Damon Completes First Major Milestone in HyperSport Race Program with Engines Engineering

• Successfully completes HyperSport Race Concept Definition Phase on schedule
• Provides Upcoming Milestones and Timelines
• Strategic partnership with Engines Engineering intended to accelerate innovation and capital efficiency
• Technical groundwork set for anticipated rapid execution of engineering and prototyping phases
• Broadening business model beyond motorcycles, targeting multiple personal mobility and technology markets

VANCOUVER, BC, May 28, 2025 /PRNewswire/ - Damon Inc. (OTC PINK: DMNIF) ("Damon" or the "Company"), a designer and developer of electric motorcycles and other personal mobility products that seek to empower the personal mobility sector through innovation, today announced a major milestone in its accelerated HyperSport Race ("HS Race") development program. In collaboration with renowned Italian engineering firm Engines Engineering, Damon has successfully completed the foundational Concept Definition Phase of the HS Race project, establishing a basis for rapid, capital-efficient innovation and technology validation. Initial product is expected to remain on schedule for 2026.

Concept Definition Phase reaching 100% complete included:

• Full 3D digital model of the HS Race, defining geometry, dimensions, and key structural components.
• Finalized technical specifications, establishing performance benchmarks for power, speed, battery, and safety.
• Preliminary Bill of Materials (BOM) created for efficient sourcing and production planning.
• Motorcycle system architecture mapped out, integrating power, electronics, and controls.
• Dashboard system selected and integrated, designed to deliver an intuitive rider experience.

This foundational work is expected to provide a robust platform for all subsequent engineering and manufacturing activities.

"We believe the HyperSport Race program provides an optimal platform for rapid validation of our HyperSport technology stack," said Dom Kwong, Interim CEO of Damon. "Our partnership with Engines Engineering, whose racing expertise is helping us push the boundaries of electric powertrain performance, is intended to accelerate our execution and enhance efficiency.  Completing the Concept Definition Phase marks a significant milestone, laying the groundwork for accelerated engineering and prototyping of the HyperSport Race."

Upcoming Milestones and Timeline

The key upcoming phases and expected timeline of the HS Race program are as follows:

Damon plans to provide updates as each milestone is reached, reflecting its commitment to transparency and accountability as the Company progresses through its 12-phase development roadmap. With phase 1 complete, initial product is expected to remain on schedule for 2026.

By leveraging its modular technology platform, proprietary Damon I/O technology and partnership with Engines Engineering, Damon has streamlined expected development costs to be well below traditional industry benchmarks. Damon expects the HyperSport Race program to serve as a technology demonstrator for its advanced electric powertrain, AI-enabled safety systems, and the Damon I/O data intelligence platform, validating them in high-performance, real-world conditions.

Damon's operational focus extends well beyond motorcycles. The Company's mission is to power sustainability and safety through next-generation personal mobility products and intelligent data solutions. The Damon I/O technology enables real-time data collection and contextual analysis across its products, creating new opportunities for licensing, data-driven services, and expanded revenue streams.

Progress with our HS Race program supports Damon's execution of its diversified business plan, which is centered on four core verticals: Data Intelligence, Personal Mobility, Licensing & Engineering Services, and Special Projects. We believe Damon's focus on sustainable transportation solutions, proprietary safety technologies, and operational efficiency positions the company strongly for future growth and value creation.

About Damon

Damon Inc. is a designer and developer of personal mobility products and technology solutions that integrate AI-driven safety systems, smart electrification, and user-driven design to revolutionize sustainable transportation. Operating across four potential revenue verticals - Data Intelligence & Services, Engineering Services, Personal Mobility Products, and Special Projects – Damon believes it is positioned to capture a significant share of the $40B global electric two-wheeler market by 2030¹. The company distinguishes itself through its integrated ecosystem approach, combining advanced data analytics, engineering expertise, and strategic partnerships with OEMs and Tier 1 suppliers. Damon emphasizes accessible mobility solutions while leveraging its proprietary AI-driven safety systems and intelligent energy management technology to deliver superior performance and operational efficiency in the urban and business mobility space. For more information, please visit damon.com.

FORWARD LOOKING STATEMENTS

This press release contains forward-looking information or forward-looking statements under applicable Canadian and U.S. securities laws (collectively, "forward-looking statements") that reflect current expectations and projections of Damon Inc. ("Damon") about its future development. When used in this press release, forward-looking statements can be identified by the use of words such as "may," or by such words as "will," "intend," "believe," "estimate," "consider," "expect," "anticipate," and "objective" and similar expressions or variations of such words. Forward-looking statements in this press release include, but are not limited to, statements relating to our strategic initiatives, the anticipated development timeline, expected benefits, and cost efficiencies of the HS Race program, revenue expansion plans, business model evolution, and expected efficiency improvements and growth. Forward-looking statements are, by their nature, not guarantees of Damon's future operational or financial performance and are subject to risks and uncertainties and other factors that could cause Damon's actual results, performance, prospects, or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. No representation or warranty is intended with respect to anticipated future results, or that estimates, or projections will be sustained.

In developing the forward-looking statements in this press release, we have applied several material assumptions, including the general business and economic conditions of the industries and countries in which Damon operates, and general market conditions. Many risks, uncertainties, and other factors could cause the actual results of Damon to differ materially from the results, performance, achievements, or developments expressed or implied by such forward-looking statements. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to, our history of losses, our ability to implement our growth strategy, generate revenue and achieve profitability, our limited operating history with recent acquisitions, our ability to obtain adequate financing as needed, our ability to continue as a going concern, our status as a foreign private issuer, impact of our recent delisting from Nasdaq, our ability to establish and sustain an active trading market on an over-the-counter market maintained by OTC Markets Group Inc., customer demand for or acceptance of our products and services, the impact of competitive or alternative products, technologies, and pricing, emerging competition and rapidly advancing technology that may outpace our own, our ability to manufacture or distribute products and secure strategic supply and manufacturing arrangements, our ability to protect our intellectual property, impact of any changes in existing or future regulatory and tax regimes applying to our business, our ability to successfully consummate strategic transactions and integrate companies or technologies we acquire, our ability to attract and retain management and employees with specialized knowledge and technical skills, our ability to develop and maintain effective internal controls, general economic conditions and events and the impact they may have on us and our customers, including but not limited to escalating tariff and non-tariff trade measures imposed by the United States and other countries, increases in inflation rates and rates of interest, supply chain challenges, increased costs for materials and labor, cybersecurity threats, and conflicts such as those in Russia/Ukraine and Israel/Hamas, our success at managing the risks involved in the foregoing items, and other risk factors discussed in our periodic and current reports and registration statements filed with the U.S. Securities and Exchange Commission and the British Columbia Securities Commission.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of the press release or as of the date otherwise specifically indicated herein. Due to risks and uncertainties, events may differ materially from current expectations. Damon disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required pursuant to applicable securities law. All forward-looking statements contained in the press release are expressly qualified in their entirety by this cautionary statement. 

SOURCE DAMON Motors Inc.