Stryten Energy Inks Licensing Agreement with Dragonfly Energy to Launch Its Battle Born Batteries® Brand of Lithium-Ion Batteries into New Consumer Retail Markets

Stryten Energy will have exclusive rights to market and distribute Battle Born Batteries for military, automotive, marine, power sports, lawn & garden and golf cart applications

Stryten Energy LLC, a U.S.-based manufacturer of advanced energy storage solutions, today announced a strategic partnership with Dragonfly Energy Holdings Corp. (NASDAQ:DFLI), an industry leader in green energy storage, to license Dragonfly Energy's Battle Born Batteries brand of lithium-ion batteries. The terms of the agreement, estimated at potentially more than $30 million, will grant exclusive licensing rights to Stryten to market and distribute Dragonfly Energy's Battle Born Batteries globally in most business-to-business markets and provide domestic contract manufacturing of Battle Born Batteries products for sale by Stryten Energy.

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From left to right: Mike Judd, Chief Executive Officer and President, and Petar Oklobdzija, Executive Vice President and Chief Financial Officer. (Photo: Business Wire)

"The addition of Dragonfly Energy's Battle Born Batteries into our transportation product portfolio provides our customers access to a well-known brand of quality lithium batteries. With this partnership, Stryten now has a complete lithium battery portfolio to meet our customer needs across multiple industries," said Mike Judd, CEO and President of Stryten Energy. "Dragonfly Energy's mission to produce American-made lithium batteries complements Stryten's vision to provide our customers access to a domestic supply chain and circular economy for lithium batteries."

This partnership will provide Stryten's customers with a one-stop shop for all battery technologies and answer the growing consumer demand for batteries that last multiple seasons, particularly in marine, golf cart and power sports applications. Stryten will distribute a mix of existing Battle Born Batteries assembled at Dragonfly Energy's Northern Nevada facility and jointly develop new battery models specifically tailored to Stryten's target markets.

"At Dragonfly Energy, we're incredibly proud to see the Battle Born Batteries brand take this leap forward into new end markets," said Dr. Denis Phares, Chief Executive Officer of Dragonfly Energy. "The love and trust our customers have placed in our products has been humbling, and the potential to see our lithium batteries on shelves at major retailers, alongside other leading brands' components, not only is a testament to their enduring quality but makes them more accessible to consumers nationwide. We believe that Stryten's extensive reach and shared commitment to innovation will make this agreement the beginning of a truly mutually beneficial relationship, and we're confident it will unlock increased growth for both companies."

The partnership creates a strong footprint for a U.S.-based vertically integrated supply chain and an end-of-life battery collection and recycling program for consumer lithium batteries in the retail aftermarket. Stryten will also provide its customers access to its lithium battery collection and recycling services based on its current sustainable lead battery circular economy model. This will ensure that consumer lithium batteries returned to retail locations are safely collected and either disposed of or recycled, preventing them from ending up in landfills.

"Stryten Energy is investing in domestic lithium battery assembly to support its next-generation lithium battery production for military, essential power and industrial applications," added Judd. "This partnership creates a path for Stryten to incorporate Dragonfly Energy's future production of lithium battery cells in North America into batteries assembled in our facilities, a critical component to establishing a strong industrial base and achieving our country's energy independence and sustainability goals."

Stryten will utilize the Advanced Manufacturing Production Credits provided in Section 45X of the Internal Revenue Code to accelerate its investment in building its domestic lithium battery assembly production. Stryten plans to source 100 percent domestically made lithium cells as the U.S. lithium battery supply chain and manufacturing capabilities mature. Production will launch in early 2025 and initially will support Stryten's military and industrial customers.

About Stryten Energy

Stryten Energy helps solve the world's most pressing energy challenges with a broad range of energy storage solutions across the Essential Power, Motive Power, Transportation, Military and Government sectors. Headquartered in Alpharetta, Georgia, we partner with some of the world's most recognized companies to meet the growing demand for reliable and sustainable energy storage capacity. Stryten powers everything from submarines to subcompacts, microgrids, warehouses, distribution centers, cars, trains and trucks. Our stored energy technologies include advanced lead, lithium and vanadium redox flow batteries, intelligent chargers and energy performance management software that keep people on the move and supply chains running. An industry leader backed by more than a century of expertise, Stryten has The Energy to Challenge the status quo and deliver top-performing energy solutions for today and tomorrow. Learn more at stryten.com.

About Dragonfly Energy

Dragonfly Energy Holdings Corp. (NASDAQ:DFLI) is a comprehensive lithium battery technology company, specializing in cell manufacturing, battery pack assembly, and full system integration. Through its renowned Battle Born Batteries® brand, Dragonfly Energy has established itself as a frontrunner in the lithium battery industry, with hundreds of thousands of reliable battery packs deployed in the field through top-tier OEMs and a diverse retail customer base. At the forefront of domestic lithium battery cell production, Dragonfly Energy's patented dry electrode manufacturing process can deliver chemistry-agnostic power solutions for a broad spectrum of applications, including energy storage systems, electric vehicles, and consumer electronics. The Company's overarching mission is the future deployment of its proprietary, nonflammable, all-solid-state battery cells. To learn more about Dragonfly Energy and its commitment to clean energy advancements, visit www.dragonflyenergy.com/investors.

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