The Board of Directors Recommended Shareholders to Approve an Interim Dividend Payment of the Entire Net Profit for 9M of 2020

Moscow, Russia, 12 November 2020 – Detsky Mir Group (“Detsky Mir”, the “Group” or the “Company”, MOEX: DSKY), Russia’s largest specialized children’s goods retailer, announces that its Board of Directors at a meeting on 11 November 2020 resolved to convene the Extraordinary General Meeting of Shareholders (EGM). The EGM will be held by absentee vote, and the deadline for receipt of completed ballots is 17 December 2020. The record date for the EGM is 22 November 2020.

The Board of Directors recommended that the EGM approved to pay out the entire net profit for the nine months of 2020 as an interim dividend, representing a payment of RUB 3,754,120,000 or RUB 5.08 per ordinary share. Thus, the total amount of paid dividends in 2020 would increase by 11% year-on-year to RUB 7.8 bn, corresponding to around RUB 10.6 per ordinary share. The Board of Directors recommended that the EGM set the dividend record date for 28 December 2020.

In addition, the agenda of the EGM includes the following issues: approving the updated Company’s Charter and determining the number of directors to serve on the board.

The EGM materials will be available on the Company’s website (ir.detmir.ru), as well as on Interfax’s website (e-disclosure.ru) and by request at the Company’s corporate secretariat: 3 3rd Nizhnelikhoborsky proyezd, Bld. 6, 127238, Moscow after 26 November 2020.

Shareholders may register to participate in the EGM, fill out the electronic ballot form and vote via the electronic voting service online aoreestr.ru.

For additional information:

The Detsky Mir Group of Companies (MOEX: DSKY) is a multi-format retailer and the leader in the children’s goods sector in Russia. The Group comprises the Detsky Mir and the Detmir Pickup retail chains, as well as the Zoozavr pet supplies retail chain. The Company operates a retail chain of 792 Detsky Mir stores located in 306 cities in Russia, Kazakhstan and Belarus, five Detmir Pickup stores, as well as 13 Zoozavr stores as of 30 September 2020. The total selling space was approximately 858,000 square meters.

Detsky Mir Group’s shareholder structure as of the date of this announcement is as follows: Detsky Mir Group’s shareholder structure as of the date of this announcement is as follows: Free float[1] – 100%.

Websites: detmir.ru, elc-russia.ru, ir.detmir.ru

Disclaimer:

Some of the information in these materials may contain projections or other forward-looking statements regarding future events or the future financial performance of Detsky Mir. You can identify forward looking statements by terms such as “expect”, “believe”, “anticipate”, “estimate”, “intend”, “will”, “could,” “may” or “might” the negative of such terms or other similar expressions. Detsky Mir wishes to caution you that these statements are only predictions and that actual events or results may differ materially. Detsky Mir does not intend to update these statements to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events. Many factors could cause the actual results to differ materially from those contained in projections or forward-looking statements of Detsky Mir, including, among others, general economic conditions, the competitive environment, risks associated with operating in the Russian Federation, rapid technological and market change in the industries Detsky Mir operates in, impact of COVID-19 pandemic on macroeconomic situation on the markets of presence and financial results of Detsky Mir and its subsidiaries, as well as many other risks specifically related to Detsky Mir and its operations.

([1]) Excluding quasi-treasury shares and shares held by management and directors (0.8% of total shares).