Execution of an agreement regarding completion of contract implementation by the Issuer’s subsidiary
Legal basis: Article. 17(1) of the Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC
In reference to current report No 43/2016 of 14 July 2016 and current report No. 46/2016 of 21 July 2016 r., the Management Board of "Polimex-Mostostal" SA with its registered office in Warsaw (”the Company”) informs that today an agreement by and between Polimex Energetyka SP. z o.o. (a Company’s subsidiary) (”the Contractor”) and the company E003B7 SP. z o.o. with its registered office in Racibórz (special purpose vehicle of Rafako S.A. with its registered office in Racibórz) (the ”Customer”) on the agreement regarding the execution in accordance the Contractor’s documentation, as part of the construction a [power] unit, erection of a boiler pressure part, test performance and commissioning of the Packages I, II, III in the scope described in detail in the contract (the “Contract”), (”Contract”), (the “Agreement").
On the basis of the Agreement the Contractor terminated the Contract with the Customer and the implementation of the Contract was given directly to the existing Contractor’s subcontractors.
At the same time, in order to perform this Agreement, agreements on the acquisition of the rights and obligations of the subcontracting contracts concluded by the Contractor under the Contract have been executed.
The Agreement shall enter into force subject to the Customer receiving proper consents from the entities listed in the Contract among others from Rafako S.A. with its registered office in Racibórz and TAURON Wytwarzanie S.A. based in Jaworzno, on the first day of the calendar month immediately following the month in which all of the said consents have been received. At the moment of transfer of this current report, the Customer has obtained consent of Rafako for the execution of the Agreement.
The company indicates that the completion of Contract implementation will not result in adverse financial impact for the Group.