Echo Investment S.A. — M&A Activity 2017

May 31, 2017

Pursuantto Article 17 section 1 ofRegulation(EU) No 596/2014 of the European Parliament and of the Council of16 April 2014 on market abuse (market abuse regulation) and repealingDirective 2003/6/EC of the European Parliament and of the Council andCommission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC(the "MAR"), the management board of Echo Investment S.A.(the "Company") hereby discloses the following confidentialinformation.

Inreference to report No. 4/2017, the management board of the Companyhereby announces that on 31 May 2017, in result of execution of the SPAreferred to in report No. 4/2017 and in connection with therepresentation of Echo Prime Assets B.V. ("EPA"), a whollyowned subsidiary of the Company, regarding the assumption of rights andduties of the Company under the SPA, EPA and Echo Polska Properties(Cyprus) PLC ("EPPC"), a company in the Echo PolskaProperties N.V. group (jointly the "Purchasers"), acquiredfrom Broomfield Investments, Catfield Investments sp. z o.o., PowellReal Estate International B.V., Taberancle Limited, TaberancleInvestments Limited and Elsoria Trading Limited (jointly the "Sellers")100% of shares in the share capital of Rosehill Investments sp. z o.o. ("Rosehill"),which owns indirectly, through its wholly-owned subsidiary, i.e. Bereasp. z o.o. ("Berea"), a real property located in Warsaw, inthe district of Bielany, in the vicinity of ul. Zgrupowania AK"Kampinos" (the "Property") (hereinafterjointly the "Transaction"). The construction of a shoppingcenter called "Galeria Młociny" has been commenced on the Property.

Under theclosing of the Transaction, the transfer of 10,000 shares in the sharecapital of Rosehill representing 100% of Rosehill's share capital tookplace (the "Shares"), of which 3,000 was acquired by EPAconstituting 30% of all the shares in the share capital of Rosehill inexchange for 30% of the Financing (as defined in report no. 4/2017)

Followingthe verification by an auditor of the underlying values used by theparties to the SPA to determine the price, the final purchase price of30% of the Shares was established at EUR 6,569,010.00 (the "PurchasePrice"). Within the scope of the closing of the Transaction, besidesthe Purchase Price, EPA repaid 30% of the loans granted to Rosehill bycertain of the Sellers, which jointly amount to EUR 5,946,883.91.