ZTEST Electronics Inc. (CSE: ZTE) (OTCQX: ZTSTF) has appointed Dave Barnett as President and Chief Executive Officer, effective August 24, 2026. The appointment marks a significant leadership transition for the Canadian micro-cap electronics manufacturer, which reported a strong balance sheet with almost $5 million in cash. Barnett’s dual role as Chair of the Board and CEO is intended to provide unified strategic direction as the company focuses on disciplined capital allocation and long-term shareholder value creation through its wholly owned subsidiary, Permatech Electronics Corporation.

The selection followed a formal search process conducted by a subcommittee of independent directors and approved by the Board of Directors. The Board considered both internal and external candidates before unanimously selecting Barnett. In adherence to governance standards, Barnett recused himself from all Board discussions, deliberations, and decisions regarding the CEO search. The Board determined that he would continue to serve as Chair while assuming the executive presidency.

Barnett outlined a clear strategic priority for his tenure, emphasizing disciplined capital allocation. "As CEO, my priority will be supporting Permatech's continued growth, developing a robust pipeline of profitable acquisition opportunities and making decisions that enhance long-term intrinsic value on a per-share basis for our shareholders," said Barnett. He highlighted the company’s foundation of a profitable operating business and consistent free cash flow generation as key assets for future expansion.

Trevor Treweeke, Director of ZTEST Electronics, endorsed the appointment, citing Barnett’s analytical skills and long-term investor mindset. "The Board believes he is well suited to work alongside our existing operating team as we execute on the Company's next phase of growth," said Treweeke. Barnett holds beneficial control over 990,500 common shares, representing approximately 2.7% of shares outstanding.

Executive Profile

Barnett brings more than 25 years of experience in capital markets, enterprise risk, and business evaluation to the role. A CFA charterholder, he began his career at BMO Nesbitt Burns, spending six years across portfolio management, corporate treasury, and debt capital markets. He currently serves as Vice President and Senior Consultant, Risk Control at Aon, advising senior executive teams at major Canadian corporations and government organizations on enterprise risk and operational resilience.

Since 2016, Barnett has conducted independent risk and business evaluations across manufacturing, construction, forestry, and industrial sectors for Northbridge Insurance, Aviva Canada, and iV3 Solutions. He also holds a Bachelor of Business Administration in Finance from Simon Fraser University. His personal investment experience includes more than 25 years focused on micro-cap companies with a valuation-driven approach.

Operational Context

ZTEST Electronics operates through Permatech Electronics Corporation, which provides Electronic Manufacturing Services (EMS) including Printed Circuit Board (PCB) Assembly, Materials Management, and Testing services. Permatech operates from an ISO 9001:2015 certified facility in North York, Ontario, serving customers in Medical, Power, Computer, Telecommunications, Wireless, Industrial, Trucking, Wearables, and Consumer Electronics markets. The company specializes in high-yield, high-quality, rapid-turnaround production for low and mid-volume complex products.

ZTEST Electronics Inc. has established a special committee to oversee the executive search process following the resignation of Steve Smith as President and Chief Executive Officer. The committee is mandated to identify, evaluate, and recommend qualified candidates to lead the company through its next phase of growth and development. The Board is committed to conducting a thorough and disciplined search process and will provide further updates as appropriate.

The company also announced that it has granted 100,000 stock options to Stephen Harpur pursuant to its stock option plan. The options are exercisable at a price of $0.385 per common share for a period of five years from the date of grant and are subject to applicable regulatory requirements and the terms of the plan.

ZTEST Electronics Inc., through its wholly owned subsidiary Permatech Electronics Corporation, offers Electronic Manufacturing Services (EMS) to a wide range of customers. Permatech's offering includes Printed Circuit Board (PCB) Assembly, Materials Management and Testing services. The subsidiary operates from an ISO 9001:2015 certified facility in North York, Ontario, Canada.

Permatech is a contract assembler of complex circuit boards, serving customers in the Medical, Power, Computer, Telecommunications, Wireless, Industrial, Trucking, Wearables and Consumer Electronics markets. It specializes in servicing customers who require high quality and rapid-turnaround on low and mid-volume production of high complexity products.