Navitas SPAC Presentation Deck

Risk Factors Related to Navitas (Cont'd) Important Disclosures RISKS RELATED TO NAVITAS' BUSINESS (CONT'D) The success of some of Navitas' products are dependent on Navitas' customers' ability to develop products that achieve market acceptance, and Navitas' customers' failure to do so could negatively affect Navitas' business, financial condition, and results of operations. ■ ■ ■ ■ · ■ ■ ■ ■ ■ ■ I ■ ■ ■ ■ Navitas If Navitas' products do not conform to, or are not compatible with, existing or emerging industry standards, demand for its products may decrease, which in turn would harm Navitas' business and operating results. Reliability is especially critical in the power semiconductor industry, and any adverse reliability result by Navitas with any of its customers could negatively affect Navitas' business, financial condition, and results of operations. Because Navitas does not have long-term purchase commitments with its customers, orders may be cancelled, reduced, or rescheduled with little or no notice, which in turn exposes Navitas to inventory risk, and may cause its business, financial results and future prospect to be harmed. The complexity of Navitas' products could result in unforeseen delays or expenses from undetected defects, errors or bugs in hardware or software which could reduce the market adoption of Navitas' products, damage its reputation with current or prospective customers and adversely affect its operating costs. Warranty claims, product liability claims and product recalls could harm Navitas' business, results of operations and financial condition. Navitas relies on a single third-party wafer fabrication facility for the fabrication of semiconductor wafers and on a limited number of suppliers of other materials, and the failure of this facility or any of these suppliers or additional suppliers to continue to produce wafers or other materials on a timely basis could harm Navitas' business and its financial results. Navitas may experience difficulties in transitioning to new wafer fabrication process technologies or in achieving higher levels of design integration, which may result in reduced manufacturing yields, delays in product deliveries and increased costs. If Navitas' foundry vendors do not achieve satisfactory yields or quality, Navitas' reputation and customer relationships could be harmed. Navitas depends on vendors for the supply of certain new technology used in Navitas' power system technology. Should these new technologies not be available, or not achieve satisfactory performance or quality requirements of Navitas' customers or should the cost be increased of these technologies, Navitas' financial condition and results of operations could be harmed. Navitas relies on the timely supply of materials and could suffer if suppliers fail to meet their delivery obligations or raise prices. Certain materials needed in Navitas' manufacturing operations are only available from a limited number of suppliers. Navitas depends on independent contractors and third parties to provide key services in its product development and operations, and any disruption of their services, or an increase in cost of these services, could negatively impact Navitas' financial condition and results of operations. Navitas relies on its relationships with industry and technology leaders to enhance Navitas' product offerings and its inability to continue to develop or maintain such relationships in the future would harm Navitas' ability to remain competitive. Navitas is subject to risks and uncertainties associated with international operations, which may harm its business. Navitas' company culture has contributed to its success and if Navitas cannot maintain this culture as it grows, its business could be harmed. Loss of key management or other highly skilled personnel, or an inability to attract such management and other personnel, could adversely affect Navitas' business. Navitas may not be able to effectively manage its growth and may need to incur significant expenditures to address the additional operational and control requirements of its growth, either of which could harm Navitas' business and operating results. Navitas has an accumulated deficit and has incurred net losses in the past, and it may continue to incur net losses in the future. Increased costs of wafers and materials, or shortages in wafers and materials, could increase Navitas' costs of operations and Navitas' business could be harmed. Raw material price fluctuations can increase the cost of Navitas' products, impact its ability to meet customer commitments, and may adversely affect its results of operations. Navitas' actual operating results may differ significantly from its guidance. Events beyond Navitas' control could have an adverse effect on its business, financial condition, results of operations and cash flows. Fluctuations in foreign exchange rates could have an adverse effect on Navitas' results of operations. Navitas' quarterly net sales and operating results are difficult to predict accurately and may fluctuate significantly from period to period. As a result, Navitas may fail to meet the expectations of investors, which could cause the combined company's stock price to decline. O Navitas Semiconductor 2021 40

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