Kruk S.A. — Capital/Financing Update 2016

Dec 16, 2016

Current Report No. 121/2016

Date of the report: December 16th 2016

Subject: Setting of the number and issue price of new Series G shares

Legal basis: Art. 17.1 of MAR - Inside information

Text of the report:

The Management Board of KRUK S.A. (Company) hereby announces that, aspart of steps taken to give effect to Resolution No. 4 of the Company'sExtraordinary General Meeting of November 29th 2016 concerning: (i) anincrease of the Company's share capital by no less than PLN 1 and nomore than PLN 1,000,000 to no less than PLN 17,744,217, and no more thanPLN 18,744,216 through an issue of new Series G shares (Shares),complete disapplication of the existing shareholders' pre-emptive rightsto all new Series G shares, and private placement of the Shares with andamong no more than 149 investors (Private Placement); (ii)dematerialisation of the allotment certificates to Series G shares andnew Series G shares and seeking admission of the allotment certificatesto Series G shares and new Series G shares to trading on the regulatedmarket operated by the Warsaw Stock Exchange (see Current Report No.113/2016 of November 29th 2016), on December 16th 2016 the Company'sManagement Board set the issue price of the Shares at 215 PLN per Share,at which the Shares will be offered as part of the Private Placement;and the number of Shares to be offered as part of the Private Placementat 1,000,000 Shares.

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.