SEQUOIA LOGÍSTICA E TRANSPORTES S.A.

CNPJ 01.599.101/0001-93 / NIRE Nº 35.300.501.497

A Publicly-Held Company with Authorized Capital Stock (Category "A")

NOTICE TO THE MARKET

Sequoia Logística e Transportes S.A. ("Company" or "Sequoia") hereby announces to its shareholders and to the market in general, in addition to the Material Fact disclosed by the Company on October 27, 2022, the conclusion, on yesterday's date (December 7, 2022), of the public offering with restricted distribution efforts, of the 3rd (third) issuance of simple debentures, not convertible into shares, unsecured, with additional fiduciary guarantee, in a single series, of the Company ("Issuance" and "Debentures", respectively), carried out pursuant to the terms of the Brazilian Securities and Exchange Commission ("CVM") Instruction 476, of January 16, 2009, as amended ("CVM Instruction 476") and other applicable legal and regulatory provisions, intended exclusively for professional investors.

A total of 300,000 (three hundred thousand) Debentures were issued in the context of the Issuance, with a unit par value of R$1,000.00 (one thousand Reais), with a total amount of R$300,000,000.00 (three hundred million Reais), with a maturity term of five (5) years as of the Debentures issuance date, maturing on November 20, 2027, with a two (2) year no amortization grace period for principal.

The unit par value of the Debentures will not be monetarily adjusted. The unit par value of the Debentures will bear interest corresponding to the accumulated variation of one hundred per cent (100.00%) of the DI Rate, plus a spread of two point seventy five percent (2.75%) per annum, based on two hundred fifty-two (252) Business Days ("Effective Rate"), considering that such rate is compatible with the average interest rate applicable to the Company's other indebtedness.

The amounts related to the remuneration of the Debentures shall be paid monthly, from December 20, 2022, with the last payment due on the maturity date of the Debentures. The unit par value of the Debentures will be amortized monthly from November 20, 2024 (two (2) year grace period), with the last payment due on the maturity date of the Debentures. The Debentures will be guaranteed by the Company's subsidiaries: Transportadora Americana Ltda., Direcional Transporte e Logística S.A. and Transportadora Plimor Ltda.

The Company also informs that the Issuance had the commercial efforts of the banks: Itaú BBA (lead coordinator), Santander, Bradesco BBI and UBS BB, with distribution of more than

90% of the Debentures to the market, which demonstrates the ample demand from investors in the bookbuilding procedure.

The funds raised through the Issuance will be destined, under the terms of the Debentures' indenture, for the Company's working capital and the prepayment/refiling of the Company's indebtedness, resulting in the maintenance of a healthy capital structure, and significant improvement in the debt profile.

Considering the results released for the 3rd quarter of 2022 and the total amount of funds raised through the Issuance, in view of the above-mentionedre-profiling, we note that the Company's Gross Debt (including payment obligations from past acquisitions) will be R$567 million and Cash will be R$167 million, maintaining Net Debt at R$400 million and, consequently, the Net Debt/EBITDA leverage level at 1.7x EBITDA LTM 3Q/22.

Regarding the new principal repayment schedule, we highlight the prepayment of an additional R$240 million in 4th quarter of 2022, a reduction of R$146 million in 2023, down from R$178 million to R$32 million and a reduction of R$148 million in 2024, down from R$170 million to R$23 million. The balances above, remaining for payments in 2023 and 2024, respectively, refer only to payments for past acquisitions. The schedule mentioned in this paragraph is based on the Company's projections and estimates and does not constitute any kind of promise or guarantee regarding the Company's future performance.

The figures reported consider inflows and outflows of debt and cash over the 4th quarter of 2022, which will be detailed in the Company's next earnings release.

Indebtedness (in R$ million and leverage Net Debt/EBITDA)

Principal Amortization Projections (in R$ million)

Amortization 23-24 Pre Debenture - R$ 349M

Post Debenture - R$ 55M

286

240

Pre-payments

This notice is exclusively informative, pursuant to the terms of the legislation in force, and should not be interpreted as a sales material and/or disclosure material of the Debentures.

Embu das Artes, December 8, 2022.

SEQUOIA LOGÍSTICA E TRANSPORTES S.A.

Fernando Stucchi Alegro

CFO & Investor Relations Officer

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Sequoia Logistica e Transportes SA published this content on 08 December 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 December 2022 23:52:03 UTC.