Adoption of the PEPEES Group Strategy for 2019–2024

The Board of Directors of Przedsiębiorstwo Przemysłu Spożywczego PEPEES S.A. (‘the Company’, ‘the Issuer’) hereby informs about the adoption by the Supervisory Board on 14 June 2019 of the “PEPEES Group Strategy for 2019–2024” (‘the Strategy’).
In accordance with the Strategy, the Company’s mission is to build up its position of the leader in the agricultural and food processing industry, which offers a wide range of starchy products and implements innovative products. Of the leader, which owing to that can offer a satisfying shareholder value, ensure employee satisfaction and enable the development of agricultural production in Poland by establishing long-term relationships with growers, ensuring the stability and profitability of their cultivation of input plants.
As part of the implementation of the Strategy, the Company promotes the development of its customers by offering them high-quality natural starch products manufactured from agricultural raw materials and implementing innovative products.
The Company has defined the following strategic objectives:
- Increasing the value and market share of the PEPEES Group through organic growth and acquisitions.
- Expanding target markets and the product portfolio, including starch-based modified products.
- Establishing cooperation with an industry investor.
- Intensifying and improving the raw material sourcing process.
- Optimising the operation of the PEPEES Group.
Establishing the cooperation with an industry partner, in particular from the food, pharmaceutical, food supplements and children products industry, provided for in the Strategy, will be the key to further development of the Pepees Group. To implement the Strategy, proper know-how and considerable investments in the development of new products, particularly modified products, and state-of-the-art technologies must be ensured.
The Company, using its own funds, loans, share issues and other external sources and assuming that some capital will be provided by an industry investor, is planning to carry out activities that will enable the marketing of attractive products, including, but not limited to, the marketing of starch-based modified products on the European food and pharmaceutical market.
The information and assumptions contained in the Strategy do not in any way constitute a forecast or estimates of the Company’s financial performance, but are only an attempt to quantify selected operational and financial values which the Company will try to accomplish. Bearing in mind the long-term nature of the adopted strategy, the Company’s Board of Directors also would like to note that there may be a number of risks and factors beyond the Company’s control that may result in the failure to accomplish the planned strategic objectives or desired economic goals.

The Strategy presentation is attached to this report.

SIGNATURES OF THE COMPANY’S REPRESENTATIVES
Date Name and surname Position/Function Signature 
2019-06-14 Wojciech Faszczewski President of the Board of Directors 
2019-06-14 Tomasz Rogala Member of the Board of Directors