The Management Board of AFORTI Holding S.A. with its registered office in Warsaw (hereinafter referred to as „the Company”, „Issuer”), with reference to the current report ESPI 9/2020 dated March 24th, 2020 (Information on the impact of the effects of COVID-19 on the activities of the Issuer and its Capital Group) and after reviewing the portfolio companies, informs about the occurrence of events affecting the financial results and economic situation of the Issuer.
The Issuer and its subsidiaries adjust their activity to the observed and expected needs of the market, therefore the Management Board of AFORTI Holding S.A. decided to increase their involvement in the three strategic pillars of their activity, i.e. subsidiaries: AFORTI Collections S.A., AFORTI Exchange S.A. and AFORTI Factor S.A., which present the greatest development potential in the current macroeconomic environment.
In the area of debt collection, carried out by the Issuer’s subsidiary: AFORTI Collections S.A., a significant increase in the number of orders obtained and acceleration of the transfer of overdue receivables by creditors is observed. AFORTI Collections S.A. operates effectively in the face of the epidemiological threat and related restrictions, noting better and better results month to month.
In terms of currency exchange services for entrepreneurs, provided by the Issuer’s subsidiary: AFORTI Exchange S.A., after a temporary decrease in turnover caused by the economic stagnation caused by the appearance of COVID-19 coronavirus, a significant increase in turnover value is currently observed and the company strengthens its position on the market.
The situation is stable in the case of factoring services, provided by the Issuer’s subsidiary: AFORTI Factor S.A. The Company adapted its offer to the current needs of its customers. At the same time, short-term financing of entrepreneurs in the form of factoring services, due to increased credit risk in the face of the COVID-19 pandemic, is a safe form of financing from the point of view of the AFORTI Group.
In the opinion of the Issuer’s Management Board, the loan business conducted by the Issuer’s subsidiary: AFORTI Finance S.A., due to the occurrence of the COVID-19 pandemic, is currently characterized by increased cost of financing offered by institutional investors from Poland and Europe and increased credit risk. Therefore, it has been decided to stop accepting applications and providing financing in the form of loans at the beginning of August 2020, and to focus operational resources on providing financing to enterprises based on factoring services, which are more suited to the current market situation.
Legal basis: Article 17 paragraph 1 of the MAR – confidential information