Magellan : Selection of the financial auditor

POLISH FINANCIAL SUPERVISION AUTHORITY

Made on 2016-11-24

The issuer's name Magellan S.A.

Subject Selection of the financial auditor

Legal grounds Art. 56 title 1 point 2 of the Act on Public Offering - current and periodical information

Report content:

Magellan S.A. Management Board hereby informs that on 23 November 2016 the Supervisory Board of Magellan S.A. has chosen PricewaterhouseCoopers Spółka z ograniczoną odpowiedzialnością located in Warsaw, al. Armii Ludowej 14, entered on the list of entities authorized to audit financial statements by the National Council of Auditors under number 144, as the Company's financial auditor.

The auditor's responsibilities will be an audit of annual stand-alone financial statements of Magellan S.A. and an audit of annual consolidated financial statements of Magellan Capital Group and an audit of consolidated reporting package of the Group prepared according to reporting standards applicable in Banca Farmafactoring Group. The three-year cooperation in the above tasks is assumed and the contract with the auditor will be concluded for a period necessary to perform such services.

The auditor was chosen in accordance with the Statue of Magellan S.A. and applicable law regulations. The selection of new auditor was due to the need of ensuring uniformity in the audit of Banca Farmafactoring Group, to which Magellan S.A. belongs. The Company has not used the services of the above mentioned auditor in respect to audit and review its financial statements so far.

Art. 56 title 1 point 2 of the Act on Public Offering - current and periodical information

Vice-President, Management Board Member, Management Board

Grzegorz Grabowicz Rafał Karnowski