On 12/27/2023, JSC Kharkivoblenergo published a statement “Regarding an attempt to seize control of the enterprise by the sanctioned oligarch Novinsky”, which was distributed by a number of media outlets.

Smart-Holding is considering this statement by the management of Kharkivoblenergo, headed by the acting General Director K. Logvinenko as another manipulative attempt to remain in the management of a strategically important enterprise despite numerous facts of misappropriation or embezzlement of property, appropriation of funds of Kharkivoblenergo in particularly large amounts by officials of the Company, which are the subject of an investigation by the National Anti-Corruption Bureau of Ukraine (see NABU notification dated 05/22/2023)

On 12/25/2023, an extraordinary general meeting of shareholders of JSC Kharkivoblenergo was held, convened by the decision of JSC Ukrainian Distribution Networks, which is the majority shareholder of the Company - owns 65% of the shares. The company SMART HOLDING (CYPRUS) LTD, which is a minority shareholder of JSC Kharkivoblenergo, did not participate in the voting and did not submit candidates for election to the Supervisory Board of the Company. This is confirmed by the minutes of the general meeting of shareholders, which will soon be published by JSC "Ukrainian Distribution Networks".

We emphasize once again that Vadym Novinsky is not the ultimate beneficial owner (controller) of "Smart-Holding" as of 01.12.2022 and does not have the opportunity to exercise decisive influence on the management or economic activities of the Group's companies. By manipulating and disseminating unreliable information, the management of JSC "Kharkivoblenergo" is trying by all available methods to shift the focus of public attention from its own violations of Ukrainian legislation and to silence criminal proceedings against officials of the energy enterprise.