Charilaou Bros Ltd. agreed to acquire Mad Fun Entertainment Plc (CSE:XEN) in a reverse merger transaction on August 6, 2012. The acquisition price was set at €1.8 million and will be paid via the issue of 180 million shares of Mad Fun Entertainment Plc. The agreement will be finalized as soon as the legal and financial audit, which will be carried out by Charilaou Bros Ltd, satisfies Mad Fun Entertainment; the General Meeting approves the relevant resolutions for the issue and allocation to the shareholders of Charilaou Bros Ltd of 180 million shares and Mad Fun Entertainment secures a permit by the Commission for the Protection of Competition on the compatibility of the acquisition.

As of September 17, 2012, Board of Directors of Mad Fun Entertainment Plc approved the memorandum prepared by the Directors. The Board of Directors is authorized within the period of 6 months from the approval of the resolution to proceed with the issue and allocation of 180 million new ordinary shares of Mad Fun to the shareholders of Charilaou Bros Ltd, in order to acquire Charilaou Bros Ltd. The Extraordinary General Meeting is to take place on October 15, 2012.