Update

January 21, 2019

Update

Matomy Media Group Ltd. (LSE: MTMY, TASE: MTMY.TA) ("Matomy" or the "Company") announces that the trustee of the bondholders (the "Trustee") reported that on January 17, 2019 the majority of bondholders resolved to reject the Updated Key Features for a Proposed Plan, as announced by Matomy on January 9, 2019 (RNS Number: 6766M) (the "Company's Proposal"), and to vote in favor of an indicative non-binding approval of the proposal set forth by the representatives of the bondholders (the "Bond Representative Proposal").

The main addition to the Bond Representative Proposal in comparison to the Company's Proposal, is an additional sum of $3.5M to be injected to the Company (the "Additional Sum"), which may be provided in one of the following methods or a combination thereof:

· Against issuance of Series A debentures to the key shareholders (holding ~55% of the outstanding share capital of the Company), so that their total participation will equal $13.5M;

· Reduction in the cash amount to be paid to Rainmaker Investments GmbH ("Rainmaker"), the minority shareholders in Team Internet AG ("Team Internet"), for the remaining balance of their holdings in Team Internet, so that the difference between $10M to $13.5M, i.e. $3.5M, will be paid by way of issuing Series A bonds to Rainmaker.

· The aforesaid additional cash difference will be used to advance a partial repayment to the bondholders.

It is expressly noted that the Bond Representative Proposal is brought without the prior approval or consent of Matomy and/or its shareholders and/or Rainmaker. Furthermore, this resolution is only an indicative non-binding approval, any final binding agreement is subject to the formulation of settlement and/or amendment documents to the Deed of Trust of the Series A Bonds according to the principles set forth above. There can be no assurance with respect to the outcome of such discussions.

In addition, to date no resolution for immediate repayment as a result of a default has been adopted by the bondholders. However, a contingent voting proxy for immediate repayment has been published by the Trustee, stating that if the indicative conditions set by the bondholders will not be adopted by Matomy and its key shareholders by January 24, 2019, the bondholders may resolve to declare immediate repayment. Matomy's management continues to believe that its proposed plan is in the best interest of all stakeholders, in particular the bondholders and includes a substantial cash infusion by key shareholders. The Company is continuing its negotiations in order to present a comprehensive agreement for the benefit of all stakeholders (shareholders, bondholders and Rainmaker). Matomy will continue to provide updates on any developments in accordance with its disclosure obligations.  

About Matomy

Matomy Media Group Ltd. (LSE: MTMY, TASE: MTMY.TA) is a global media company. Founded in 2007 with headquarters in Tel-Aviv. Matomy is dual-listed on the London and Tel Aviv Stock Exchanges.

For more information:

Matomy Media GroupPamela Becker, VP Global Marketingpamela.b@matomy.com+972-74-7161971

Press Contact Information: 

Noam Yellin, Noam@smartteam.co.il, +972544246720

Website: http://investors.matomy.com LinkedIn: www.linkedin.com/Company/matomy-media-group 

Twitter: @MatomyGroup

Facebook: www.facebook.com/MatomyMediaGroup