RB nr 44/2006

Legal basis: § 5 subpar. 1 pt. 1 of RO and § 7 of RO

The Management Board of MCI Management SA informs that on November 13, 2006 PWM – Portal Wykup Menadżerski S.A. – a portfolio company owned in 100% by MCI Management SA, bought 1,738 shares (100% of the share capital) with the nominal value of PLN 500.00 of Fin Skog Geomatics International Sp. z o.o. from Gdańsk – an integrator of the geographic information systems. The amount of the transaction was PLN 399.96 thousand, that is on average PLN 230.00 per share. On the same day the shareholders of Fin Skog Geomatics International for the same amount of PLN 399.96 thousand acquires in the increased capital of PWM SA 399.960 shares with the nominal value of PLN 1.00, which corresponds to 67% of the share capital after increase. Furthermore, on November 13, 2006 PWM SA purchased from MCI Management SA 154 shares (77% of the share capital) of GIS integrator in the investment portfolio of the fund – GeoTechnologies Sp. z o.o. for PLN 200 thousand, that is PLN 1,379.31 per share and is planning to become the owner of 100% of the shares of that company in the nearest future. The transactions were made at parity valuations close to accounting valuations. At the same time on the basis of the resolution of the General Assembly of the Shareholders PWM SA was transformed to Fin Skog SA. New shareholders of Fin Skog SA are natural persons in no way connected with MCI Management S.A. or persons supervising or managing the company.
The transactions were made in order to carry out the strategy consisting in building a specialized IT integrator offering complex services and solutions in the market of the geographic information systems (GIS). After making the transactions MCI holds 33% in the newly found Fin Skog SA and creates an IT capital group with estimate consolidated turnover for 2006 at the level of PLN 15 million and profit PLN 300 thousand. The group at present includes the Gdańsk Fin Skog Geomatics International Sp. z o.o. and Wrocław GeoTechnologies Sp. z o.o. The objective of the creation of the group under the business name of Fin Skog S.A. is to increase the share in the market of GIS solutions – by both organic growth and acquisitions of next entities operating in this attractive segment of IT market.
The Geographic Information Systems (GIS) serve at present the most crucial registers required for the functioning of a modern state. The register of land, buildings and premises, spatial development, agricultural subsidies or environmental protection require efficient, stable and safe GIS IT solutions whose implementation is very often required in the process of integration and implementation of the European Union standards.

Combining the solutions of Fin Skog Geomatics Int., offered mainly to public administration at central and local levels with the solutions of GeoTechnologies, developed for the needs of local authorities, MCI Management S.A. has created an entity with comprehensive offer of GIS solutions for administration, ranking high among the specialized IT companies. Merging both companies with complementing competences with MCI know how shall bring about a significant increase of competitiveness of solutions offered by the new entity for public administration at all levels. Fin Skog SA shall also undertake dynamic activities for the growth of the share of the company in the market of GIS solutions for industry and public utility companies. MCI expects that the company’s business will grow in 2007 by at least 40%.
The assets sold and purchased are considered assets of significant value for MCI Management SA.