NUBURU to Buy Italian Laser Company Lyocon For $2M, Expanding European Engineering and Defense Tech Reach

NUBURU, Inc. (NYSE:BURU) ("NUBURU" or the "Company"), a global pioneer in high-performance blue laser technology, today announced the signing of Binding Heads of Terms ("Binding Agreement") to acquire Lyocon S.r.l. ("Lyocon"), an Italian laser-engineering and photonics company specializing in advanced laser sources, precision optical systems, and customized laser platforms for industrial, medical, and high-reliability applications.

Structured through the wholly owned subsidiary Nuburu Subsidiary, Inc., the acquisition significantly expands NUBURU's European engineering footprint and strengthens the Company's transformation into a vertically integrated Defense & Security Technology Hub spanning lasers, RF systems, mobility platforms, and software-enabled defense architectures. The transaction also deepens the technical foundation supporting NUBURU's ongoing strategic program with Tekne S.p.A. (‘Tekne').

Lyocon Profile & Capabilities

Founded in 2014 and drawing on nearly two decades of combined photonics and laser-system engineering experience, Lyocon is recognized for its ability to design, develop, and produce complete laser systems, not merely components.

Lyocon's technical capabilities include:

• Engineering and manufacturing of direct-diode and DPSS laser sources.
• Wavelength coverage from visible (including 450 nm blue) to near-IR.
• Power ranges from a few watts to multi-kilowatt output.
• In-house design and production of optics, mechanics, electronics, and embedded control software.
• ISO-5 cleanroom for optical assembly and photonics integration.
• Dedicated labs for electronics production, thermal management, and system testing.
• Turnkey customization for OEM and high-reliability industrial, medical, and specialized applications.

Notably, Lyocon's blue-wavelength systems (around 450 nm) deliver performance advantages of up to 10× higher absorption over infrared lasers for metals and specialized materials — aligning directly with NUBURU's core blue-laser IP and accelerating the Company's ability to deploy next-generation products across industrial automation, precision manufacturing, and defense sectors.

Strategic Rationale

The acquisition of Lyocon strengthens NUBURU's position as a comprehensive defense-tech and industrial-laser provider by adding:

• Expanded European engineering, R&D, and production capacity.
• Vertical integration of laser, photonics, RF, and advanced optics programs.
• Accelerated timelines for next-generation laser and defense-grade subsystems.
• Stronger access to EU and NATO-aligned supply chains.
• A broader application portfolio spanning defense, industrial, medical, and critical infrastructure markets.

Lyocon's ability to rapidly customize full-stack laser systems also provides NUBURU with an immediate European manufacturing beachhead capable of supporting government and enterprise customers requiring secure, high-reliability production.

Key Terms of the Signed Binding Agreement

• Total Consideration: USD $2,000,000:
  • $500,000 in cash at Closing;
  • $1,500,000 via a convertible note payable in shares or cash.
• Floor Valuation: $1,500,000 (subject only to material adverse due-diligence findings).
• Due Diligence: Completion of confirmatory due diligence prior to Closing. The $1.5 million floor valuation is subject solely to material adverse findings identified during this pre-closing review.
• Earn-Out: Up to $1,000,000 over five years, tied to revenue, margins, and performance KPIs.
• Capital Infusion: $1,000,000 committed to Lyocon's 2026–2030 Business Plan.
• Governance: Three-member board (two appointed by NUBURU, one by the sellers).
• Target Closing: On or before December 31, 2025.

Founders Paola Zanzola and Alessandro Sala will remain in management roles and serve as technical and operational advisors across the NUBURU group.