Deufol SE: Settlement reached with former managers to resolve long-standing legal disputes / Resumption of dividend payment proposed

PRESS RELEASE

Deufol SE: Settlement reached with former managers to resolve long-standing legal disputes / Resumption of dividend payment proposed

• Payments totaling €11 million agreed to Deufol SE
• Settlement also provides the free of charge transfer of 628,017 Deufol shares for cancellation
• Effectiveness of the settlement subject to approval by the Annual General Meeting
• Dividend of €0.03 per dividend-bearing share proposed

 Hofheim am Taunus, 24. Mai 2023

Conclusion of a settlement agreement with former managers

Deufol SE and other Group companies have reached a settlement agreement with former Executive Board members Andreas Bargende and Tammo Fey, as well as former Managing Director Manfred Wagner and other persons, to settle all ongoing legal proceedings between them. The settlement provides for payments totaling €11 million and the free of charge transfer of 628,017 Deufol shares to Deufol SE for cancellation (benefits are before taxes). The transfer of the shares is planned by the end of the year. A total of €4.4 million is to be paid to Deufol SE this year. Further payments of €2.2 million each are to be made to Deufol SE in the years 2024 to 2026 (secured by bank guarantees). The effectiveness of the settlement agreement is subject to a resolution of approval by this year's Annual General Meeting. The aforementioned amounts increase the compensation already received in connection with terminated legal proceedings in previous years.

"With the conclusion of the settlement, we are closing an extremely painful and tough chapter in our company's history. However, we have reached another significant milestone in the consistent implementation of our Go-to-Market strategy. We intend to use the freedom we have gained to focus on driving forward and expanding our physical and digital End-to-End solutions internationally," says Dennis Hübner, CEO of Deufol SE.

Modified proposal for the appropriation of profits

The Administrative Board of Deufol SE proposes to distribute the unappropriated surplus of Deufol SE as at December 31, 2022 in the amount of € 13.2 million as a dividend in the amount of € 0.03 per dividend-bearing share (in total € 1.3 million) and to carry forward the remaining amount of € 11.9 million to new account. The proposal for the appropriation of net income is modified compared with the adopted annual financial statements as of December 31, 2022.

Annual General Meeting

This year's Annual General Meeting will be held for the first time after the Corona pandemic as an attendance event on June 29, 2023 at 10:00 a.m. (CEST) in the Stadthalle in Hofheim, Chinonplatz 4, 1st floor (Malersaal).

Further information on the Annual General Meeting / settlement agreement is available at https://www.deufol.com/de/investor-relations/hauptversammlung/#2023.

For further information please contact:

Deufol SE

Investor Relations

Telefon: +49 (6122) 50 1127

E-Mail: investor@deufol.com

ISIN: DE000A1R1EE6