ATS Acquires Intellectual Property Assets of VASPAC

CAMBRIDGE, ON, Feb. 22, 2022 /CNW/ - ATS Automation Tooling Systems Inc. (TSX: ATA) ("ATS" or the "Company"), an industry-leading automation solutions provider, today announced the acquisition of the intellectual property ("IP") assets of VASPAC Inc. ("VASPAC"), a Canadian-based organization that focuses on software quality assurance and specialized consulting to the nuclear industry. The financial terms of the transaction were not disclosed.

VASPAC joins ATS' Industrial Automation business and will support the Company's nuclear strategy as well as create new synergies through overlapping customers and expanded portfolio offerings. The addition of the IP assets of VASPAC is expected to provide ATS with greater access to nuclear projects requiring safety categorized software, and benefit from the strong reputation that VASPAC has earned since its founding in 2003.

"We are constantly looking to expand our value proposition for customers in the nuclear industry," said Udo Panenka, President of ATS Industrial Automation. "With the expanded capabilities brought on by VASPAC, together with our global scale and the ability to leverage the ATS Business Model and our continuous improvement mindset, this acquisition offers great opportunities for us, in particular around the role of digitization to support our overall strategic road map."

Key employees of VASPAC will join the ATS Industrial Automation operations in Cambridge, and VASPAC's CEO Keith Bradshaw will support the transition.

About VASPAC
VASPAC was founded in 2003 to provide process control solutions for the Nuclear Power Generation market, specializing in nuclear safety-related software. Leveraging an extensive power generation and formal software development background, VASPAC has developed nuclear-grade solutions which are considered the gold standard amongst clients. For more information, visit VASPAC's website www.vaspac.ca.

About ATS
ATS is an industry-leading automation solutions provider to many of the world's most successful companies. ATS uses its extensive knowledge base and global capabilities in custom automation, repeat automation, automation products and value-added services, including pre-automation and after-sales services, to address the sophisticated manufacturing automation systems and service needs of multinational customers in markets such as life sciences, food & beverage, transportation, consumer products, and energy. Founded in 1978, ATS employs over 6,000 people at more than 50 manufacturing facilities and over 75 offices in North America, Europe, Southeast Asia and China. The Company's shares are traded on the Toronto Stock Exchange under the symbol ATA. Visit the Company's website at www.atsautomation.com.

Forward-Looking Statements:
This news release contains certain statements that constitute forward-looking information within the meaning of applicable securities laws ("forward-looking statements"). Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of ATS or VASPAC, or developments in either ATS' or VASPAC's business or in their industry, to differ materially from the anticipated results, performance, achievements or developments expressed or implied by such forward-looking statements. Forward-looking statements include all disclosure regarding possible events, conditions or results of operations that is based on assumptions about future economic conditions and courses of action. Forward-looking statements may also include, without limitation, any statement relating to future events, conditions or circumstances. ATS cautions you not to place undue reliance upon any such forward-looking statements, which speak only as of the date they are made.

Forward-looking statements in this press release relate to, among other things: expected benefits that VASPAC will provide. The risks and uncertainties that may affect forward-looking statements include, among others: performance of the market sectors that VASPAC and ATS serve; the progression of COVID-19 and its impacts on the Company's and VASPAC's ability to operate their respective assets, including the possible shut-down of facilities due to COVID-19 outbreaks; the severity and duration of the COVID-19 pandemic in all jurisdictions where the Company and VASPAC conduct business; the nature and extent of government imposed restrictions on travel and business activities and the nature, extent, and applicability of government assistance programs, in both cases related to the COVID-19 pandemic, as applicable in all jurisdictions where the Company and VASPAC conduct business; the impact of the COVID-19 pandemic on the Company's and VASPAC's employees, customers, and suppliers; the impact of COVID-19 on the global economy; general market performance including capital market conditions and availability and cost of credit; foreign currency and exchange risk; the relative strength of the Canadian dollar; impact of factors such as increased pricing pressure and possible margin compression; the regulatory and tax environment; failure or delays associated with new customer programs; that VASPAC's business does not perform as expected or does not generate the anticipated benefits; that one or more customers, or other persons with which ATS or VASPAC has contracted, experience insolvency or bankruptcy with resulting delays, costs or losses; political, labour or supplier disruptions; imposition of new duties, tariffs or other legal barriers; risks relating to legal proceedings to which VASPAC and/or ATS is or may become a party; exposure to product liability claims; risks associated with greater than anticipated tax liabilities or expenses; and other risks detailed from time to time in ATS' filings with Canadian provincial securities regulators. Forward-looking statements are based on management's current plans, estimates, projections, beliefs and opinions, and other than as required by applicable securities laws, ATS does not undertake any obligation to update forward-looking statements should assumptions related to these plans, estimates, projections, beliefs and opinions change.

SOURCE ATS Automation Tooling Systems Inc.

Ryan McLeod, Chief Financial Officer, [phone], [email protected]; Matthew Robinson, Corporate Communications, [phone], [email protected]