The Management Board of Cherrypick Games S.A. (the “Company”), with reference to the ESPI current report No. 17/2019, published on 25 July 2019, regarding the receipt of a security order against KuuHubb Oy in accordance with Finnish law, announces that following the receipt of a decision from the Finnish bailiff to replenish the security deposit from EUR 200,000 to EUR 400,000 in exchange for maintaining the attachment on the assets of KuuHubb Oy up to EUR 300,000 , on 10 October 2019. The Company’s Board of Directors decided not to top up the bail, as the bailiff only requested the top-up in the form of a cash deposit or a bank guarantee.

In the Company’s view, topping it up in the form of a cash deposit would result in an additional, excessive capital commitment for the Company and would freeze further funds until the dispute is resolved by the arbitration court. On the other hand, replenishment of the deposit in the form of a bank guarantee is impossible due to the Finnish bailiff’s demand that the bank guarantee be issued by a Finnish bank. No Finnish bank has operations in Poland, and obtaining such a guarantee (as a non-standard and unknown product on the Polish market for security in proceedings before a Finnish court under Finnish law) from a Polish bank would be very costly.
If the security deposit is not replenished by another EUR 200,000, the seizure will be released. It should be noted that such release does not prevent further enforcement of the Company’s receivables from KuuHubb Oy in the proceedings before the arbitration court, as the above-described decision of the bailiff is covered by the proceedings before the Finnish common court, separate from the proceedings before the arbitration court.