Axactor Annual Report 2016

First Quarter ·· On January 18th a new amicable operations center was established in Valladolid, Spain. Initially 28 staff were employed at the center, however at the end of 2016 the center employs close to 100 employees. ·· On February 12 Axactor acquires its first unsecured NPL portfolio in Spain. The portfolio includes unsecured loans with a total Outstanding Balance (OB) of approximately EUR 500 million. Axactor paid around 3% of the Outstanding Balance. ·· On February 17 Axactor raised NOK 106.1 million in gross proceeds through a private placement of 59,600,000 new shares at a price of NOK 1.78 per share. After the transaction Axactor has 656,214,360 shares outstanding. ·· On March 3 Axactor acquired a second unsecured NPL portfolio originally generated by a large Spanish consumer finance institution. Outstanding Balance of the portfolio was EUR 18 million, and price was approx. 6.5% of the Outstanding Balance. ·· On March 17 Axactor acquired 100% of the shares in the Norwegian debt collection company IKAS for NOK 291 million, with 70 % settlement in cash and 30% in Axactor shares. The transaction closed on April 7. ·· On March 17 Axactor acquired an NPL portfolio originally generated by a large Spanish consumer finance institution with outstanding balance of approximately EUR 221 million at a price of 6.9%. Second Quarter ·· On May 5 Axactor acquires Geslico to complement its current operating platform in Spain and becomes a leading player in the Spanish debt collection market. ·· On May 26 Axactor raised NOK 375 million in gross proceeds through a private placement of 220,400,000 new shares at a price of NOK 1.70 per share. ·· On June 22 Axactor acquired 90% of CS Union and entered into a strategic partnership with Banca Sistema in Italy. CS Union has 100 employees, 22 NPL portfolios and a 3PC business with approximately EUR 290 million under management. Axactor paid EUR 9,9 million for the 90% ownership and 40% of the purchase price was settled with Axactor shares. ·· On June 30 Axactor acquires its fourth unsecured NPL portfolio in Spain from Banco Mare Nostrum. The portfolio includes unsecured and secured loans with a total Outstanding Balance (OB) of approximately EUR 144 million. Axactor paid a price close to 5% of the Outstanding Balance. Report of the Board of Directors Highlights 2016 The board of directors and the CEO hereby submit the annual consolidated report regarding 2016. Axactor AB | Annual report 2016 14