Fabrity Holding S.A

Regulatory Filings • Jul 14, 2016

The board of Aforti Holding SA (hereafter referred toas "Company") headquartered in Warsaw hereby announces, that on July 14,2016 it passed resolution no. 01/14/07/2016 of the management boardconcerning the adoption of the document titled "Development strategy forAforti Holding Capital Group for 2016-2018" (hereafter: "Strategy").

The updated Strategy of Aforti Holding Capital Group("Aforti Group") was prepared to address Aforti Group's intensivedevelopment and the need to establish a further strategic course ofaction.

The main premise of the Strategy is Aforti Group'sdouble-track development via organic growth and acquisitions, which isintended to create stepped growth in the scale of action by Aforti Group.

As for organic growth, the Strategy is orientedtowards: utilizing synergistic effects among Aforti Group; focusing ondeveloping of x-sell offers, i.e. additional assortment of productsproviding an extensive range of products for clients; growth incompletely new lines of business, i.e. developing a portfolio forcorporate and investment banking such as: debt collection, leasing,factoring, distribution of financial products; establishing fullcoverage of the sales network across Poland; increasing brand awareness;increasing the net markup to approx. 4.0% by the end of 2017.

Growth through acquisition refers to: active pursuitof investment opportunities, which would be suitable for business;acquisition of an entity in the business of debt collection in order tosupplement the line of services provided by Aforti Group; development ofstructures allowing for expansion on European markets (creation of newcompanies or acquisition thereof); presence on seven selected Europeanmarkets by 2018.

In order to execute the updated development strategy,Aforti Capital Group intends to invest approx. PLN 4.4 million by theend of Q1 2017. In total, in the years 2016-2018 the estimated financialoutlay should reach PLN 12.4 million.

Aforti Capital Group intends to raise capital throughthe emission of 2-3 year bonds and the emission of a new series ofshares taking into account the favorable conditions on the capitalmarket and attractive estimates of the Company.

Due to the development strategy update and theadoption of the investment plan, the Issuer indicates, that the boarddoes not recommend paying out dividends in the years 2016-2018. However,the final decision where gains are directed will be made by the annualgeneral meeting of shareholders.

Below the Issuer's board would like to present themain goals for key Companies owned by the Aforti Capital Group for2016-2018:

1) Aforti Exchange sp. zo.o.:

- obtaining new business clients,

- achieving a rise in turnover on the currencyexchange platform from approx. PLN 85 million in 2015 up to the expectedlevel of PLN 1 billion per year since 2018,

- intended expansion onto EU member state markets,

2) Aforti Finance SA:

- attempting to reach theexpected growth in sales by the end of 2018, i.e. annual revenue of morethan PLN 60 million,

- development of the Company'ssales network across the country,

- intent to expand onto EU-memberstate markets.

Achieving the strategic goals of Aforti Group mayimpact the economic, esate, and financial situation as well as furtherperspectives for growth. The strategy calls for establishing a strongpresence on the Polish market and expansion onto European markets.

Detailed information on the strategy can be found inth presentation published on the Issuer's website.