With reference to the content of ESPI Current Report No. 19/2024 dated April 25, 2024, the Management Board of Polska Grupa Militarna S.A., with its registered office in Warsaw (the Issuer), hereby announces that it has decided to abandon its intention to acquire Polska Fabryka Amunicji sp. z o.o.
This decision stems, in particular, from the fact that, in the opinion of the Issuer’s Management Board, the potential acquisition of Polska Fabryka Amunicji sp. z o.o. would require the issuance of a very large number of new shares of the Issuer in order to settle with the potential sellers of the shares in Polska Fabryka Amunicji sp. z o.o. The Issuer’s Management Board has concluded that such an issuance would not be beneficial for the Issuer and its shareholders; the Issuer’s Management Board is convinced that it is capable of acquiring expertise in the production of small arms ammunition for the Issuer without undertaking such a significant issuance of new shares of the Issuer.