OREANDA-NEWS. May 27, 2016. Electrovaya Inc. (TSX: EFL) today announced that it signed a Multiyear Service Agreement (MSA) with a US based Fortune 1000 OEM to supply Lithium Ion Battery Modules, Battery Management Systems and related services. The Agreement is expected to generate revenues of up to \\$80 million over the next three years. The revenues from this Agreement starts in Q2 CY2016, growing through rest of CY2016 and accelerates in 2017.

The first Purchase Order from this MSA has been received. This Fortune1000 Company is our first major customer for the LITACORE1000 module, announced recently. The LITACORE1000 module significantly increases the market size for Electrovaya's product offerings as all major OEMs can now use the Electrovaya module as a building block for their specific Lithium Ion battery application.

The LITACORE1000 modules, uses the LITACELL40, which delivers industry leading cycle life and safety.

"We are extremely pleased to receive this multi-year production contract in this fast growing sector from one the world's leading OEMs," said Dr. Rajshekar Das Gupta, VP, Business Development. "Electrovaya received this contract after an intense qualification exercise, against Global majors".

About Electrovaya Inc.

Electrovaya Inc. (TSX:EFL) designs, develops and manufactures proprietary Lithium Ion Super Polymer® batteries, battery systems, and battery-related products for energy storage, clean electric transportation and other specialized applications. Electrovaya, through its fully owned subsidiary, Litarion GmbH, also produces cells, electrodes and SEPARION® ceramic separators and has manufacturing capacity of about 500MWh/annum. Electrovaya is a technology focused company with extensive IP. Headquartered in Ontario, Canada, Electrovaya has production facilities in Canada and Germany with customers around the globe.

To learn more about how Electrovaya and Litarion is powering mobility and energy storage, please explore www.electrovaya.com, www.litarion.com and www.separion.com

Forward-Looking Statements

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