CIELO S A : Notice to Shareholders - Payment of Dividends and Interest on Equity

Notice to the Shareholders

Distribution of Dividends and Interest on Equity

CIELO S.A. ("Company") (B3: CIEL3 / OTC Nasdaq International: CIOXY) announces to its shareholders and other interested parties that the Board of Directors approved today, ad referendum of the Annual Shareholders' Meeting of the Company to be held to approve the results of the fiscal year of 2019, the distribution of Interim Dividends ("Dividends") and Interest on Equity ("JCP" and, together with the Dividends, called "Earnings") in the total amount of nine million, one hundred and ninety-three thousand, five hundred and ninety-nine reais and fifty-one cents (R$9,193,599.51), in addition to the Interest on Equity approved June 24, 2019.

The Earnings referring to the second quarter of 2019 - two million reais (R$2,000,000.00) to be distributed as Interest on Equity, subject to due taxes in each case, and seven million, one hundred and ninety-three thousand, five hundred and ninety-nine reais and fifty-one cents (R$7,193,599.51) as Dividends - will be paid to the shareholders proportionally to their interests in the Company's capital stock, with shares held in treasury not entitled to the Earnings. The estimated Earnings per share is as follows:

1. Estimated earnings* per share referring to the Dividends: R$ 0.00265047945
2. Estimated gross earnings* per share referring to the Interest on Equity: R$ 0.00073689936

*The estimated Earnings per share may change if the Company's treasury shares are traded, including sales to comply with the stock option and restricted shares program.

Earnings will be paid to the shareholders on September 27, 2019, based on the shareholding position of September 12, 2019. The Company's shares will be traded ex-rights as of September 13, 2019, including this date. The Earnings announced, added to those approved on June 24, 2019, total a net payment corresponding to 30% (thirty percent) of the net income for the second quarter of 2019. The Earnings will be deducted from the minimum mandatory dividend for the year ended December 31, 2019.

Payment will be made through the depositary institution of the shares - Banco Bradesco S.A. ("Banco Bradesco"), by means of an automatic credit to those shareholders who have a checking account at Banco Bradesco and, also, to those shareholders who provided to Banco Bradesco their Individual or Corporate Taxpayers' ID and due bank account information. Shareholders who have not provided their banking information must go to a Bradesco Agency to update their registration data. We hereby report to the shareholders with shares held in custody at B3 S.A. - Brasil, Bolsa, Balcão that they will receive Earnings through their custody agents. Holders of American Depositary Receipts (ADRs) will receive the Earnings through the Deutsche Bank Trust Company Americas, contracted depositary institution.

Barueri, July 23, 2019.

Gustavo Henrique Santos de Sousa

Chief Financial and Investor Relations Officer