APF Holdings IPO Attracts 107% of Investment Target, Investment Made Also by Two Pension Funds

AS APF Holdings (hereafter - APF) in its initial public offering (IPO), which
concluded on Friday, November 3rd, has attracted 107% of the investment target,
which amounts to 5 624 204 euros. The IPO target price per share was 5.11
euros, with a goal of 5 252 722 euros. In total, 2 128 investors participated
in the IPO, and two Latvian pension funds also acquired a significant portion
of the shares issued. 

Given that the demand for shares exceeded the supply, investment orders will be
executed for 5.25 million euros, and the remaining amount will be returned to
investors in accordance with the IPO allocation rules. The allocation of shares
will take place today. 

"Despite the prevailing pessimistic sentiment among investors on the Baltic
Stock Exchange, we managed to surpass the IPO investment target thanks to a
compelling growth story that includes clarity on the dynamics of egg production
supply and demand, our sustainability performance and ambitions, as well as our
detailed development plans. We are pleased that two Latvian pension funds and a
large number of private individuals have expressed their trust in our business
by making significant investments, both in relatively small and substantial
amounts," said Juris Adamovics, Chairman of the Board of AS APF Holdings. 

"I hope that our IPO will strengthen the Latvian capital market and provide
confidence that with a well-founded business vision, Latvian and Baltic
companies can attract the necessary funds from various sources, including local
pension funds, which have not participated in Latvian IPO deals for more than
five years," continued J. Adamovics. 

Of the IPO investment volume, 90% was raised in Latvia, while 9% was raised in
Estonia, and 1% in Lithuania. In terms of the number of investors, 73 % were
from Latvia, 25 % from Estonia, and 2 % from Lithuania. IPO share purchase
orders were received from 12 Baltic banks and 1 investment management company. 

"We congratulate APF Holdings on having more than 2,000 new shareholders and
the new shareholders with the prospect of investing in a local production
company, whose products they can now purchase from store shelves as co-owners.
At a time when most IPO projects in most countries have almost come to a
standstill, local investors in Latvia have shown significant support for an
ambitious local company. APF Holdings IPO is a project that we can truly be
proud of, with a growing local investor community. More than 90% of the IPO
proceeds were from Latvia, which, together with local pension plans, provides
real opportunities for local companies to attract financing in the local
capital market," said Roberts Idelsons, Chairman of the Board of Signet Bank. 

On the day of listing, with a share price of 5.11 euros per share, APF's total
market capitalization, or the total market value of all company shares, will be
29.3 million euros. APF's shares will be listed on the Nasdaq Riga Stock
Exchange's First North list, starting this Thursday at 10:00 a.m. The trading
symbol for APF shares on the stock exchange will be "EGG." 

As reported earlier, the goal of APF's IPO was to raise funds for growth,
significantly expanding its operational scale and increasing egg production by
60% by 2025 while more than doubling its revenue from around 11 million euros
in 2022 to 25 million euros in 2025. With investor contributions from the IPO
and further bank financing, it is planned to build two additional laying hen
facilities in addition to the existing three and expand production support
infrastructure. This will increase egg production from 115 million eggs per
year to as much as 180 million and grow the number of laying hens to 665
thousand. In addition, APF plans to start egg processing, supplementing its
production with new production facilities to create modern and healthy egg
products. 

Signet Bank is the financial advisor and organizer of the APF IPO, with AS LHV
Pank acting as the IPO share sales agent in Estonia. Legal matters related to
the APF IPO are advised by the Eversheds Sutherland Bitans law firm. It is
expected that APF's share listing on the Nasdaq alternative market First North
list will begin on November 9th this year or shortly thereafter. 

AS APF Holdings was founded in 2017 by Juris Adamovics to acquire and modernize
a poultry factory based in Aluksne with a history of 60 years. Currently, AS
APF Holdings encompasses a group of companies engaged in poultry farming,
chicken egg production and trading, as well as gas and organic fertilizer
production related to poultry farming processes. The group of companies
includes SIA Aluksnes putnu ferma (poultry farming and egg production), SIA APF
Trading (wholesale trade in chicken eggs), SIA Oluksne (providing poultry
farming and egg production services), SIA APF Energy (gas and organic
fertilizer production), and SIA Preilu putni (poultry farming and young chicken
rearing). Juris Adamovics is the largest shareholder of AS APF Holdings. 

Disclaimer: This statement is unpaid marketing communication in accordance with
the Prospectus Regulation and should not be considered as investment advice or
an offer. The information provided here includes statements regarding the
public offering of AS "APF Holdings" shares. Each investment decision should be
based on the Prospectus approved by the Bank of Latvia. The approved Prospectus
is available on the Bank of Latvia's website (https://bank.lv/). 



Additional information:
Jana Garanca
Head of Marketing and Digital Projects
APF Holdings
M: + 371 26408922
E: [e-mail]