Kruk S.A. — Capital/Financing Update 2017

Jul 3, 2017

Current Report No. 35/2017

Date of the report: July 3rd 2017

Subject: Execution of syndicated revolving credit facility agreement

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

Text of the report:

The Management Board of KRUK S.A. (the "Company") announces that on 3rdJuly 2017 the Company and its subsidiary InvestCapital Malta LTD (the"Borrower") entered into a multi-currency revolving credit facilityagreement (the "Agreement") with a bank syndicate comprising of DNB BankASA of Oslo, ING Bank Śląski S.A. of Katowice, Bank Zachodni WBK SA ofWrocław, and mBank S.A. of Warsaw (the "Lenders"). The Agreementprovides for a multi-currency revolving credit with maximum amount ofutilisations of EUR 250m (the "Syndicated Facility"). Under theAgreement, utilisation of the Syndicated Facility may be used to financeor refinance the purchase of debt portfolios by the Borrower on Europeanmarkets other than the Polish market. The maturity of the SyndicatedFacility is five years from the Agreement date. The SyndicatedFacility's interest rate was set on market terms, at the IBOR rateapplicable to the relevant currency plus margin. The repayment ofSyndicated Facility under the Agreement is secured with:

a) pledge or other encumbrance established over the Borrower's specifiedforeign portfolios

(the "Portfolios"),

b) pledge over bank accounts to which recoveries from the Portfolios aretransferred directly or indirectly,

c) pledge over the Borrower's deposit account on which specified notesheld by the Borrower are deposited and over account on which proceedsfrom the Notes are credited,

d) the Company's surety and statement on submission to enforcement, eachof up to EUR 375m.

Total value of the security specified in items a), b) and c), estimatedas at May 31st 2017, was approximately PLN 414m.

The Agreement stipulates certain conditions fulfilment of which willenable the first utilisation of the Syndicated Facility. The Agreementcontains no further conditions precedent or subsequent, and provides forno contractual penalties. Other terms and conditions of the Agreement donot differ from those commonly used in agreements of such type.