Illimity Bank S p A : finalised purchase of distressed credit for a GBV of 120 mln

ILLIMITY FINALIZES NEW PURCHASES OF DISTRESSED CREDIT IN SPECIAL

SITUATIONS ENERGY AND REAL ESTATE AREAS

Milan, 30 October 2020 - illimity Bank S.p.A. ("illimity" or the "Bank") announces that it has finalized, through two new transactions, the purchase of distressed credits in Special Situations Energy and Special Situations Real Estate areas, for a total gross book value of around 120 million euro.

The first transaction concerns the purchase of a distressed portfolio of leased photovoltaic assets, completed through the securitization vehicle dedicated to the energy sector held by illimity and VEI Green II SpA ("VEI Green"). The deal relates to seven contracts for a total GBV of 20.5 million euro, partly classified as Unlikely-To-Pay ("UTP") and partly as bad loans. Through this transaction, the joint venture with VEI Green, which aims at investing up to 100 million euro in this sector, has ensured 360° operations with respect to market opportunities. The plants, located on roof, land and greenhouses, have a total power of over 8MW and currently benefit from the incentive rate recognized by the Electricity Service Manager.

The second transaction, completed by the Special Situations Real Estate team, concerns the purchase of single name receivables classified as UTP, claimed by Banco BPM S.p.A. from FinGruppo Holding S.p.A. in liquidation (the "Company") for a total gross nominal value of approximately 98 million euro. With this transaction, illimity consolidates almost all the debts due from the Company, having previously purchased further 61 million euro form another bank.

Andrea Clamer, Head of Distressed Credit Investment & Servicing Division of illimity, commented: "With these two new deals, illimity confirms its ability to grow in distressed market segments with a high level of specialization and expected return. Despite the difficulties represented by the current economic and financial context, the Distressed Credit Investment & Servicing Division continues its activity, thanks to the robust pipeline of opportunities and the digital nature of illimity, which allows it to fully operate in an extensive smart working mode.".

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For further information:

Investor Relations

Silvia Benzi: +39.349.7846537 - +44.774.1464948 [e-mail]

Press & Communication illimity Isabella Falautano, Francesca D'Amico [e-mail]

Sara Balzarotti, Ad Hoc Communication Advisors [e-mail]

Illimity Bank S.p.A., Sede Legale Via Soperga 9, 20124 Milano, Italia - www.illimity.com

illimity Bank S.p.A.

illimity Bank S.p.A. illimity is the high-tech banking group founded and headed by Corrado Passera which was created with the aim of responding to specific market needs by way of an innovative and specialised business model. More specifically, illimity extends financing to high-potential SMEs, purchases distressed corporate loans and services these through its platform, neprix, provides direct digital banking services through illimitybank.com and, with illimity SGR, over the next few months will set up and manage the first Alternative Investment Fund for corporate loans. The illimity Group's story began in January 2018 with the launch of the special purpose acquisition company SPAXS S.p.A., which ended with the raising of a record 600 million euro on the market. SPAXS subsequently acquired Banca Interprovinciale S.p.A., with the resulting merger between the two giving rise to "illimity Bank S.p.A." which began trading on Borsa Italiana's MTA exchange on 5 March 2019 (ticker "ILTY"). The banking group, headquartered in Milan, already employees over 500 staff and ended its first year of activity with assets of 3 billion euro.

Illimity Bank S.p.A., Sede Legale Via Soperga 9, 20124 Milano, Italia - www.illimity.com