Dalekovod d.d.

Share Issue/Capital Change • Jan 21, 2022

www.dalekovod.hr, Ulica Marijana Čavića 4, Zagreb (CRN) 080010093, (EUID) HRSR.080010093, (PIN) 47911242222 Zagreb 21 January 2022

PRESS RELEASE

After its financial restructuring by a successful capital increase and reinforced with new capital, Dalekovod initiates strong business development

The capital increase of Dalekovod d.d. was successfully completed by entering the share capital increase in the court register. Pursuant to the shareholders' Decision on the increase of the Company's share capital, HRK 410 million was invested, that is 41,000,000 new ordinary shares were subscribed, each with a nominal value of HRK 10.00 which increased the Company's share capital to HRK 412,471,930.00.

This capital increase of the Company is the final step on the road to recovery of the Company, its long-term sustainable business and financial stability. Taking into account the financial position of the company before the completion of this process, the capital increase was a necessary direction in order to preserve future business.

With this capital increase, Dalekovod will become one of the few companies in Croatia that will successfully complete the pre-bankruptcy settlement by settling all creditors after an exhaustive business transformation without additional debts. The finalized financial restructuring process will complete the pre-bankruptcy settlement nine years before the initial deadline.

The capital increase entirely eliminated capital inadequacy and ensured long-term stability and self-sustaining business of the company, which continues its activities free from the pre-bankruptcy settlement debts and with a clear development vision; by doing so, Dalekovod becomes one of the companies with the strongest capital structure in the sector.

The actors in this capital increase, which was done entirely by payment in cash, were the company Napredna energetska rješenja d.o.o., pension funds, and institutional investors.

It is important to point out that Končar - Elektroindustrija d.d., one of the most important market players in the energy sector, indirectly participated in the process of capital increase through the joint venture Napredna energetska rješenja d.o.o. as one of the strategic investors, and individually as the largest creditor of the company Construction Line, which in the previous period, acting as a creditor, gave strong support to the preservation of the company and the successful implementation of financial restructuring.

Furthermore, it is also important to point out the strong contribution of suppliers and financial creditors of the company (primarily HBOR and Zagrebačka banka) who continuously supported the business and believed in the company's future prospects by supporting the process of financial restructuring and regularly ensuring guarantees.

Ordinary share DLKV-R-A quoted in the Zagreb Stock Exchange official market Home country of the share issuer Croatia ISIN: HRDLKVRA0006, LEI number 74780000W0KHNRDW7I05 Notice pursuant to the Law on Capital Markets

The success of this process is a true sign of the exceptional potential of Dalekovod, as well as the experience and knowledge of its employees, whose important role can be even more accentuated in the future, which was recognized by the investors who participated in this capital increase. The completion of this process opens a new perspective for the development of the Company on the domestic and foreign market, as well as for 1,350 employees of Dalekovod.

Dalekovod, as a company with European energy and infrastructure market presence, will continue to strengthen its position and expand its business in this direction. The business stability opens a clear path for the development of export business, which will, in addition to increasing the company's business results, strongly impact the entire domestic economy.

With the completion of this process, Dalekovod is turning to new business perspectives without restrictions which burdened the company for the last 10 years, and the raised capital will be used for company restructuring, current operations financing and future investments necessary for stable, efficient and sustainable business.

Ordinary share DLKV-R-A quoted in the Zagreb Stock Exchange official market Home country of the share issuer Croatia ISIN: HRDLKVRA0006, LEI number 74780000W0KHNRDW7I05 Notice pursuant to the Law on Capital Markets