SFS extends warrant exercise period

SFS Group Public Company Limited is reminding its warrant holders 2005/2007 that pursuant to the warrants’ issue terms, as included in the Prospectus dated November 3, 2005 and Supplementary Prospectus dated November 22, 2005, December 3, 2007 is the third and last exercise date of warrants.  Following the Company’s request, the CSE Council approved the extension of the period of warrant exercise from December 3 to December 7, 2007 (both dates included).  It is noted that the last trading date of warrants is November 28, 2007. 

 Pursuant to their issue terms and further to the reverse split after the EGM decision on April 27, 2007, for every 6 warrants exercised at the exercise price of CYP0.15 each, 1 new share of nominal value CYP0.60 will be allocated. 

 In case that certain warrant holders have warrants that are not divided by 6, they will be allotted additional warrants so that their total number of warrants stands at a number that can be divided by 6.  The warrants will be allocated to the warrant holders who will exercise their entire warrants.  It is noted that in such cases, the warrant holders must submit the exercise price of the additional warrants as well, so that they can be allotted the additional warrants and the additional share of CYP0.60. 

 For example, a warrant holder who holds 62 warrants and intends to exercise them all submitting the sum of CYP 9.30, he/she acquires 10 shares of nominal value CYP 0.60 each. This means that 2 warrants for which he has already paid the exercise price have been left.  Submitting the additional sum of CYP 0.60, the Company will give him/her 4 additional warrants and will issue to him/her 1 share of nominal value CYP 0.60.  In such case, the warrant holder must submit the sum of CYP 9.90 for the exercise of the 62 warrants that he/she holds and for the additional 4 warrants that he/she will be allocated. 

 It is noted that the holder of the 62 warrants may simply submit the exercise price for the 60 warrants and receive 10 shares of nominal value CYP 0.60.  The remaining 2 warrants will not be exercised. 

 All warrant holders who wish to exercise their warrants must submit to the Company’s registered office (6 Theotoki, Ayios Antonios, Nicosia) on December 3 – 7, 2007 the following:

The Acceptance Form, which will be posted to all warrant holders and is available at the website of SFS, www.sfsnet.com and the Company’s office. The shares that will result from the warrant exercise will rank pari passu with the existing shares, will be registered and will be listed in the Central Register after the CSE approves their listing in the stock exchange. 

The Company urges all warrant holders to take seriously into account the trading price of the share in the CSE during the warrant exercise.  It is noted that on October 29, 2007, the trading price of SFS fluctuated between EUR2.19 and EUR2.22, while the warrant’s trading price stood at EUR0.11 and EUR0.12. 

It is worth noting that pursuant to their issue terms, in case that a warrant holder does not exercise all or part of his/her warrants, the warrants that will not be exercised will expire.  All unexercised warrants will be disposed by the Board of Directors at its sole discretion for an exercise on the basis of the same price.