Hidroelectrica reacts after the Bucharest Court of Appeal decided that the appointment of directors four years ago was not legal

Hidroelectrica announces that the decision of the Bucharest Court of Appeal, which upheld that of the first instance, by which the appointment of the company’s directors, four years ago, was declared not legal, does not abolish the mandates of the directors, does not produce retroactive effects, and does not affect the listing calendar. The company will appeal the decision.

“On March 6, 2023, Hidroelectrica took note of the decision of the Bucharest Court of Appeal rejecting the company’s appeal regarding the decision issued by the Bucharest Court in April 2022 regarding the cancellation of the recruitment and selection procedure for filling five member positions of the Directorate of the company.

Basically, the court “Forces the defendant company to issue a new decision regarding a new recruitment and selection procedure.”

Under these conditions, it must be said that the court decision – appealable, refers exclusively to the recruitment procedure and does not abolish the current mandates of Hidroelectrica directors. Also, the decision of the Court of Appeal does not have retroactive effects.

The company’s management continues to respect its commitments and tasks entrusted upon taking over the mandate, pursuing the successful fulfillment of both the company’s economic and investment objectives, as well as those related to the company’s listing process at the Bucharest Stock Exchange. The court’s decision does not affect the listing calendar, which will be followed according to the stages already established. The company will file an appeal within the legal term.

It should be noted that a selection process is currently underway for the new Supervisory Board of Hidroelectrica, the appointment of the new members will take place in March 2023. Following their appointment, one of the key responsibilities of the new Supervisory Board will be the launch of a new selection procedures for the Directorate. It is important to note that the mandate of the current directorate will expire in June 2023, therefore it is expected that the selection process will be initiated in the near future.

We remind you that Hidroelectrica is one of the most performing companies in the portfolio of the Romanian state, the exceptional economic results of the last years, the diversification of the portfolio and the opening of new business lines confirming the fact that the company was and is managed with honesty and professionalism, in the spirit of all principles corporate governance.”