Current Report No. 8/2017

The Board of Directors of NESTMEDIC SA, a joint-stock company, with its registered office in Wrocław (the “Company”) announces as of the day before, the Company received information from the National Center for Research and Development (NCRD) on concluding an agreement concerning co-funding for the “PREGNABIT, a New Generation Telemedical System for Monitoring Fetal Well-being” under the Operational Programme 2014-2020, measure 1.1/activity 1.1.1 (the “Project”) (the “Agreement”). The total net value of the project: PLN6.933.643,98; the co-financing value: PLN4.960.115,88 where: (i) the maximum amount of co-financing for industrial research is PLN3.198.741,53, (ii) the maximum amount of co-financing for development works is PLN1.760.147,45. The period of eligibility of costs will start on June 1, 2017, and end on the day of submitting an application for the final payment, i.e. June 30, 2020. The Company agreed to ensure sustainability of the Project co-financed from the structural funds for the period of three years following the day of completion of the Project (Project durability). The Company is obliged to achieve the Project goals within the time limits and providing the results described in the application for co-financing. This Agreement may be terminated by either Party upon six month’s written notice. The termination must be done in writing and set out the reasons for which the Agreement is terminated. Other conditions of the Agreement include provisions generally applied for this type of agreement. Legal basis: Article 17 (1) of the Regulation (EU) No 596/2014 of the European Parliament and the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC