Current report No. 2/2019

Legal basis: Art. 70 item 1 of Ustawa o ofercie (the Act on an offer)

Subject: Notification regarding a significant block of shares.

VRG S.A. joint stock company with its registered office in Cracow informs that on January 4, 2019, it received from IPOPEMA Towarzystwo Funduszy Inwestycyjnych S.A. (IPOPEMA joint stock Investment Fund Company) with its registered office in Warsaw ("IFC"), the information sent pursuant to Art. 69 sect. 1 pt 1, Art. 69a sect. 1 pt 1 and Art. 87 sect. 1 pt 2 of Ustawa z dnia 29 lipca 2005 r. o ofercie publicznej i warunkach wprowadzania instrumentów finansowych do zorganizowanego systemu obrotu oraz o spółkach publicznych (the Act of 29 July, 2005 on Public Offering, Conditions Governing the Introduction of Financial Instruments to Organized Trading, and Public Companies, Journal of Laws of 2018, item 512, as amended, “the Act"), that as a result of acquisition by IPOPEMA 21 FIZ Aktywów Niepublicznych (IPOPEMA 21 Closed-End Investment Fund of Non-Public Assets), managed by the IFC, shares in VRG Spółka Akcyjna ("the Company") (formerly under the business name: VISTULA GROUP Spółka Akcyjna joint stock company) with registered office in Cracow, in a transaction carried out on the regulated market on December 28, 2018, settled on December 28, 2018 and as the result of assimilation of shares of BYTOM Spółka Akcyjna joint stock company with its registered office in Cracow with shares of the Company, carried out on 28 December 2018, the share of funds managed by the IFC in the total number of votes in the Company increased above the 10% threshold in the total number of votes in the Company.

Prior to the above-mentioned activities, all funds managed by the IFC held a total of 21,117,000 shares of the Company, which accounted for 9.02% of the Company's share capital and gave 21,137,000 votes, which represented 9.02% of the total number of votes at the General Meeting of the Company.

After the above-mentioned activities, all funds managed by the IFC have a total of 25,455,558 shares of the Company, which accounts for 10.86% of the Company's share capital and gives 25,455,558 votes and represents 10.86% of the total number of votes at the General Meeting of the Company.

At the same time, the IFC informs that funds managed by the IFC do not have financial instruments referred to in Art. 69 b sect. 1 of the Act.