Further to Current Report No. 9/2019 of April 26th 2019, Current Report No. 35/2019 of October 31st 2019, Current Report No. 38/2019 of November 22nd 2019 and Current Report No. 39/2019 of December 6th 2019, Grupa LOTOS S.A. (the “Company”) announces that on December 13th 2019 the Company signed a memorandum of understanding (the “MoU”) with Grupa Azoty S.A., Grupa Azoty Zakłady Chemiczne Police S.A. and Grupa Azoty Polyolefins S.A. setting out the terms of an equity investment in and debt financing of the “Polimery Police” investment project (the “Project”).
The MoU is conditional, subject to approval from the Company’s Supervisory Board and General Meeting, as well as satisfaction of certain other conditions precedent. It will provide a general framework for agreeing upon the target documentation with respect to participation in financing of the Project.
The MoU provides for a commitment of PLN 300m in the form of an equity contribution and PLN 200m in the form of a subordinated loan.
It will remain in effect until December 31st 2020.
Legal basis: Article 17(1) of MAR – Inside information.