07.07.2015

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION DIRECTLY OR INDIRECTLY, IN THE UNITED STATES OF AMERICA, AUSTRALIA, CANADA, JAPAN, THE RUSSIAN FEDERATION OR ANY OTHER JURISDICTION WHERE TO DO SO WOULD BE UNLAWFUL.

IMH Group has closed the Exchange Offer - Russia

7 July 2015

IMH Group has settled the Exchange Offer pursuant to its invitation to holders of the outstanding U.S.$350,000,000 7.75 per cent. Loan Participation Notes due 2016 issued by KOKS Finance Limited (Regulation S ISIN: XS0640334768) (the "Existing Notes") on the terms and subject to the conditions contained in the Exchange Offer Memorandum dated 11 June 2015, which was open to the relevant noteholders until 26 June 2015. U.S.$150,845,000 of the Existing Notes were tendered and accepted for exchange and U.S.$136,496,000 of the New Notes were issued pursuant to the Exchange Offer. The New Notes bear an interest rate of 10.75 per cent. per annum and mature on 28 December 2018.

The Joint Dealer Managers for the Exchange Offer were Citigroup Global Markets Limited, Renaissance Securities (Cyprus) Limited and CJSC Sberbank CIB.

Sergey Frolov, Vice President, Strategy & Communications of IMH commented on the event: "We much appreciate our investors who participated in the deal despite the ongoing external market volatility. With a strong, diversified and transparent business-model, IMH has been a reliable borrower for years, enjoying strong relationships with international and Russian investors. Following this policy, we are committed to further enhancing financial stability of the Group and meeting all our obligations regarding the new bond issue and the outstanding amount of the Existing Notes".

Not for publication or release, directly or indirectly, in or into the United States of America, Australia, Canada, Japan, the Russian Federation or any other jurisdiction where to do so would be unlawful. The materials do not constitute an offer of securities for sale in the United States. The securities referred to herein have not been and will not be registered under the US Securities Act of 1933, as amended (the «Securities Act»), and may not be offered or sold in the United States or to US persons (as such term is defined in Regulation S under the Securities Act) unless the securities are registered under the Securities Act, or an exemption from the registration requirements of the Securities Act is available. The issuer of the securities has not registered, and does not intend to register, any portion of the offering in the United States, and does not intend to conduct a public offering of securities in the United States.

In the European Economic Area, with respect to any Member State that has implemented Directive 2003/71/EC (as amended) (together with any applicable implementing measures in any Member State, the «Prospectus Directive») this communication is only addressed to and is only directed at qualified investors in that Member State within the meaning of the Prospectus Directive.

These materials do not constitute or form part of any offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the securities referred to herein in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction.

These materials should not be considered as a public offer or advertisement of the relevant securities in the Russian Federation and are not an offer, or an invitation to make offers to sell, purchase, exchange or otherwise transfer any securities in the Russian Federation or to or for the benefit of any Russian person. The securities have not been and will not be admitted to public placement and/or public circulation in the Russian Federation. Neither the securities nor any documents relating to them have been or are intended to be registered in the Russian Federation with the Central Bank or with any other state bodies that may from time to time be responsible for such registration, and the securities are not intended for «placement» or «circulation» in the Russian Federation (as defined under Russian Law), unless otherwise permitted under Russian law. Any information on the securities in these materials is not intended for any persons in the Russian Federation who are not «qualified investors» (as defined under Russian law) and must not be distributed or circulated into Russia or made available in Russia to any persons who are not «qualified investors» (as defined under Russian law), unless and to the extent they are otherwise permitted to access such information under Russian law. The securities are not being offered, sold or delivered in the Russian Federation or to or for the benefit of any persons (including legal entities) resident, incorporated, established or having their usual residence in the Russian Federation or to any person located within the territory of the Russian Federation except as may be permitted under Russian law.

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