Digital Bros

Share Issue/Capital Change • Apr 28, 2023

PRESS RELEASE

DIGITAL BROS SUPPORTS STARBREEZE STRATEGIC GROWTH AND BALANCE SHEET STRENGTHENING

Starbreeze announces today the rights issue of SEK 450 million supported by its major shareholders. Digital Bros has undertaken to subscribe for the pro-rata share of the rights issue corresponding to approximately to SEK 54 million

Digital Bros has also undertaken to exercise the right to convert the total outstanding convertible loan issued by Starbreeze and amounting to SEK 215 million, subject to the positive outcome of the rights issue

Milan, April 28th , 2023 - Starbreeze AB, an independent Swedish developer, publisher and distributor of videogames for personal computer and consoles and listed on the Nasdaq Stockholm (ISIN: SE0007158928 – class A shares and SE0005992831 – class B shares), announces today the rights issue of SEK 450 million. Digital Bros and the other major shareholders of the Swedish company have undertaken to vote in favor of the rights issue at the Extraordinary General Meeting.

Digital Bros has also undertaken to:

• subscribe for the pro-rata share of the rights issue corresponding to approximately SEK 54 million;
• underwrite the rights issue for a maximum SEK 100 million of non-subscribed shares. The payment of such shares will be made through a partial set-off against the credit of SEK 165 million part of Starbreeze reconstruction plan and agreed to be reduced at SEK 150 million for the purpose of the anticipated payments;
• convert the total outstanding convertible loan of approximately SEK 215 million within 30 days from the last date of the subscription period of the rights issue and after having received the new conversion price recalculated after the completion of the rights issue and conditional upon the positive outcome of the rights issue.

Digital Bros decided to support Starbreeze strategic growth and balance sheet strengthening enabling the anticipated settlement of all the residual obligations coming from the Starbreeze reconstruction plan in advance respect to the original deadline of December 2024.

For further details on Starbreeze rights issue, refer to Starbreeze press release available on Starbreeze corporate website corporate.starbreeze.com/en/press/.

This press release is available on www.digitalbros.com and .

DIGITAL BROS GROUP

Listed on the Euronext STAR Milan and part of Euronext Tech Leaders, Digital Bros Group (ISIN IT0001469995) is a global company that has been operating since 1989 as a developer, publisher and distributor of video games through its brand 505 Games. The Group markets its contents on both retail and digital channels. Digital Bros Group is active around the world through its own direct operations in Italy, United States, UK, France, Spain, Germany, Czech Republic, China, Japan, Australia and Canada with 404 employees.

For further information please contact: Digital Bros S.p.A. Stefano Salbe - CFO Tel. + 39 02 413031 - ir@digitalbros.com