FP sees no need for an Extraordinary General Meeting

Berlin, 09/02/2020 

The shareholder Obotritia Capital KGaA, represented by the personally liable general partner Rolf Elgeti, which holds a stake of ca. 20.71% in Francotyp-Postalia Holding AG, has informed the Management Board in writing that it requests an Extraordinary General Meeting to be convened. According to the request, the following agenda topic shall be addressed for resolution: "Resignation of Mr Günther from the Management Board - Mr Günther is to resign from the Management Board prematurely as the Annual General Meeting has withdrawn its confidence in him". The Executive Board is currently reviewing this request with its legal advisors.

Under the German Stock Corporation Act, the Annual General Meeting has no authority to appoint or dismiss members of the Management Board. To date, no resolution has been passed on a nonconfidence-vote. Consequently, the Management Board currently understands the request to mean that the shareholder wishes to bring forward a non-confidence-vote by this request and that this should be the subject of the Extraordinary General Meeting.

The Management Board is of the opinion that, in the interests of the Company, the expense of an additional General Meeting should be avoided if possible. It will therefore examine whether the Ordinary General Meeting, originally scheduled for June 17, 2020, can be held at an earlier date.

The Management Board welcomes the fact that the Company's shareholders are following the strategic development of Francotyp-Postalia Holding AG with great interest. The Company points out that, contrary to what might be assumed from the letter from the shareholder, the Annual General Meeting has so far neither withdrawn its confidence into the Management Board nor into the CEO.

A change in the Board of Management at this time, taking into account the current strategic projects, is neither in the interest of the Company, its employees and customers, nor in the interest of the shareholders. The Management Board takes the concerns of the shareholder seriously, but still assumes that the strategic goals can be achieved overall. The transformation process of the company is progressing, and adjustments have already been made in sub-projects where there have been delays. Accordingly, the Management Board is adhering to the ACT strategy and its successful implementation and believes in the associated goals.

The company intends to further strengthen its core business and significantly expand its market share. To achieve this, substantial investments were made, particularly in the past fiscal year, in new employees, products, sales support and new structures, processes and systems. At the same time, new business fields are being further developed. As an expert in secure digital communication, FP is also further expanding its presence in growth markets such as IoT and digital signatures. The Company has significantly improved its cost and efficiency structures and expects to achieve increased EBITDA and positive free cash flow for the past fiscal year. Investments in the Group's reorganization will continue to show further improvements in earnings in 2020. 

For investor relations press enquiries, please contact:

Maik Laske

Head of Treasury / M&A / Investor Relations
Tel.: +49 (0)30 220 660 296
E-Mail: m.laske@francotyp.com

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About Francotyp-Postalia (FP)

The international, listed FP Group with headquarters in Berlin, Germany, is an expert in secure mailing business and secure digital communication processes (FP = “secure digital communication”). As market leader in Germany and Austria, the FP Group offers digital solutions for companies and authorities as well as products and services for efficient mail processing and the consolidation of business mail in the “Software/Digital”, “Franking and Inserting” and “Mail Services” segments. The Group generated revenue of more than EUR 200 million in 2018. FP has subsidiaries based in ten different countries and is represented by its own trading network in an additional 40 countries. With a company history spanning more than 97 years, FP possesses a unique DNA in the areas of actuating elements, sensor systems, cryptography and connectivity. FP has a twelve percent share in the global market for franking systems. In the digital sector, it offers unique, highly secure solutions for the Internet of Things (IoT/IIoT) and for signing documents digitally.

You can find out more at www.fp-francotyp.com.