In reference to Current Report No. 37/2023 of 4 October 2023 of Cyfrowy Polsat S.A. (the "Company") regarding the disclosure of the delayed inside information on the commencement of negotiations concerning the termination of the joint venture agreement with HB Reavis Holding CZ a.s. with its registered office in Prague, Czech Republic ("HBR") and the repurchase of shares in Port Praski City II sp. z o.o. with its registered office in Warsaw ("PPCII") and Port Praski Medical Center sp. z o.o. with its registered office in Warsaw ("PPMC"), the Management Board of the Company hereby informs that on 4 October 2023, the Company's subsidiary Pantanomo Limited with its registered office in Limassol, Cyprus ("Pantanomo") acquired 50% of the shares in PPCII and PPMC (the "Shares") pursuant to a sale agreement with HBR (the "Sale Agreement"). The price for the Shares was set at EUR 21,085,250.50 and is subject to the adjustment mechanism set out in the Sale Agreement.
In addition, on 4 October 2023, the Company's subsidiaries entered into an agreement (the "Agreement") confirming the expiry of the Joint Venture Agreement (the "JV Agreement") which was entered into by PPCII, PPMC and Pantanomo with HBR on 21 July 2022. In addition to confirming the expiry of the JV Agreement, under the Agreement, the parties also waived any mutual claims arising or which may arise in the future under the JV Agreement.
The repurchase of the Shares by the Company's subsidiaries and the consequent termination of the JV Agreement is the result of a change in HBR's strategy, which is now to reduce development activity in Poland.
In its Current Report No. 18/2022 of 21 July 2022, the Company informed about the conclusion of the JV Agreement and the execution of the preliminary agreement for the sale of the Shares to HBR by Pantanomo and Port Praski City III sp. z o.o., with its registered office in Warsaw.
Legal basis: Article 17 paragraph 1 of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC.