Litigation - Final Settlement of DEER Litigation

Societatea Energetica Electrica SA

30 April 2024

 

To:                              Bucharest Stock Exchange (BSE)

                                    London Stock Exchange (LSE)

Romanian Financial Supervisory Authority (FSA)

Current report in compliance with the Law 24/2017 on issuers of financial instruments and market operations, FSA Regulation no. 5/2018, and the Bucharest Stock Exchange Code

Report date: 30 April 2024

Company name: Societatea Energetica Electrica S.A. (Electrica)

Headquarters: 9 Grigore Alexandrescu Street, 1^st District, Bucharest, Romania

Phone/fax no.: 004-021-2085999/004-021-2085998

Fiscal Code: RO 13267221

Trade Register registration number: J40/7425/2000

Subscribed and paid in share capital: RON 3,464,435,970

Regulated market where the issued securities are traded: Bucharest Stock Exchange (BSE) and London Stock Exchange (LSE)

Significant events to be reported: final settlement of DEER case no. 375/1285/2021

Electrica informs shareholders and investors that, on 23 April 2024, the High Court of Cassation and Justice definitively settled the case initiated by Grup 4 Instalatii S.A. and continued by G4 Electrice S.A., as a result of the division of Grup 4 Instalăţii S.A., against DEER, having no. 375/1285/2021.

On merits, the Court partially admitted the specified action and obliged the defendant to leave the plaintiff full ownership and peaceful use of the land with an area of 10720 square meters, registered in CF 297841, having no. cadastral 297841, located in Cluj-Napoca, 28A Ilie Măcelaru Street, 2 Uzinei Electrice Street, Cluj County, as identified in the expert report, with the defendant continuing to use the land on which the C5 and C6 buildings are located, in its ownership. The court obliged the defendant to leave to the plaintiff the full ownership and peaceful use of the buildings having no. cadastral 297841 - C1, with a built-up area of 448 sqm, 297841 - C2, with a built-up area of 512 sqm, 297841 - C3, with a built-up area of 171 sqm, 297841 - C4, with a built-up area of 338 sqm, located in Cluj-Napoca, 28A Ilie Măcelaru Street, 2 Uzinei Electrice Street, Cluj County, as they were identified in the expert report drawn up in the case. At the same time, the court ordered the registration of the ownership right in favor of the plaintiff over the land with an area of 10720 square meters, registered in CF 297841, having no. cadastral 297841, located in Cluj-Napoca, 28A Ilie Măcelaru Street, 2 Uzinei Electrice Street, Cluj County, and on the constructions with no. cadastral 297841 C1 - C4, located in Cluj - Napoca, 28A Ilie Măcelaru Street, 2 Uzinei Electrice Street, Cluj County, as identified in the expert report drawn up and rejects, as unfounded, the demands requesting the rectification of entries in the land register in the sense of canceling the registration decisions and erasing the defendant's property right.

On appeal, the Cluj Court of Appeal admitted the exception of illegality of the Certificate of Attestation of the Property Right series M03 no. 8696 of 28.08.2003 issued by the Ministry of Economy and Trade, invoked by the plaintiff respondents Grup 4 Instalăţii SA and G4 Electrice SA and rejecting the appeal made by DEER.

In recourse, the Court found null the recourse declared by the Ministry of Economy, Entrepreneurship and Tourism against civil decision no. 243A/2023 of September 28, 2023, pronounced by the Cluj Court of Appeal and definitively reject the DEER appeal.

The object of the litigation was the obligation of DEER to recognize and respect the property rights of G4 Instalatii S.A. regarding the buildings located in Cluj Napoca, 28A Ilie Măcelaru Street, 2 Uzinei Electrice Street, registered in CF 297841 Cluj Napoca with cadastral no. 297841, consisting of land with an area of 10720 sqm and constructions: construction registered in CF with cadastral no. 297841-C1, building administrative headquarters with an area of 1560 sqm; body A, building cadastral no. 297841-C2 - 512 sqm, body B, building cadastral no. 297841 -C3 - 171 sqm, building C, building cadastral no. 297841 - C4 - 338 sqm, building D, building cadastral no. 297841-C6 - 348 sqm - 110/10 Kw Transformer Station. At the same time, the handover of the above buildings and the rectification of the CF registrations were requested in the sense of canceling the closings of the tabulation by which the property right of DEER was registered, the deletion of the property right from the CF, the registration of the property right in favor of G4 Instalatii.

Head of Legal Department

Stefania ANDRUHOVICI

 

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