Lavipharm : Annual Shareholders’ Meeting

Peania, 30 June 2022 - Lavipharm SA held its Annual Shareholder meeting today at its corporate headquarters in Peania. The Meeting took place with the necessary quorum, with 61.79% of shareholders in attendance.

Non-Executive Chairman Minas Tanes opened the meeting, noting that "We are very satisfied with the operation of the Group and proud of the performance of our activities. We remain faithful to our values and to what we have achieved so far, and we continue to grow vigorously."

Telemaque Lavidas, Executive Member of the Board, took the opportunity of this year's Shareholders' Meeting to underscore "the major effort we have all made for the successful implementation of our new strategic plan", adding that "Despite the effects of the pandemic on the Greek economy, the challenges we constantly face in the supply chain, and the procurement of raw materials, our financial results for 2021 were significantly strengthened. This empowers us to remain more committed than ever to achieving our strategy. We continue with the same enthusiasm, and we are setting new goals for the growth of our group and further enhancement of our position in the areas of our expertise, both in Greece and internationally."

Panagiotis Giannouleas, COO and Country Manager, presented the 2021 annual report, pointing out, among other things, that "In a year of challenges, we succeeded in managing the crisis and increasing our turnover. We are committed to continuing the implementation of our strategy and enhancing the competitive advantages that Lavipharm has."

Next, Vassilis Baloumis, the Group's CFO, presented Lavipharm's financial performance, emphasizing that "in 2021, Lavipharm recorded an increase in sales, an improvement in equity and a reduction in bank borrowing, despite the continuous challenges faced due to the pandemic." More specifically, consolidated sales, after deduction of rebates and clawbacks, amounted to EUR 39.7 million, up from EUR 37.6 million in 2020, posting an increase of 5.5%. Equity improved by EUR 1.7 million, while the Group, due to its operational profitability, further reduced its bank borrowing by EUR 2.2 million, in line with the practice of the last five years.

During the Shareholder Meeting, all items on the agenda were discussed and approved by majority. Among other resolutions, a new Audit Committee was elected as an independent joint committee, consisting of an independent non-executive member of the Board of Directors, a non-executive member of the Board and a third independent person. After voting, Dimitrios Christopoulos, Christos Diamantopoulos and Antonios Polykandriotis were appointed as members, respectively. The Audit Committee has a term of one year, expiring on 30 June 2023.

Finally, the meeting approved an increase in the share capital by EUR 81,037,877.00 through capitalization of part of the premium reserve and an increase in the nominal value of the existing shares from EUR 1 to EUR 2,586,457.38, providing the relevant authorizations to the Board of Directors. At the same time, the meeting decided to reduce share capital by EUR 127.010.804,00 through reducing the nominal value of the existing shares from EUR 2,586,457,38 to EUR 0.10 in order to offset losses of equal amounts, providing the relevant authorizations to the Board of Directors. Finally, the meeting approved the increase in the nominal share value from EUR 0.10 per share to EUR 0.30 per share, with a simultaneous reduction in the total number of shares of the Company from 51,081,030 to 17,027,010 common registered voting shares in a ratio of three (3) old shares of the Company to one (1) new share (reverse split 3:1), providing the relevant authorizations to the Board of Directors.