Warsaw, Poland - March 30, 2000 - Netia Holdings S.A. (Nasdaq: NTIA), the largest alternative fixed-line telecommunications operator in Poland, today announced the approval by the General Assembly of Shareholders of the resolution introduced at its meeting held on March 30, 2000, to increase the Company¿s share capital from PLN 158,965,032 to up to PLN 188,515,032 through the issuance of up to 4,925,000 new bearer shares of par value PLN 6.00.
The newly issued shares will consist of 425,000 Series E shares issued for use in the company¿s stock option plan covering Netia¿s key personnel, board members and consultants; up to 2,250,000 Series F shares will be offered to Netias strategic partner Telia AB and up to 2,250,000 Series G shares will be offered to investors by way of a public subscription in connection with the listing of Netia¿s stock on the Warsaw Stock Exchange. Out of the Series G shares, a tranche of 50,000 shares will be also offered to the employees of the Company, its subsidiaries and affiliates.
Proceeds from the planned public offering will be used to support the implementation and development of Netia¿s business plan, including, among others, the build-out of the Company¿s nationwide fiber-optic network, the Warsaw city access network, and the ongoing introduction of new telecommunications products and services. This includes the launch of Internetia, Netia¿s 100% owned Internet service provider.
NETIA HOLDINGS is the largest alternative fixed-line telecommunications operator in Poland. In March 2000 Netia won the tender for the Warsaw voice telephony license. Including Warsaw, Netia has 24 licenses for local telecommunications services in territories covering some 15 million people or approximately 40% of the Polish population. The Company¿s existing local telephone license territories cover five of the country¿s ten largest urban areas including Krakow, Poznan, Gdansk, Lublin, Katowice and several territories surrounding the city of Warsaw. Netia has also secured the benefit of a nationwide data and IP license to provide data transmission and internet-based services. In February 2000, the Netia 1 consortium was awarded a nationwide domestic long distance voice license.
This written press-related material is not an offer of securities for sale in the United States, and the securities mentioned therein may not be offered or sold in the United States absent registration or an exemption from registration.