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Pealkiri

Extraordinary General Meeting of Arco Vara AS

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NOTICE OF THE EXTRAORDINARY GENERAL MEETING, ITS AGENDA AND PROPOSED RESOLUTIONS

Dear shareholder of Arco Vara AS,

Notice  is hereby given that  the extraordinary general meeting  of Arco Vara AS
(registry   number   10261718; registered   office   at   Maakri  19/1, Tallinn,
hereinafter  also the Company) will be held  in the meeting room at Maakri 19/1,
Tallinn on the 2(nd) floor on 12 August 2021 at 10:00.

The agenda of the extraordinary general meeting:

 1. Increase of the share capital

The  Management Board, in accordance with the Supervisory Board, proposes to the
shareholders to adopt the following resolution:

 a. The Company shall issue 1,000,000 shares, each with a nominal value of EUR
    0.70, resulting in a new share capital of EUR 700,000 (the valid amount of
    share capital before the share capital increase is EUR 6,571,856.90).
 b. The new shares will be paid for with cash contributions. The issue price of
    the new shares of the Company is EUR 2.25 for each share, of which EUR 0.70
    is the nominal value of the share and EUR 1.55 is the share premium.
 c. The subscription and payment for the new shares shall take place in the
    period from 25 September 2021 at 10:00 until 15 October 2021 at 16:00 in
    accordance with the procedure specified in the offering document that will
    be published before the start of the offering period.
 d. The preferential subscription right of the Company's existing shareholders
    is excluded, the issue is directed to new retail investors who will be
    preferred in the allocation, however, existing shareholders may also
    participate in the offering.
 e. The shareholders authorise the Company's management board to determine and
    specify the final number and allocation of the shares among subscribers,
    taking into account the results of the offer and the terms of the offering
    of shares, as determined in the offering document.
 f. The offer of shares is deemed to be oversubscribed if there are more
    applications for subscription than for subscribing for 1,000,000 shares. In
    the case of oversubscription, the supervisory board of the Company decides
    on the distribution and cancellation of the oversubscribed shares.
 g. If less than 1,000,000 shares have been subscribed, the management board of
    the Company has the right to extend the subscription period or to cancel the
    shares that are not subscribed for within the subscription period.
 h. The issued shares entitle to receive a dividend starting from the end of the
    subscription period.
 i. The Company shall submit an application for the listing of all the Company's
    new shares to be issued and for the admission thereof to trading on the
    Nasdaq Main List and the shareholders authorise the supervisory board and
    management board of the Company to perform all acts and enter all contracts
    and agreements necessary to this end.

The  materials of  the extraordinary  general meeting  will be  available on the
website of Arco Vara AS at www.arcovara.com and in the registered office of Arco
Vara AS at Maakri 19/1, Tallinn on business days from 9 am to 5 pm.

Questions  regarding the agenda items may be sent by email to [email protected].
The questions together with the answers will be published on the website of Arco
Vara  AS. All  shareholders have  a lawful  right to  obtain information  at the
general  meeting from the  Management Board about  the operation of the company.
Shareholders  whose shares represent at least  1/20 of the share capital of Arco
Vara  AS may  propose a  resolution on  any or  all agenda  items, provided they
submit the proposal at least 3 days before the general meeting, i.e. by 9 August
2021 at  the latest. Shareholder requests and  proposals have to be submitted by
email  to  [email protected]  and  they  will  be  published  in line with legal
requirements.

The  list  of  shareholders  eligible  to  vote  will be fixed 7 days before the
general  meeting, i.e. on 5 August 2021 as at the  end of the working day of the
Nasdaq CSD Estonian settlement system.

We  ask everyone who decides to appoint with a proxy a representative, to inform
us  about it  at the  latest on  9 August 2021 and  send us the digitally signed
proxy  to [email protected]. In case you are  not able to sign digitally, please
send  us the  scanned proxy  to [email protected]  and the  original by  post to
Maakri  19/1, Tallinn 10145. Registration  of physical  attendees begins  on 12
August  2021 at 09:30. For registration,  please bring an  identity document, in
case  of the shareholder's representative a  written proxy, or documents proving
the  right of  representation. Documents  concerning shareholders  who are legal
persons registered abroad shall be legalised or bear an apostille.

The  invitation of  the Extraordinary  General Meeting  of Arco  Vara AS will be
published in Eesti Päevaleht on 21 July 2021.

Yours sincerely,

Management Board of Arco Vara AS