Selvita S.A. — M&A Activity 2021

Jan 5, 2021

Closingof an acquisition of Fidelta do.o. by Selvita S.A.ManagementBoard of Selvita S.A. with its registered office in w Krakow ("lssuer")in reference to the current report no. 37/2020 dated 23 November 2020hereby announces, that today, after the fulfilment of all conditionsprecedent, including in particular: i) extension of the lease agreementconcluded between Fidelta d.o.o. ("Fidelta") and Pliva Hrvatska d.o.o.concerning office and laboratory space, until 31 December 2027, ii)conclusion by Fidelta of a pre-lease agreementwithMedi-Lab d.o.o. and Emo Mancipo d.o.o. concerning rental of additionaloffice and laboratory space, the issuer, as the buyer, concluded andefinitive agreement with Galapagos NV with its registered office inMechelen (Belgium), as the seller, concerning purchase of 100% ofFidelta shares for the price ofEUR31.200.000 (PLN 141.913.000; EUR/PLN exchange rate: 1 EUR=4,5485PLN)("Transaction").The purchase price will be adjusted for net cash and working capital inaccordance to the customary provisions that are used in this type ofagreements. The purchase price for the shares was covered with issuer'sown funds in the amount of EUR 9,360,000 and with the bank loan in theamount of EUR 21,840,000, about which the issuer informed in the currentreport no. 40/2020, dated 21 December 2020.TheTransaction constitutes Selvita Capital Group long-term investment of astrategic nature and at the same time is a transformative step in theimplementation of the issuer's Capital Group Strategy for years2020-2023, which was adopted on 29 April 2020.