valuation of Zenith. It nevertheless provides a useful independent reference point for the value embedded in the platform.

The cash generation strategy outlined alongside the valuation is, in Analyst Group’s view, equally important. The first disposals, expected between February and April 2027, comprise approximately 89 MWp in Piedmont and Lazio at expected gross proceeds of approximately EUR 28.3m, or approximately EUR 318,000 per MWp. According to Zenith, these projects were acquired for approximately EUR 9m. The proceeds are intended to support the progression of the retained pipeline of approximately 149 MWp toward construction and production, reinforcing the self-funding character of the strategy. Together with the first Puglia plants, which are under construction and expected to begin generating revenue at the beginning of 2027, this positions Zenith to realize value from its solar platform through both disposals and electricity production.

The new Foggia project strengthens Zenith’s position in Puglia, where its first plants are under construction. The project covers approximately 8 hectares at EUR 70,000 per hectare, for a total consideration of approximately EUR 560,000, payable only once the project achieves RtB status. The Company expects the project to proceed under a simplified authorization procedure and estimates that RtB status, including grid connection and final design, could be reached within approximately 8 to 10 months. Zenith also anticipates a comparatively straightforward grid connection with limited associated infrastructure costs. The indicative values in the independent valuation show a step-up from EUR 354,000 to EUR 590,000 per MWp as projects progress from the permitting phase to RtB. In Analyst Group’s view, this underlines the value of the Company’s focus on projects that can advance quickly toward construction readiness.