The Board of Directors of MONBAT AD, announced the issuance of first order corporate convertible bonds

Dear Investors,

We would like to inform herewith that the Board of Directors of MONBAT AD, announced the issuance of first order corporate convertible bonds with ISIN BG2100023170, issued under the conditions of initial public offering as follows:

Borrower/Issuer: MONBAT AD P

rincipal amount of the issue: EUR 28 015 000 (twenty eight million and fifteen thousand).

Number of bonds: 28 015 (twenty eight thousand and fifteen).

Denomination: EUR 1 000 (one thousand) each

Issue Date: 20/01/2018

Maturity Date: 20/01/2025

Type of bonds: convertible, ordinary, registered, dematerialized, interest-bearing, freely transferable, unsecured.

Term to maturity: 84 (eighty four) months. Interest rate: floating rate of 6M EURIBOR plus premium of 300 basis points, but not less than 3.00 % on an annual basis.

Interest payment date: 20 January and 20 July of each year during the Maturity Date. If the Interest Payment Date is not a Business Day, the Interest Payment Date shall be postponed to the next Business Day.

Amortization: in three installments at the end of the 5th, the 6th, and the 7th year of the life of the bond; at 20%, 30% and 50% of the nominal value, respectively, which corresponds to the following Interest Payment Dates: 20/01/2023, 20/01/2024 and 20/01/2025.In the event of conversion, the principal repayments will be calculated on the basis of the current bond issue’s nominal value at the date of the respective principal payment. In this case, the last principal installment at the end of the 7th year will be equalized and will repay the entire outstanding nominal value of the issue, if such outstanding nominal value exists.

Conversion option: Each bondholder may request the conversion of the bonds he/she holds according to their current nominal amount at the Conversion Price on the 48th, 66th and 78th month after issuance, corresponding to the following Interest Payment Dates, respectively: 20/01/2022, 20/07/2023 and 20/07/2024.

Conversion price: equal to 90% of the weighted average price of a MONBAT`s share on the BSE for the six months preceding the respective conversion date. Minimum conversion threshold: 5% of the outstanding nominal amount of all Bonds on each of the respective conversion dates.

Call option: The Issuer may redeem the residual outstanding part of the Bond issue on the 60th month after issuance at 101% of the current outstanding principal amount.

The date of the Call option corresponds with the interest and principal payment on the 60th month or 20.01.2023 with the call option taking into account the corresponding 20% principal instalment. Maintaining the payments under the bond loan: Payments shall be maintained by Central Depository AD.

The notification under Art. 206, para. 3 of the Commercial Act shall be submitted for announcement in the Commercial Register on 23.01.2018.

contact for investors
Daniela Peeva
Investor Relations Director
tel. +359 2 988 2413
e-mail: investorrelations@monbat.com

contact for media
Vanya Babanin, PhD
Director Marketing & Communications
tel. +359 888 244 178
e-mail: media@monbat.com