Pursuant to the Rules and Regulations of the Ljubljana Stock Exchange, d.d, and the relevant legislation, the company Poslovni sistem Mercator, d.d., hereby informs the shareholders and the public of the following:

Consortium of Mercator shareholders notified the Mercator Management Board that an agreement had been reached on the sale of their 53-percent share of the company Mercator to the company Agrokor, and that the shareholders and Agrokor signed today an agreement on the sale of the said shareholding.

Today's signature of the sales agreement between the consortium of sellers and the company Agrokor is a further step in the complex process of stabilizing the ownership composition of Mercator, as well as a step in the process of consolidation of retail in the region and formation of a leading regional retailer. The transaction is expected to be completed by the end of this year.

Toni Balažič, President of the Management Board at Mercator Group stressed upon the signing of the agreement between the consortium of sellers and Agrokor: "Mercator Management Board will carry on its efforts to see that the sales process meets three key conditions: that the acquisition is financed with international financial capital rather than with debt; that the process of sale is supported by the creditor banks; and that the acquirer supports Mercator's further development. Everyone at Mercator is aware of the importance of this moment, both for Mercator and for all stakeholders involved. We shall therefore keep up our focus on our operations and our consumers as we strive to remain their best neighbour."

The announcement by the consortium of shareholders states that the both the consortium of shareholders of Mercator and Agrokor are aware of the importance of the transaction for Mercator's numerous stakeholders including suppliers, employees, creditors, and consumers. As stated in the announcement by the consortium of shareholders, the partnership between Agrokor and Mercator will result in the formation of a leading retail group with a strong market position in the Southeastern Europe. By merging their operations, both companies will benefit as their total sales volume increases and synergies are reaped in all markets where the two companies are present. Such operations will also result in higher profitability and improved cash flow which will in turn lead to greater financial stability for the company and its stakeholders.

The completion of the transaction is subject to a number of formal procedures, including the issue of approvals by respective regulators. The transaction is expected to be completed by the end of this year.

This announcement will be published on the company’s website at www.mercator.si as of June 14, 2013, and will remain posted for a period of at least five years.