EERP European Equity Research Partners, S.L. European Equity Research Partners Powell Simon Simon Powell Head of Research simon.powell@europeanequityresearch.com Flash note · BUY · Target price €8.00 · Issuer-sponsored research Virtualware completed the acquisition of Virtalis Holdings Limited on 28 September 2026. This is its second acquisition, after Simumatik in October 2024, and its largest. It paid €4.95m cash and assumed €1.3m of debt, with enterprise value of €6.25m, or 1.58× Virtalis’s FY26 revenue and 7.2× its adjusted EBITDA. The post acquisition group now lifts its pro forma 2026 revenue to €10.3m against €6.3m standalone. The UK now becomes its largest single market. Our estimated full year 2026 earnings fall, because only three months of Virtalis earnings consolidate which is less than the €337k of transaction costs. 2026E EPS goes from €0.16 to €0.09. From 2027 the deal is earnings accretive by around 14%. Our target price remains unchanged at €8.00, we reiterate BUY. Virtualware completed the acquisition of Virtalis Holdings Limited on 28 September 2026. It paid €4.95m cash and assumed €1.3m of debt, with enterprise value of €6.25m, or 1.58× Virtalis’s FY26 revenue and 7.2× its adjusted EBITDA. Due to the transaction costs, there is a 46% dilution in 2026, but from 2027 it is 14% accretive on a like-for-like basis. Our target price remains unchanged at €8.00, we reiterate BUY. 10 application/pdf virtualware-eerp-flash-note-22-october-2026.pdf https://www.europeanequityresearch.com/research/virtualware/virtualware-eerp-flash-note-22-october-2026.pdf text/html Virtualware: Manchester Calling (HTML) https://www.europeanequityresearch.com/research/virtualware/2026-10-22-flash-note Information Technology Euronext Growth Paris Euronext Growth Paris EUR 8.00 EUR Euronext Growth Paris, close of 16 October 2026 (reference price of the report) 5.25 EUR -0.060.090.320.380.47 4542000 EUR 7.50 EUR 4.00 Virtualware 2007 SA BUY BUY: expected total return of +15 % or more over a 12-month horizon. Virtualware 2007 SA Virtualware Flash note Copyright 2026 European Equity Research Partners, S.L. (EERP). General disclaimer and remuneration model. European Equity Research Partners, S.L. ("EERP") is an independent equity research firm domiciled in Spain and subject to European Union regulation. 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The definition of our ratings, the investment horizon and the sensitivity of the target price to our valuation inputs are available free of charge at https://www.europeanequityresearch.com/research. The key risks to this recommendation are set out in our initiation of 22 June 2026 and in this report. EERP recommendations on this issuer over the previous twelve months: 22 June 2026, Simon Powell, BUY, target price €7.42, market price at dissemination €5.58, twelve month validity; 30 July 2026, Simon Powell, BUY, target price €8.00, market price at dissemination €4.98, twelve month validity; 22 October 2026, Simon Powell, BUY, target price €8.00, reference price €5.25, twelve month validity. Prices, review and dissemination. All prices used in this report are closing prices on Euronext Growth Paris. The reference price for Virtualware is €5.25 as at the close on 16 October 2026. Production was completed on 22 October 2026 at 12:44 CET and disseminated shortly thereafter. 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