Approval of the public tender offer

To: Bucharest Stock Exchange

Financial Supervisory Authority

London Stock Exchange

Current report according to Article 234 para. (1) letter k) of the Financial Supervisory Authority Regulation no. 5/2018 on issuers of financial instruments and market operations, as well as the provisions of Article 99 letter f) of the Code of the Bucharest Stock Exchange, Title II, Issuers and Financial Instruments.

Important events to be reported:

Approval of the public tender offer in relation to the acceleration of the buy-back programme

Franklin Templeton Investment Management Ltd. United Kingdom Bucharest Branch ("the Investment Manager"), in its capacity of investment manager of Fondul Proprietatea SA ("the Fund"), would like to inform investors that the Financial Supervisory Authority approved on 4 November 2020 the Fund's application for a public tender offer in relation to the acceleration of the ongoing buy-back programme (the "Offer").

The main details of the Offer are:

· Value of the Offer: up to 165,000,000 shares in the form of shares and/or global depositary receipts which represent the shares ("GDR")

· Purchase price: RON 1.39 per share and the USD equivalent of RON 69.5 per GDR, computed in accordance with the terms and conditions of the tender offer documentation

· Subscription period: 12 November 2020 - 16 December 2020

· Allocation method: pro-rata

· Intermediary: Swiss Capital S.A.

· Dealer managers: Swiss Capital S.A. together with Auerbach Grayson

· GDR Tender Agent: The Bank of New York Mellon

The Fund will soon announce the publication of the Offer documentation which contains the details, steps and procedures to be followed for participating in the Offer.

Franklin Templeton Investment Management Ltd. United Kingdom Bucharest Branch acting as Investment Manager of FONDUL PROPRIETATEA S.A.

Johan MEYER

Legal Representative

Report date:

4 November 2020

Name of the issuing entity:

Fondul Proprietatea S.A.

Registered office:

78-80 Buzesti Street

7th floor, district 1,

Bucharest, 011017

Phone/fax number:

Tel.: + 40 21 200 9600

Fax: + 40 21 200 9631

Email:

[email protected]

Internet:

www.fondulproprietatea.ro

Sole Registration Code with the Trade Register Office:

18253260

Order number in the Trade Register:

J40/21901/2005

Subscribed share capital:

RON 3,749,282,292.08

Paid-up share capital:

RON 3,560,099,870.08

Number of shares in issue:

7,210,158,254

Number of paid shares:

6,846,345,904

Regulated market on which the issued securities are traded:

Shares on Bucharest Stock Exchange 

GDRs on London Stock Exchange