Publication of Annual Report 2017

Dear Shareholders,

Carpathia Capital (CC) achieved another year of a strong financial performance in a fiscal year 2017, demonstrating the strength of our strategy and diversified investment portfolio. This is the second consecutive year in which we have generated such a strong organic growth.

We have the pleasure of presenting the most important achievements concerning 2017 year and the new targets for Carpathia Capital. In 2017 the Company generated operational profit and net income. Carpathia Capital has paid taxes for the completed investments and received dividends during on this period of time. Due to positive operating cash flow (generated on investment activity) in the last two years, we are ready for dividend payment. On December, 2017 the Company adopted a dividend policy, where the dividend payout ratio in relation to CC book value, will not be less than NBP lombard rate (currently: 2.50%).

According to this policy the Management Board intends to recommend to the General Meeting of Shareholders payment of dividend from a part of net profit generated in 2017 amounting to 335,714.49 PLN representing 0.09 PLN per share (which is 3,60% per book value as of the end of 2017).

Annual Report 2017