The ManagementBoard of STS Holding S.A. (the _quot;Company_quot;) informs that pursuant to theprovisions of the Incentive Program Regulations of STS Holding S.A.("Regulations") and the law, on 30 March 2023, it adopted Resolution No.3 on increasing the Company's share capital by way of issuing new sharesunder series D, depriving the existing shareholders of the company ofall pre-emptive rights and registering the Company's shares in thedepository of securities kept by the National Depository for Securities[Krajowy Depozyt Papierów Wartościowych S.A.] and applying for admissionand introduction of these shares to trading on the regulated market keptby the Warsaw Stock Exchange [Giełda Papierów Wartościowych S.A.].

The ManagementBoard of the Company was authorised to adopt the above resolution basedon the authorisation contained in the resolution of the General Meetingof Shareholders of 21 October 2021. Complying with the requirements ofthe law, on 28 March 2023, the Company's Supervisory Board adopted aresolution to approve an increase of the share capital within the limitsof the authorised capital, excluding subscription rights for existingShareholders in full.

In connectionwith the launch of the _quot;STS Holding S.A. Incentive Program" by theCompany, the share capital of the Company was increased within thelimits of the authorised capital by the amount of PLN 191,000, i.e. fromPLN 156,534,958 (one hundred fifty six million five hundred thirty fourthousand nine hundred fifty eight Polish zloty 00/100 ) up to PLN156,725,958 (one hundred fifty six million seven hundred twenty fivethousand nine hundred fifty eight Polish zloty 00/100 ).

The share capitalis increased within the limits of the authorised capital by issuing newshares under series D ordinary bearer shares in the number of 191,000(say: one hundred and ninety one thousand Polish zloty 00/100) sharesnumbered from D 144,961 to D 335,960_#160;witha nominal value of PLN 1.00 (one Polish zloty) each and with the issueprice of PLN 1.00 (one zloty) per one share.Thenew shares under series D were offered to 14 key managers of the STSGroup in accordance with the terms and conditions of the "Regulations".

Legal basis: Art.17 sec. 1 MAR - confidential information