5EL S.A. Completes Capital Increase Announces New Strategy and Leadership

July 6, 2017, Lausanne - 5EL S.A., the Swiss-listed investment firm has completed all the steps towards the issuance and listing of new shares. The total number of shares outstanding and listed at the Swiss Stock Exchange will increase from 254,048 to 3,111,190 (the capital increase has been approved at the Company's annual shareholders meeting on June 14, 2017 and has been realized by the Board of Directors on June 28, 2017). 5EL SA has requested a listing of the new shares with effect as of July 10, 2017, which was approved by SIX Exchange regulations with decision of July 4, 2017.

Due to a need to meet the additional requirements of the Office of Commercial Register of the Canton de Vaud, the capital increase will however not be registered on a targeted date for the listing on Monday, July 10, 2017. Pending clarification of the requirements by the Office the listing will be delayed, and 5EL SA expects that all points can be clarified in the next few days, so that the listing of the new shares will be possible towards the middle or the end of next week.

The 5EL SA capital increase has been underwritten by Whiteridge Investment Funds SPC Limited (one of the existing shareholders) and Highlight Finance Corp, the specialist media investment firm that acted on behalf of a group of international investors and will be transferring the 5EL S.A shares to the group members within the next 30 days with subsequent large shareholders announcements to be released in a due time.

"Upon completion of this capital increase transaction, 5EL SA is emerging as the well funded, debt-free investment firm with no controlling shareholder, backed by the stellar roster of the strategic and financial investors in global media, e-commerce and digital marketing space, and with a focus on further consolidation of complimentary content marketing and advertising technology properties aimed to facilitate cost-efficient and highly customized support to our corporate (brand) clients to do more business online and to service the millennial demographic better," commented Mr. Umansky, Chairman of 5EL SA.

5EL SA's first acquisition within this new strategy was The Native AG - completed in May of this year. The Native has been integrated as the core asset for the ongoing 5EL SA expansion in the media space providing key competences in content marketing, ecommerce across broad range of product categories and use of modern technologies in targeting millennial audience through heavily engaging advertising campaigns, with Ms. Izabela Depczyk, the founder of The Native AG, becoming the Chief Executive Officer of 5EL SA, effective as of date of entry in the Commercial Register.

Mr. Victor Iezuitov, 5EL S.A. director since 2015, will become the Chief Financial Officer of 5EL SA, also overseeing compliance and M&A support functions, also effective as of date of entry in the Commercial Register.

"Organic growth through adding more clients and larger, "stickier" digital business management engagements to our portfolio, plus looking for ways to increase our scale quickly through carefully chosen add-on acquisitions of cash flow positive complimentary firms in advertising, media and services space are the two pillars of our business strategy," commented Ms. Depczyk.

5EL S.A. aims to close on at least one material transaction from its current pipeline already in Q3, 2017 and hence sets the new date for release of its new business strategy presentation and FY '17 guidance to July 27, 2017.

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Investor Relations & Media Contact: Victor Iezuitov

5EL SA published this content on 06 July 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 18 July 2017 09:13:08 UTC.

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