Press Release | Krasnodar | November 2, 2018

PJSC "Magnit" Announces the Execution of the Legally Binding Documentation for Acquisition of SIA Group and Submission to the FAS Russia a Request for Approval of the Transaction

Krasnodar, Russia (November 2, 2018): Magnit PJSC (MOEX and LSE: MGNT; Company, Group), one of Russia's leading retailers, announces that JSC "Tander" and LLC "Selta" (subsidiaries of the Group) signed legally binding documentation with Serengate Advisors Limited (being a part of Marathon Group, www.marathongroup.ru) for acquisition of SIA-Group through the acquisition the 100% share in the charter capital of LLC "MF-SIA". JSC "Tander" submitted to the FAS of Russia a request for preliminary approval hereof.

The terms of the transaction are consistent with the key terms considered by the Board of directors of PJSC "Magnit" on October 04, 2018 and published by the Company on October 05, 2018 (see the full text of the corresponding decisions of the Board at:

http://tools.morningstar.co.uk/tsweu6nqxu/globaldocuments/document/rnsNewsItem.aspx?DocumentId=404375465885764 (in English) and at http://www.e-disclosure.ru/portal/event.aspx?EventId=iSYy-C5N5o0yBIUeDp49ZJA-B-B (in Russian).

"SIA Group" (www.siamed.ru) is one of the five largest pharmaceutical distributors in Russia.

JSC "Tander" is a subsidiary of PJSC "Magnit", full company name: Joint-Stock company "Tander" registered at 185 Levanevskogo Street, Krasnodar, Krasnodar region, 350002, Russian Federation; Taxpayer Identification Number 2310031475, Principal State Registration Number: 1022301598549.

LLC "Selta" is a subsidiary of PJSC "Magnit", full company name: Limited Liability Company "Selta" registered at 15/5 Solnechnaya Street, Krasnodar, Krasnodar region, 350072, Russian Federation; Taxpayer Identification Number: 2310053662, Principal State Registration Number: 1022301614873.

Serengate Advisors Limited is a private limited liability company organized under the laws of Cyprus, full company name: Serengate Advisors Limited registered at Gianni Kranidioti 100, 1st floor, flat/office 102, Latsia, 2235, Nicosia, Cyprus.

LLC "MF-SIA" is the limited liability company "MF-SIA" registered at office 1, 3rd floor, 10A B. Savvinskiy lane, Moscow, 119435, Russian Federation; Taxpayer Identification Number: 7704448384, Principal State Registration Number: 5177746272072.

FAS of Russia is the federal executive authority of Russia, full name is the Federal Antimonopoly Service of the Russian Federation registered at 11 Sadovo-Kudrinskaya Street, Moscow, 125993, Russian Federation; Taxpayer Identification Number: 7703516539, Principal State Registration Number: 1047796269663.

Forward-looking statements:

This document contains forward-looking statements that may or may not prove accurate. For example, statements regarding expected sales growth rate, store openings and future transactions are forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause actual results to differ materially from what is expressed or implied by the statements. Any forward-looking statement is based on information available to Magnit as of the date of the statement. All written or oral forward-looking statements attributable to Magnit are qualified by this caution. Magnit does not undertake any obligation to update or revise any forward-looking statement to reflect any change in circumstances.

For further information, please contact:

Petr Molchanov    Alisa Kvadzba   
Chief Investment Officer  IR manager    
Email: molchanov_ps@magnit.ru  Email: magnitIR@magnit.ru 

Office: +7-861-277-4554 x 45000  Office: +7-861-277-4554 x 17601

Note to editors:

Public Joint Stock Company "Magnit" is one of Russia's leading retailers. Founded in 1994, the company is headquartered in the southern Russian city of Krasnodar. As of September 30, 2018, Magnit operated 37 distribution centers and 17,442 stores (12,813 convenience, 457 supermarkets and 4,172 drogerie stores) in 2,866 cities and towns throughout 7 federal regions of the Russian Federation.

In accordance with the reviewed IFRS consolidated financial statements for 1H 2018, Magnit had revenues of RUB 595 billion and an EBITDA of RUB 44 billion. Magnit's local shares are traded on the Moscow Exchange (MOEX: MGNT) and its GDRs on the London Stock Exchange (LSE: MGNT) and it has a credit rating from Standard & Poor's of BB.