SIDMA S.A. announces to investors that the 8^th of May 2019  Memorandum of Understanding (MoU) was executed among SIDMA S.A., BITROS METALLOURGIKI A.E.B.Ε. (jointly the Borrowers), the principal shareholders of both of the Borrowers, and the banks NATIONAL BANK of GREECE, ALPHA BANK, EUROBANK ERGASIAS, PEIRAEUS BANK, ATTICA BANK and HSBC FRANCE Athens' branch (the Banks), regarding the spin-off of BITROS METALLOURGIKI A.E.B.E.'s segment of steel products trading and its absorption by  SIDMA S.A. (the Corporate Transformation), as well as the subsequent restructuring and refinancing of the Borrowers' debt obligations  (the Refinancing).

According to the MoU the above-mentioned parties undertook the obligation to negotiate bona fide with the purpose to agree, within a reasonable time, on the conclusive business agreement for the final terms of the Corporate Transformation's implementation, as well as to the content and the terms of the Refinancing agreements, in accordance with the basic terms contained in the Proposal for Operational and Financial Restructuring dated 8th of May 2019. Furthermore, in view of the above, parties concluded a stand-still for the repayment of principal installments by SIDMA S.A. until 30.06.2019 or any subsequent date that may be agreed, under specific terms and obligations.

The Corporate Transformation and the Refinancing correspond to the need of mergers in the sector of processing and trading of steel products, which has been arisen due to the crisis that stroke the sector over the last decade.

The execution of the MoU consists a decisive step towards the fulfillment of the consolidation of the powers of two historical enterprises, for the creation of a new, powerful corporate scheme, which shall aim to accomplish economies of scale and synergies and shall present a clear development perspective.