GPW - Giełda Papierów Wartościowych w Warszawie S.A.

Legal Proceedings Report • Jul 3, 2019

Current Report No. 17/2019Date: 3 July 2019Subject: Decision ofthe GPW Management Board to start research and development work on thedevelopment of a proprietary Trading Platform with co-financing fromNCBR grantsLegal basis: Article 17(1) MAR - inside informationContent:Furtherto Current Report No. 7/2019 of 19 April 2019, the Warsaw Stock Exchange("Exchange", "Company" or "GPW") hereby announces that on 3 July 2019,the Exchange Management Board has decided to launch a project aimed atresearch and development work on the development of a proprietarytrading system ("Trading Platform") with co-financing from grants of theNational Centre for Research and Development (NCBR). At this stage, thetotal amount of capital expenditure connected with the implementation ofthe project is estimated at PLN 90,000,000 (in words: ninety millionzlotys).The Exchange Management Board has decided to conclude anagreement with the National Centre for Research and Developmentconcerning the co-financing of the project "Research and developmentwork for the development and implementation of a state-of-the-artintegrated Trading Platform of ground-breaking performance and capacityparameters and innovative communication protocols and tradingalgorithms" in the amount of PLN 30,277,090.54 (in words: thirty milliontwo hundred seventy-seven thousand ninety zlotys fifty-four grosh).TheCompany has used the Universal Trading Platform (UTP) since 2013. Thedecision to start research and development work on the development of aproprietary Trading Platform is relevant for continued operation of theExchange among others due to the following:• the strategic edge ofthe decision, which defines the competitive position of GPW;• theamount of capital expenditures and operating expenses for themaintenance of the Trading Platform;• impact on the marketenvironment, in particular on Exchange Members.Legal basis:Article 17(1) of Regulation (EU) No 596/2014 of the European Parliamentand of the Council of 16 April 2014 on market abuse (market abuseregulation) and repealing Directive 2003/6/EC of the European Parliamentand of the Council and Commission Directives 2003/124/EC, 2003/125/ECand 2004/72/EC ("MAR").