Acotel : Approval preliminary results (consolidated revenue and EBITDA) for H1 2019, postponement the date of approval of the interim report for the six months ended 30 June 2019 and requests the Company’s transfer from the STAR segment to the MTA

PRESS RELEASE

ACOTEL GROUP: Board approves the preliminary results (consolidated revenue and EBITDA) for H1 2019, decides to postpone the date of approval of the interim report for the six months ended 30 June 2019 and requests the Company's transfer from Borsa Italiana's STAR segment to the MTA

Consolidated results1:

• Revenue €1.1 million (€1.6 million in H1 2018)
• Negative EBITDA €2.9 million (negative €3.1 million in H1 2018)

Rome, 30 September 2019 -Today's meeting of the Board of Directors of Acotel Group SpA has approved the key preliminary consolidated results for the first half of 2019. The Board has also decided to postpone approval of the interim report for the six months ended 30 June 2019, originally due to take place today, as announced on 12 September 2019. The interim report will now be approved at a later Board meeting to be announced in due course.

This decision reflects the fact that talks are currently taking place with a leading telecommunications company, with the aim of concluding major commercial agreements that will strengthen the Company from an operating and financial point of view. Though at an advanced stage, the talks have yet to result in the signature of an agreement that would be binding for the two parties.

Having consulted the Board of Statutory Auditors, the Board of Directors has thus decided that it is appropriate to postpone approval of the interim report for the six months ended 30 June 2019 until the above aspects have been clarified.

Despite this, for the purposes of market disclosure, the Board has approved a number of consolidated results that, being of a preliminary nature, have not been audited and have been prepared on a going concern basis.

Preliminary consolidated revenue and EBITDA for H1 2019

The Group reports preliminary revenue of €1.1 million for the first half of 2019, down 32% compared with the €1.6 million of the first half of 2018. The decline primarily reflects reduced turnover at the Acotel Interactive business area (down 51%) and the Acotel Net business area (down 16%).

1In the first half of 2019:

• Bucksense Inc. successfully completed its rights issue, resulting in Acotel Group SpA's loss of control of the subsidiary;
• a binding agreement was entered into for the sale of the Group's entire investment in the subsidiary,
  Acotel Interactive Inc., and its subsidiaries (with the exception of Acotel Interactive India Private

Limited) and the business unit consisting of a number of commercial agreements connected with the core business of Acotel do Brasil Ltda.

In accordance with IFRS 5, the related cost and revenue items have been classified in "Profit/(Loss) from discontinued operations". The figures for the first half of 2018 have been restated for comparative purposes and, in accordance with IFRS 5, to separately show the results from operations discontinued in the first half of 2019.

Preliminary revenue generated by Acotel Net's services amount to €0.7 million (€0.9 million in the first half of 2018), whilst revenue generated by the Acotel Interactive business area total €0.4 million (€0.8 million in the first half of 2018).

Preliminary consolidated EBITDA for the first half of 2019 is a negative €2.9 million, a 5% improvement on the same period of 2018 due to an overall reduction in costs.

The negative result reflects reduced sales of Acotel Net's services, which were not sufficient to make a profit, and a natural decline in the Acotel Interactive business area, which is in the process of being sold.

At the date of this release, there have not been any substantial changes with respect to the above performance. We therefore intend to await the conclusion of the commercial talks in progress, forming the basis for our decision to delay approval of the interim report for the six months ended 30 June 2019, before preparing a business plan.

The date of the Board meeting to approve the interim report will be announced to the market in a subsequent release, according to the procedures required by the applicable legislation.

Given the above, the Board of Directors finally determined to fulfil all the requirements necessary and appropriate in order to request Borsa Italiana SpA to transfer its listing from the STAR segment to the MTA, deeming this to be in the Company's best interests.

The Company, however, confirms its commitment to retaining the same corporate governance arrangements adopted so far in line with the quality standards required for admission to the STAR segment, reserving the right to apply to Borsa Italiana for readmission to the STAR segment, once the current review has come to an end and the Company has returned to growth.

For further information contact:

Acotel Group

Davide Carnevale

Investor relations

Tel. +39 06 61141000

e-mail:investor.relator@acotel.com