Magnit announces the results of the Board meeting

Krasnodar, Russia (27 May, 2021): Magnit PJSC (MOEX and LSE: MGNT; the Company), one of Russia's leading retailers, announces the results of the Board of Directors meeting held on May 27, 2021 (minutes are w/o No. of May 27, 2021).

The Board of Directors of PJSC Magnit agreed on the possibility for JSC Tander (Magnit main operating subsidiary) to enter into the Letter of Credit Agreement with VTB Bank PJSC. The Letter of Credit is planned to be used for the settlement purposes following the recently announced potential acquisition of Dixy retail chain.

The Board considered this issue in line with the best corporate governance practice given that two members of the Board (Tim Demchenko and Alexey Makhnev) are related to VTB Bank PJSC. The above Directors abstained from voting. The Board decision was made based on the voting results of seven out of nine Directors, five out of them are independent.

More information about potential acquisition of Dixy retail chain and specific terms of the Letter of Credit can be found here:

• https://www.magnit.com/upload/iblock/2d9/event%2065_%D1%80%D0%B5%D1%88%D0%B5%D0%BD%D0%B8%D1%8F%20%D0%A1%D0%94_eng.pdf - in English;
• https://www.e-disclosure.ru/portal/event.aspx?EventId=xhskDxo7b0asDH-CmmJnHsw-B-B - in Russian.