Conclusion of a framework agreement concerning CCC Austria Ges.m.b.H
(Current report no. 37/2021)
Article 17 sec. 1 of MAR - confidential information
The Management Board of CCC S.A. based in Polkowice ("the Issuer") announces that on 16 June 2021 the framework agreement ("Framework Agreement") with Pepco Poland sp. z o.o. based in Poznań ("Pepco"), concerning the acquisition of 29 of the 46 lease contracts for commercial space ("lease agreements") concluded by CCC Austria Ges.m.b.H ("CCC Austria").
It is the intention of the Issuer and Pepco to assign the rights to the lease agreements concluded by CCC Austria to Pepco Austria GmbH ("Pepco Austria") or alternatively, at the request of the lessor, to terminate the respective lease agreement concluded by CCC Austria and to conclude a new lease agreement by Pepco Austria (the "Transaction"). The Transaction is expected to be completed by 30 September 2021.
The Transaction is conditional upon a number of conditions, including: completion of legal and operational due diligence of the lease agreements, obtaining required corporate approvals for the assignment of the lease agreements and approvals of the entities leasing areas to CCC Austria.
By virtue of the assignment of the lease agreement or in connection with the termination of the respective lease agreement, Pepco Austria will not be obliged to pay any remuneration to CCC Austria and, furthermore, CCC Austria will not be obliged to incur any costs towards the lessors of the retail space associated with the termination of the respective lease agreement.
In the case of 14 locations leased by CCC Austria, not covered by the framework agreement, CCC will take actions to terminate the lease agreements. As for the remaining 3 CCC stores located in key locations, it is planned to replace them with the flagship HalfPrice shops.
The transaction is part of the announced actions of the CCC Group in terms of restructuring the offline sales network in the Western European region.
1/ Karol Półtorak - Vice-President of the Management Board
2/ Hanna Kamińska - Proxy