Afarak Group Plc - Decisions of general meeting

AFARAK GROUP - RESOLUTIONS OF ANNUAL GENERAL MEETING

08:00 London,  10:00 Helsinki, 12 May 2016 - Afarak  Group Plc ("Afarak" or "the
Company") (LSE: AFRK, NASDAQ: AFAGR) Interim Report

RESOLUTIONS OF AFARAK GROUP'S ANNUAL GENERAL MEETING

Afarak  Group  Plc  ("Afarak"  or  the  "Company") (LSE: AFRK, NASDAQ: AFAGR) is
pleased   to announce  that all  the resolutions  proposed at yesterday's Annual
General  Meeting  (the "AGM"), as published in the  invitation to the meeting on
15 April 2016, were passed.

The  AGM  adopted  the  financial  statements  and  the  consolidated  financial
statements and discharged the members of the Board of Directors and the CEO from
liability for the financial period 2015. The AGM resolved that no dividend would
be paid for 2015.

 The  AGM agreed to a new dividend policy that the Company will in future review
it distributions to shareholders either through a capital redemption or dividend
twice yearly at the time of full year and the half year announcements.  This new
policy will allow the Board to take prudent decisions based on market conditions
whilst continuing to share its positive results with shareholders.

In  line with this new policy, the AGM resolved that a capital redemption of EUR
0.01 per  share for the year ended on 31 December 2015. The payment will be made
from  the company's  fund for  invested unrestricted  equity on 20 May 2016. The
capital  redemption is to be paid to  the shareholders who are registered on the
company's shareholder register maintained by Euroclear Finland Ltd on the record
date  for payment, being  13 May 2016. Shares will  commence trading without the
right to the capital redemption payment on 12 May 2016 in London and Helsinki.

The  AGM  authorized  the  Board  of  Directors  to  decide on its discretion on
additional  dividend from  the Company's  profits and/or  on the distribution of
assets  from the invested unrestricted equity fund  or from both as follows: the
total  amount of the additional dividend/capital  redemption shall be maximum of
EUR  0.01 per share. The  authorization is valid  until the opening  of the next
Annual  General Meeting. The Board of Directors  can also decide not to use this
authorization.  The Board of Directors has a  right to decide on other terms and
conditions related to additional dividend and/or asset distribution.

THE BOARD OF DIRECTORS
The  AGM  resolved  that  the  Board  of  Directors  would comprise of seven (7)
members:   Mr  Markku  Kankaala  (Finnish  citizen),  Dr  Jelena Manojlovic (UK
citizen),  Mr Barry   Rourke (UK  citizen), Dr  Alistair Ruiters  (South African
citizen)  and Mr  Ivan Jakovcic  (Croatian citizen)  were re-elected.   Mr Keith
Scott  (South  African  citizen)  and  Mr  Milan  Djakov  (Serbian citizen) were
elected.

The  AGM resolved the Chairman  of the Board shall  be paid EUR 4,500 per month,
the Chairman of the Audit and Risk Management Committee shall be paid EUR 4,500
and  all Board Members are paid EUR 3,500 per month. Non-executive Board Members
who serve on the Board's Committees shall be paid additional EUR 1,500 per month
for committee work. Those members of the Board of
Directors that are executives of the Company are not entitled to receive any
remuneration for Board membership.


THE AUDITOR
The  AGM resolved that the Company will  pay  the fee  to the auditor against an
invoice  that is reviewed and approved by  the Company and that according to the
recommendation   by the  Audit Committee,  the Authorised Public Accountant Firm
Ernst  & Young Oy was re-elected as the Auditor of the Company. Ernst & Young Oy
has  informed the Company that the  individual with the principal responsibility
at Ernst & Young Oy, is Authorised Public Accountant Erkka Talvinko.


ACQUIRING OF OWN SHARES
The  AGM resolved that the  Board of Directors would  be authorized to decide on
the acquiring of company's own shares.

By  virtue of the authorization for the  acquisition of own shares, a maximum of
15,000,000 own  shares  could  be  acquired  with  the  funds from the Company's
unrestricted  shareholders' equity, however, in such a way that the total number
of  own shares, which the Company and  its subsidiaries have in their possession
or  as a  pledge, does  not exceed  one tenth  of all  shares in accordance with
Section  11 of Chapter 15 of the Finnish Companies Act. The authorization covers
acquisition  of shares in public trade in NASDAQ Helsinki Oy and also outside of
the  public trade. The compensation  paid for acquired shares  shall be based on
the market value.

Derivative  contracts, share  loan agreements  or other  agreements may  be made
within  laws  and  regulations  if  they  are  customary  to capital market. The
authorization   entitles  the  Board  of  Directors  to  make  a  resolution  on
acquisition  otherwise  than  in  the  relation  of  the  shares  owned  by  the
shareholders (directed acquisition) according the preconditions set forth in the
Companies Act.

The AGM resolved that the authorization concerning the acquisition of own shares
would  among other things be used in developing the company's capital structure,
in  financing and  executing corporate  acquisitions and  other arrangements, in
executing  the  company's  share-based  incentive  systems or otherwise in being
transferred  or  cancelled.  The  acquisition  of  shares  reduces the company's
distributable non-restricted shareholders' equity.

The AGM resolved that the authorization replaces all previous authorizations and
that it is valid 18 months as from the decision of the General Meeting

THE MEETING OF THE BOARD OF DIRECTORS
Following  the  AGM,  the  Board  of  Directors  held a meeting in which Mr Ivan
Jakovcic  was appointed Chairman. The Board Committees and their composition are
as follows:

Audit Committee
Barry Rourke, Chairman
Markku Kankaala
Keith Scott

The Nomination and Remuneration committee
Dr Jelena  Manojlovic, Chairperson
Markku Kankaala
Ivan Jakovcic

The Committee for Health Safety and sustainable development
Keith Scott, Chairman
Markku Kankaala
Milan Djakov
Barry Rourke

OTHER INFORMATION
Afarak  Group Plc has,  on 12 May 2016, a  total of 263,040,695 shares and votes
and
the Company holds in total 4,244,717 of its own shares in treasury.

The  minutes of the Annual General Meeting  will be available on the internet at
the Company's website www.afarakgroup.com at the latest on 25 May 2016.


AFARAK GROUP PLC
Dr Alistair Ruiters
CEO

For additional information, please contact:


Afarak Group Plc

Jean    Paul    Fabri,    PR    &   Communications   Manager,   +356 2122 1566,
jp.fabri@afarak.com

Financial  reports and other investor information are available on the Company's
website: www.afarak.com.

Afarak  Group is a  specialist alloy producer  focused on delivering sustainable
growth  with a Speciality  Alloys business in  southern Europe and a FerroAlloys
business  in South Africa. The Company is  listed on NASDAQ Helsinki (AFAGR) and
the Main Market of the London Stock Exchange (AFRK).

Distribution:
NASDAQ Helsinki
London Stock Exchange
Main media

www.afarak.com


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