Softline Holding plc

("Softline" or the "Company")

Softline acquires Makronet, the leading Microsoft Cloud Services Partner in Turkey, continuing its expansion across the Middle East and Africa

London, 21 September 2022 - Softline (LSE: SFTL), the global IT and digital transformation solutions and services provider, today announced the signing of an agreement to acquire Makronet, the leading Turkish Microsoft Cloud Services Provider (CSP) partner. The acquisition represents a significant addition to Softline's business in Turkey and the MEA region. It contributes to two dimensions of Softline's three-dimensional growth strategy: geographical expansion, and strengthening sales channel capabilities with Makronet´s own platform, MyAdmin.

Softline will significantly strengthen its exisiting business in the booming Turkish ICT market which was worth $29.9bn in 2021 according to Deloitte and the Turkish Informatics Industry Association*. With this transaction, Softline will be able to acquire new capabilities and skills with the great team that drives Makronet's business. Softline's customers around the world will also benefit from Makronet's own unique platform MyAdmin, which is globally awarded by Microsoft. This solution, which simplifies and optimises customers´ management and operations of CSP assets, will complement Softline´s own ActivePlatform to further digitally transform customers´ ecosystems.

Softline entered the Turkish market in 2008 with major ambitions for rapid growth; a goal that Makronet will help achieve in the near future working alongside Softline´s local team. The deal further positions Softline as a contributor to Turkey´s continuing rise as a destination for Foreign Direct Investment(FDI), with the country occupying the second position as the most popular destination for investment among 'emerging Europe' peer countries - right after Poland which leads the list - according to FDI Markets**.

Founded in 2000, Makronet is an IT solutions provider singularly focused on Microsoft cloud technologies. The Turkish leading technology company provides high quality solutions and consulting to its clients in the market. In addition to Microsoft´s cloud solutions, they also offer Software Asset Management (SAM) services and General Data Protection Regulation (GDPR) security services, managed services, enhancing Softline´s own services offering. Makronet, which has almost 1,000 cloud customers in Turkey, has been recognised by Microsoft as  Modern Workplace for SMB Partner of the Year 2022, SAM Partner of the Year 2019 and Country Partner of the Year 2018. Makronet also has been awarded by Microsoft Turkey 6 times in a row between 2014 and 2019 as Partner of the Year.

Sergey Chernovolenko, Global CEO at Softline: "When we announced our IPO at the London Stock Exchange, we made a commitment to our shareholders, employees, vendors and customers, that we would continue with our three-dimensional growth strategy to position Softline as an IT leader in emerging markets. A key part of that promise was our intention to expand to regions like the Middle East where we see enormous potential. Adding Makronet's outstanding expertise in providing Microsoft´s solutions to the Turkish market over the past 20 years is a huge boost to Softline's aim to become the digital transformation leader in Turkey ---and further strengthen our position globally."

Güçlü Tuğay, Makronet's Founder and CEO: "This acquisition represents a massive step for our company´s future. It will help us grow immensely within the market, but also push us globally thanks to Softline´s worldwide Microsoft relationships and their global presence. We are very excited to become part of Softline's team, and I can´t wait to start working together to continue bringing world-class IT solutions and services to businesses across the country, the MEA region and beyond".

As key management personnel, Güçlü Tuğay (CEO and Founder), Özgür Özgüngör (CTO) and Özge Tuğay (COO) will continue to serve at Makronet, and the whole Makronet team will continue strengthening the company's market position and accelerate business growth.

The transaction is subject to customary closing conditions and completion.

Media contact

Rocio Herraiz

Head of Global Communications at Softline

rocio.herraiz@softline.com

Eve Frayling

Pagefield PR agency

softline@pagefield.co.uk

+44 (0)7896 540438

About Softline

Softline is a leading global solutions and services provider in digital transformation and cybersecurity, headquartered in London. The company enables, facilitates and accelerates digital transformation for its customers' businesses, connecting 150,000+ organizations from all sectors with 6,000+ best-in-class IT vendors, alongside its own services and solutions.

With a turnover of US$ 2.2 billion in the fiscal year of 2021, Softline is currently one of the fastest growing companies in the sector. In October 2021, the company got its primary listing on the London stock exchange (LSE: SFTL). Softline's growth is underpinned by its three-dimensional strategy to expand its geography, portfolio and sales channels. The strategy is supported by Softline's active approach to M&As, enabling the company to take advantage of the ongoing consolidation in the industry. During the fiscal year of 2021, Softline has acquired several companies with annual turnover totalling approximately US$ 200 million, including five acquisitions that have been announced in the first six weeks of 2022.

Softline's 8,400 employees work in almost 60 countries throughout Asia, Latin America, Eastern Europe, Middle East and Africa-markets with significant growth potential.

About Makronet Technology

Makronet was founded in 2000. Makronet is a Microsoft Gold Partner singularly focused on Microsoft Cloud Technologies and providing high quality solutions and consulting to its clients. Makronet provides customers a single point of contact for all their IT needs including consulting, implementation, deployment and ongoing management of cloud products including Microsoft 365, Azure and other Microsoft Cloud products.

In 2012, when Microsoft Cloud products took place in the market in Turkey, we turned all our focus on Microsoft Cloud Technologies. Awards we have been winning since 2014 is the most beautiful indicator of this success.

As one of the biggest business partners in Türkiye, whose sole business is Microsoft, we continue to provide value to our customers with the solutions we have developed. Thanks to Turkey's largest Cloud Solutions Platform, MyAdmin, our customers can manage their Microsoft 365 and Azure subscriptions on their own with loyalty programmes, programmatic campaigns  and gamifications, which increase corporate cybersecurity awareness, and improve cybersecurity postures. As Teknopark company, we continue our R&D studies, and we produce solutions that will make our customers' lives easier.

Under the leadership of our founder, Güçlü Tuğay, who have gained experience by working in many companies for years in this sector, our aim is to improve and enrich Microsoft cloud solutions, provide our customers to use Microsoft cloud products safely and efficiently.

Sources used for this press release:

* https://www.tubisad.org.tr/en/images/pdf/deloitte_tubisad_ict%20market%20report_en.pdf

** https://www.invest.gov.tr/en/whyturkey/pages/fdi-in-turkey.aspx