Dixy : JSC DIXY Yug and Prosperity Capital Management announce an agreement on the repurchase of PJSC DIXY Group shares

REPURCHASE OF PJSC "DIXY GROUP" SHARES

Moscow, Russia, January 23, 2018.

JSC DIXY Yug, PJSC DIXY Group's fully owned subsidiary announces today that it reached an agreement with Prosperity Capital Management on the repurchase of shares of PJSC DIXY Group, which are owned by funds managed by Prosperity Capital Management.

According to the agreement the price of the repurchase of shares would amount to 340 Russian rubles for one ordinary share. The transaction between JSC DIXY Yug and Prosperity Capital Management provides for the repurchase of not less than 20% of shares of PJSC DIXY Group and would be completed in several stages during the first half of 2018.

As a result of the agreement the combined ownership of JSC DIXY Yug and its affiliated parties exceeded 75% of total capital of PJSC DIXY Group. Fully in line with Russian legislation's requirements due to the change of the ownership threshold JSC DIXY Yug is going to make a mandatory trading offer (MTO) to shareholders of PJSC DIXY Group to repurchase their shares at a price of 340 Russian rubles for one ordinary share.

Sergey Belyakov, General Director of PJSC DIXY Group:"We welcome the agreement with Prosperity Capital Management as it provides for equal opportunity for all our minority shareholders to tender their shares in a fair common way, guaranteed by the Russian legislation".

Alexey Krivoshapko, Director of Prosperity Capital Management: "We are satisfied with the fact that all minority shareholders would have a right to sell back their shares at a price of 340 rubles per share in course of the mandatory offer. We have also agreed that DIXY would proceed with the delisting from Moscow Exchange only after the execution of the mandatory trading offer".

Note for editors:

PJSC DIXY Group (MOEX: DIXY) is one of Russia's leading retailers of foods and everyday products.

As of December 31, 2017 the Company operated 2,703 stores, including 2,534 DIXY convenience stores, 128 Victoria stores and 40 compact hypermarkets MegaMart and MiniMart, all located in 753 Russian towns and settlements.

The Company operates in Central, Northwestern, Volga and Urals federal districts of Russia, and in Kaliningrad and Kaliningrad region.

In 2017, the Company's total revenue amounted to RUB 282 billion.

PJSC DIXY Group shares are traded in Moscow Exchange since 2007.

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