RB nr 48/2006

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

The Management Board of MCI Management SA informs that on December 5, 2006 the fund took up 406 shares of new issue with the nominal value of PLN 819,00 in Grupa Lew Sp. z o.o. MCI paid PLN 2,650,368.00 for the purchased shares that is PLN 6,528.00 per one share. The purchased shares correspond to approximately 24.95% of the increased share capital of the company. This is the first round of the financing of the company. The investment agreement provides that by 2009 the investment of MCI Management S.A. may be increased by the amount of up to PLN 16 million and result in acquiring up to 60% of shares, depending on the results of the Company. This is the biggest investment obligation from among all investments of MCI so far.

Grupa LEW Sp. z o.o., based in Częstochowa, is operator of fast growing network of 3350 points of electronic sale. The company is the biggest in Poland specialist distributor of pre paid cards and electronic pre-paid codes to download mobile telephones of all domestic providers of mobile telephony. The objective of MCI investment is to extend the offer and support of the company in its strive to achieve the position of the leading player in the market of e.g. electronic sale of pre-paid downloading of mobile telephones and electronic payments of bills. The objectives set for Grupa LEW shall be achieved by both organic growth and acquisitions of entities operating in this attractive segment of the market. The estimate turnover of the company for 2006 is PLN 165 million and its profit PLN 250 thousand. In the respect of the turnover volume this is the biggest company in the portfolio of MCI.

The forecasts of the providers of mobile networks confirm the increase of the pre-paid telephony market share at the cost of subscription fee telephony. Furthermore, everything indicates that the electronic sale of pre-paid products will replace the traditional system of downloading based on scratch cards. The President of Board of Grupa LEW expects that in 2006 electronic sale of downloading will reach in Poland over 50% of the whole pre-paid sale, which should close at the total amount of over PLN 2 bilion. The partners of Grupa LEW include both individual points of sale and large retail chains or gas stations. The Company shall mark cooperating locations with “Dobry Punkt” (Good Point) brand identifying the network of points with the services offered by Grupa LEW. The terminals on which sales partners of Grupa LEW are working right now are multi-application devices, which means that the company may easily add new products or services to its offer. For instance they may include payments for internet services, payments for bills, loyalty programs or payments by card. The company at present offers downloading of Onet.pl web sites (OnetSkype, Sympatia.pl and OnetPlayer).

Combining the competences of Grupa LEW in the area of electronic distribution of products and services with MCI’s know how in the area of development of modern technology should result in significant growth of value of the company and strengthening its position in the market of electronic sale.

The purchased assets correspond to over 20% of the share capital of Grupa LEW Sp. z o.o. and are considered assets of significant value.