Kruk S.A. — Capital/Financing Update 2016

Dec 22, 2016

Current Report No. 126/2016

Date: December 22nd 2016

Subject: Agreements to subscribe for Series G shares

Legal basis: Art. 17(1) of MAR - Inside information

Text of the report:

The Management Board of KRUK S.A. (the "Company") hereby announces thaton December 22nd 2016, in connection with the offering of no fewer than1 and no more than 1,000,000 Series G ordinary bearer shares with a parvalue of PLN 1 per share ("Series G Shares") conducted under ResolutionNo. 4 passed by the Company's Extraordinary General Meeting held onNovember 29th 2016 and concerning: (i) an increase of the Company'sshare capital of no less than PLN 1 and no more than PLN 1,000,000.00 tono less than PLN 17,744,217.00 and no more than PLN 18,744,216.00 by wayof issue of new Series G ordinary bearer shares, full waiver of existingshareholders' pre-emptive rights to new Series G shares, and offeringthose shares in a private placement addressed to no more than 149investors (Private Placement); (ii) conversion of new Series G sharesinto book-entry form and application for admission of allotmentcertificates to Series G Shares and Series G shares to trading on theregulated market operated by the Warsaw Stock Exchange (the text of theresolution was announced in Current Report No. 113/2016 of November 29th2016), and in connection with Management Board's Resolution No. 374/2016of December 22nd 2016 on allotment of new Series G Shares, the Companyconcluded with investors subscription agreements concerning 1,000,000Series G Shares with a total value (understood as the product of thenumber of Series G Shares and the issue price per Series G Share) of PLN215,000,000. The Company further announces that the cash paymentsrequired to subscribe for the shares have been made in full.

This current report was prepared in compliance with the provisions ofArt. 17(1) of MAR; it is for information purposes only and does notconstitute, whether directly or indirectly, an offer to buy or subscribefor, or the making available of information to promote the purchase orsubscription for, or an inducement of the purchase or subscription for,any securities in Kruk S.A. of Warsaw. This material or any part hereofis not intended for distribution, whether directly or indirectly, in orto the United States or any other jurisdiction where public distributionof the information contained in this material may be limited orprohibited by law. The securities described in this material have notbeen and will not be registered under the U.S. Securities Act of 1933,as amended, and may not be offered or sold within the United Statesexcept pursuant to an exemption from, or in a transaction not subjectto, the registration requirements of the U.S. Securities Act.