DGAP-Ad-hoc: SLEEPZ AG / Key word(s): Investment SLEEPZ AG signs termsheet for the acquisition of URBANARA GmbH 24-Aug-2018 / 14:00 CET/CEST Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014 SLEEPZ AG signs termsheet for the acquisition of URBANARA GmbH Berlin, 24.08.2018 - SLEEPZ AG today agreed with the main shareholders of URBANARA GmbH on a termsheet for the 100% takeover of the Berlin-based online-retailer URBANARA GmbH. The company focuses on home textiles and home accessories under its own brand URBANARA and generates sales in the higher single-digit million EUR range. The takeover is to take place against the issue of shares of SLEEPZ AG in the form of a contribution in kind. The share price of SLEEPZ AG was set at Euro 1.20, the valuation of URBANARA GmbH - after conversion of outstanding convertible loans of Euro 1.1 million - at Euro 6.2 million. In the event of further financing for URBANARA prior to the acquisition by SLEEPZ, the valuation of the company may be adjusted. The final valuation will take place after confirmation by an expert opinion on the investment in kind to be commissioned. Based on the current valuation, the transaction will result in the issue of almost 5.2 million new no-par value bearer shares of SLEEPZ AG with a proportionate amount of the share capital of Euro 1.00 per share through partial utilization of the existing authorized capital against non-cash contributions at SLEEPZ AG. The termsheet is subject to a number of further conditions precedent in particular the satisfactory completion of the due diligence already begun and the raising of the growth financing necessary for the SLEEPZ Group and URBANARA as part of the current convertible bond placement of SLEEPZ AG. The aim is to reach a signing by the end of September 2018. Disclosing person: Oliver Borrmann, Executive Board member Contact: Corinna Riewe, + 49-30-20305567, [email protected] --------------------------------------------------------------------------- 24-Aug-2018 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de --------------------------------------------------------------------------- Language: English Company: SLEEPZ AG Schlüterstraße 38 10629 Berlin Germany Phone: +49 (0)30 20 305-0 Fax: +49 (0)30 20 305-555 E-mail: [email protected] Internet: www.sleepz.com ISIN: DE000A2E3772, DE000A2E4L59 WKN: A2E377, A2E4L5 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Stuttgart, Tradegate Exchange; Warschau End of Announcement DGAP News Service --------------------------------------------------------------------------- 717343 24-Aug-2018 CET/CEST