RB nr 22/2007

Legal basis: Art. 56 subpar. 1 pt. 1 of the Act on Public Offering

The Management Board of MCI Management S.A. informs that on April 19 this year at the initiative of MCI Management S.A. a joint stock company “Digital Avenue” was founded. Its initial capital is PLN 642 thousand. MCI took up 100% of the share capital at the issue price equal the nominal price which is PLN 1.

The objective of the newly founded company is to develop and consolidate the enterprises in the scope of digital entertainment, content and media. The company shall play the role of a managing holding creating Digital Avenue Group Capital.

The entities from the Group Capital shall conduct the basic operations in the scope of internet, mobile as well as media and entertainment markets, generating most of its profits from e-commerce and internet advertising. The strategy of Digital Avenue assumes specializations in particular in the area of music, radio, video, IPTV, games and community.

Easy access, downloading and processing of information as well as the development of advanced technologies is the reason why all segments of the media and entertainment are beginning to overlap. Due to the growing popularity of the Internet the interest in the traditional media declines for the benefit of new interactive methods of use of the digital media and entertainment. All this is the main premise of the increase of MCI investment activity in the area of digital entertainment.

Michał Dzienisz became President of the Management Board of Digital Avenue. Mr. Michał Dzienisz has a long-lasting experience in the area of advertising and Internet. Earlier he held executive positions in e.g. AMS, Wirtualna Polska, Galposter, DD Media, Grono.net.

Foundation of Digital Avenue S.A. is the beginning of the final stage of the preparation of the project.
Digital Avenue is going to finalize the incorporation of IPLAY Sp. z o.o. to the Capital Group (first Polish, legal music website selling music through the Internet and in the mobile channel) and Streemo.pl Sp z o.o (community entertainment portal). MCI Management S.A. shall be informing about making the planned transactions described above and their conditions in its reports.