Newsletter Q3 2025

Dear WelMac Circle,

A bit later than usual I am happy to send you our latest newsletter. We are a bit late because had to wait to receive some confirmation from NXChange which we wanted to share with you in this newsletter. Even though harvest is finished and it’s a bit more quiet in South Africa, a lot of things are happening in our company which we are happy to share with you here. We have a certificate split in the planning for our listing on NPEX to improve liquidity on the secundairy market, we have a few ‘new’ faces getting involved in certain aspects of the company and of course an extensive update from South Africa.

I hope you enjoy the read!
Nicolas

(Re-) Introduction Nick Grooss as Head Investor Relations

With the ever-increasing growth of the trees, we expect to harvest a larger quantity of nuts each harvest season. For example, a harvest of over 300,000 kilos of nuts in the shell (NIS) is expected for next year, which is expected to more than double over the next 5 years to approximately 660,000 kilos in 2031/2032. It is expected that this will generate a turnover of approximately €3,000,000 per year.

As a result, the organization needs to prepare for more trading and more activity across the organization and worry less about raising growth capital. This will also lead to an increase in personnel and equipment at Welgevonden in the future.

A report commissioned by Invest International has revealed, among other things, the areas in which WelMac will have to carry out this transition meticulously in order to be able to cope with the organization's growth commercially. From this perspective, a number of management-level positions have been included, which will be filled for the time being by experienced entrepreneurs from various disciplines.

Wim van der Eijk will be responsible for the marketing and sales of the products we produce at Welgevonden. As a partner of a major wine producer and distributor, Baarsma Holding BV, Wim managed various commercial subsidiaries and was involved in the founding of Wijnvoordeel.com. Wim has been a shareholder of WelMac since 2018 and, since this year, one of the directors of the WelMac Administration Office Foundation.

Furthermore, the already well-known founding partner Nick Grooss Sr. has again made himself available to supervise a number of projects within the Investor Relations discipline. Nick and Nicolas founded WelMac together 10 years ago, with Nick serving as CEO for the first five years. Nicolas has led the company as CEO for the past five years and brought it to where WelMac is today; one of the larger and most sustainable players in the macadamia market in South Africa.

After the departure of Donald Boers as CFO, the board decided, for reasons of efficiency and cost savings, to transfer most of the Finance and Accounting functions to South Africa, the beating heart of the company.

Adelé de Toit, who has been responsible for the financial administration and accounting for WelMac Pty Ltd for several years, will now also perform these tasks at the holding company level and will also take charge of the various other subsidiaries. Adelé is trained as an accountant but has many years of experience in financial management.

In the Netherlands, the remaining CFO tasks will be taken over by experienced consultants within our own network. Together with Roodhals Capital and ForestEffect Fund, the company will seek a strategic partner to co-invest in the further development of Welgevonden, the processing of the nuts, and the planting of the remaining 330 hectares.

Of course, Herman Claassens, our COO, is still responsible for the day-to-day running of Welgevonden, together with Trichardt Erasmus, the production manager. He leads the team working on the farm and oversees the production, development and processing of the nuts. With their dedication and enthusiasm, they continue to motivate and guide all employees at Welgevonden.

Update South Africa

Climate

The winter period had less rainfall that the past but we as we transitioned into spring and early summer we started to receive small but frequent rain spells.

Orchards

The farm is preparing for the 2026 season and the flower set on all the orchards was very good. The orchards are now going into the period of nut set and at the same time our pest and disease control program comes into full swing.

As part of our biological pest and disease control program we had to start with moth prevention and we followed the process of setting out 1000 eggs of a predatory mite on every 13^th tree which in turn lays an egg in the eggs of the moths.

In the photos below you can see the eggs of the mites on the little paper strips which are set out in each tree. These practices are very successful and is cost competitive compared to traditional chemical pest control. This practice does however require manual labor and is very time sensitive as with all the pest and disease control practices. The farmers have only small time windows to put out predators to enable them to have a fighting change.

Our practices are improving year on year and the quality of our nuts are proof of the dedication of the production team’s hard work.

WelMac quality

Below is a graph with the yearly data of WelMac compared to the regional ( Levubu) and national averages and it is clear that WelMac outperforms the region and competes very well with the national average which is driven by Mpumalanga and KwaZulu Natal.

New developments

In past newsletters we mentioned that after good consideration the management and operational team decided at the end of 2024 to remove two sections of non performing mature trees in blocks 2 and 4 totaling 20ha and replace them with a new cultivar which we have in the nursery.

The old Pahala variety could not achieve a yield above 1,2T/ha year on year and did not make any economical sense to keep. Below are photos of the new trees going into the ground. The trees we are planting are already bigger than the traditional size as we had these trees in stock in the nursery during the market downturn.

Planting them a little bigger will reduce tree losses and possibly win some time for them to come into production.

Visits

We had a great visit from the STAK chairman Edwin Huybers and his wife Monique as well as Wim van der Eijk and his wife Jos who visit us frequently. We took them through the farm which I believe was a very insightful experience. We invite more shareholders to visit the farm during operational times to experience the operation first hand.

Certificate Splitting

WelMac intends to split its share certificates from 1 to 20. If you currently hold 10 certificates, you will therefore have 200 certificates of shares in WelMac after the split. This will ensure more (tradable) certificates and therefore more liquidity. The split also results in a lower price per certificate, making the share certificates more accessible to a larger group of investors. The notary has already started drafting the necessary documents, including amendments to the articles of association and administrative conditions. The split will take place before trading begins on NPEX.

With this, WelMac ensures that the listing and trading of WelMac share certificates begins with proper preparation, greater liquidity and visually smaller price fluctuations.

Together with the board of NPEX stock exchange, we believe this is better for WelMac and all its stakeholders.

The certificate split does mean that trading on NPEX has been postponed for a limited period and has therefore not yet started. WelMac and NPEX understand that certificate holders want to see trading completed as quickly as possible and will therefore do their utmost to complete the transfer process as quickly as possible so that the split and trading of the certificates can be effected. Trading is expected to commence no later than January 2026.

STAK WelMac on the certificate split

Below is a message from Edwin Huybers, chairman of the WelMac Administration Office Foundation, about the certificate split and listing on NPEX.

Building transparency and tradability together

Over the past few months, we, the board of STAK WelMac, have taken the time to thoroughly inform ourselves about the proposed split of one certificate into twenty and the further transition of our certificates to the NPEX trading platform. After careful discussion, the board has unanimously decided to agree to this certificate split.

We see this as a positive and logical step forward. The split contributes to better tradability of the certificates, increases accessibility for investors and strengthens transparency within our structure. This development is therefore not only good for WelMac as a company, but certainly also for you as a certificate holder.

At the same time, it remains important that as many certificate holders as possible realise their position on NPEX. At this moment, not everyone is registered yet, while broad participation increases the strength of our structure. I would therefore like to encourage every certificate holder, if they have not yet done so, to open an NPEX account. This is valuable for several reasons:

• You gain immediate insight and overview of your certificates via the trading platform.
• You can sell or buy more easily, which increases the liquidity of the certificate.
• You contribute to a fair and representative trading volume that makes price developments more stable.
• And you help create a transparent and future-proof structure for WelMac and all its certificate holders.

As the STAK board, we remain committed to a careful and balanced process in which the interests of all certificate holders are paramount. Together we are building a stable foundation for the next phase of growth and professionalization of WelMac.

Update NPEX

Het is sinds september 2025 mogelijk om uw certificaten van aandelen in te brengen op NPEX via het inbrengformulier, helaas zijn nog niet alle certificaten ingebracht. De notering van de certificaten van aandelen op NPEX is, mede vanwege de voorgenomen certificaatsplitsing en het lage percentage WelMac certificaathouders dat een NPEX-rekening heeft geopend en haar certificaten heeft ingebracht, derhalve uitgesteld. We hopen de handel uiterlijk januari 2026 te kunnen starten. Daarvoor is wel benodigd dat de meerderheid van de WelMac certificaten actief zijn op NPEX.

Open nu kosteloos uw NPEX-rekening en koppel uw certificaten

Als u dit nog niet heeft gedaan, verzoeken we u dan ook om een NPEX-rekening te openen via deze link. Nadat u de vragenlijst hebt voltooid en een verificatiestorting hebt verricht, ontvangt u inloggegevens voor uw NPEX-rekening. Via deze link kunt u vervolgens uw certificaten aan uw NPEX-rekening laten koppelen. Heeft u vragen over uw NPEX-rekening of de koppeling van uw WelMac certificaten? Dan kunt u contact opnemen met de klantenservice van NPEX via info@npex.nl of 085-0074310.

Let op: privérekening, gezamenlijke rekening of zakelijke rekening?

U kunt bij NPEX een privérekening, een gezamenlijke rekening of een zakelijke rekening openen. De certificaten van aandelen in WelMac hebt u altijd privé of zakelijk bij ons gekocht. Indien u de certificaten privé hebt aangekocht, maar vervolgens aan een gezamenlijke NPEX-rekening laat koppelen, worden de certificaten daarmee gezamenlijk. Als u de certificaten privé hebt aangekocht, maar vervolgens aan een zakelijke NPEX-rekening koppelt, komen de certificaten op naam van uw onderneming. Dit is niet de bedoeling, o.a. vanwege het risico op en de wettelijke vereisten omtrent fraude en witwassen. We verzoeken u dan ook om de certificaten op een NPEX-rekening te zetten die overeenkomt met de tenaamstelling van de certificaten van aandelen.

Update Nxchange

Er is inmiddels overeenstemming met Nxchange over de overdracht van de certificaten van aandelen in WelMac van Nxchange naar NPEX. U ontvangt in november 2025 bericht over van Nxchange.

Nadat u bericht van Nxchange hebt ontvangen over de verplaatsing van de certificaten kunt u via uw Nxchange account of via de link uit de te ontvangen e-mail aangeven dat u uw WelMac certificaten wilt verplaatsen van Nxchange naar NPEX. Indien u uw stukken inderdaad wenst te verplaatsen van Nxchange naar NPEX adviseren we u om dit zo snel mogelijk te doen. Gedurende een beperkte periode na ontvangst van de e-mail van Nxchange zal de verplaatsing van de certificaten namelijk kosteloos zijn. Klanten met certificaten van aandelen die op Nxchange zijn genoteerd, ontvangen in november 2025 individueel bericht met nadere details.

Vooruitlopend op de e-mail van Nxchange, kunt u alvast een NPEX-rekening openen via deze link. Nadat u de vragenlijst hebt voltooid en een verificatiestorting hebt verricht, ontvangt u inloggegevens voor uw NPEX-rekening, zodat de certificaten, indien en nadat u daar akkoord voor geeft via uw Nxchange account, verplaatst kunnen worden naar uw NPEX-rekening. Deze verplaatsing zal gezamenlijk plaatsvinden voor alle WelMac beleggers die op dat moment een actieve en geopende NPEX-rekening hebben én het verzoek hebben gedaan om de certificaten te verplaatsen. De verplaatsing zal derhalve naar verwachting begin januari 2026 plaatsvinden.

Let op: Indien u niet binnen de in de e-mail van Nxchange genoemde termijn reageert of aangeeft de certificaten niet te willen verplaatsen naar NPEX, blijven uw stukken op Nxchange staan. Echter, de WelMac-pagina zal offline gaan en de handel op Nxchange zal worden stopgezet. U kunt later alsnog besluit om uw stukken naar NPEX te laten verplaatsen, echter dan zult u zelf de kosten hiervoor moeten dragen. De kosten bedragen minimaal 55 euro, zie deze link voor de actuele tarieven van Nxchange.

Dividendbeleid

WelMac verwacht vanaf 2028 dividend uit te kunnen keren aan haar aandeelhouders en certificaathouders en heeft derhalve dividendbeleid opgesteld. U kunt het dividendbeleid via deze link lezen.

Chilled Macadamia Soup Recipe

Serves: 4
Time: 20 + 180 minutes
Equipment: Blender or food processor

Ingredients:

• 200 grams macadamia nuts (unsalted and unroasted), chopped
• 1 medium potato, chopped
• ½ leek, light part only, sliced ​​into rings
• 1 small onion, chopped
• 500 ml vegetable stock
• 150 ml heavy cream
• Hazelnut or walnut oil
  

How to make it:

1. Preheat the oven to 180°C (350°F) and spread 2 tablespoons of the nuts on a baking sheet and toast them until golden brown.
2. Chop finely and reserve.
3. Place the potato, leek, onion, and stock in a large saucepan and bring to a boil.
4. Reduce the heat and simmer for 20 minutes, or until the potatoes are tender.
5. Remove the pan from the heat and let it cool slightly.
6. Add the remaining macadamia nuts and purée the soup in batches in a food processor or blender until smooth.
7. Stir in the cream and season with salt and pepper.
8. Let it cool, then refrigerate until thoroughly chilled.
9. Serve chilled in glasses or bowls.
10. Sprinkle with a little hazelnut or walnut oil and sprinkle with the roasted nuts.