non-binding convenience translation JOINT MERGER REPORT of the Management Boards of LEONINE Licensing AG, Munich and of Odeon Film AG, Munich on the merger of Odeon Film AG into LEONINE Licensing AG dated May 18, 2021 Table of Contents: A. Introduction ................................................................................................................................ 8 B. Presentation of the companies involved in the merger ............................................................... 9 I. Odeon ......................................................................................................................................... 9 1. Overview .................................................................................................................................... 9 2. Odeon's company history, development and dependency ........................................................ 10 3. Legal form, registered office, financial year and corporate purpose ........................................ 11 4. Capital, shareholders and stock exchange trading .................................................................... 12 a) Share capital ............................................................................................................................. 12 b) Authorized Capital .................................................................................................................... 12 c) Conditional Capital ................................................................................................................... 12 d) Shareholders ............................................................................................................................. 13 e) Stock exchange trading ............................................................................................................. 13 5. Executive bodies and representation ........................................................................................ 13 a) Board of Directors .................................................................................................................... 13 b) Supervisory Board .................................................................................................................... 13 6. Business activity and participations.......................................................................................... 14 a) Odeon's individual divisions ..................................................................................................... 14 b) Odeon's participations............................................................................................................... 14 c) Market and competitive environment ....................................................................................... 15 7. Odeon's business development and results situation ................................................................ 16 a) Key data for the 2018 to 2020 financial years .......................................................................... 17 b) Business development and results situation in the 2020 financial year .................................... 17 c) Forecast for the 2021 financial year and outlook ..................................................................... 18 8. Employees and co-determination ............................................................................................. 18 a) Employees ................................................................................................................................ 18 b) Co-determination ...................................................................................................................... 20 9. Odeon's significant legal relationships with parent companies of LEONINE's Group ............ 20 Page 2 of 64 II. LEONINE ................................................................................................................................. 21 1. Overview .................................................................................................................................. 21 2. Company history....................................................................................................................... 22 a) Foundation ................................................................................................................................ 22 b) LEONINE Group ...................................................................................................................... 22 3. Legal form, registered office, financial year and corporate purpose ........................................ 23 4. Share capital and shareholders ................................................................................................. 24 a) Share capital ............................................................................................................................. 24 b) Shareholders ............................................................................................................................. 24 5. Executive bodies and representation ........................................................................................ 24 a) Board of Directors .................................................................................................................... 24 b) Supervisory Board .................................................................................................................... 25 6. Business activity and participations.......................................................................................... 25 a) LEONINE's licence business .................................................................................................... 25 b) LEONINE's participations ........................................................................................................ 25 c) Market and competitive environment ....................................................................................... 27 7. Business development and results situation ............................................................................. 29 a) Key data for 2019 short financial year as well as the 2020 financial year ............................... 29 b) Business development and results situation for the 2020 financial year .................................. 30 c) Forecast for the 2021 financial year and outlook ..................................................................... 30 8. Employees and co-determination ............................................................................................. 31 a) Employees ................................................................................................................................ 31 b) Co-determination ...................................................................................................................... 31 9. LEONINE in the LEONINE Group ......................................................................................... 31 a) LEONINE's economic role in the LEONINE Group ............................................................... 31 b) LEONINE's significant legal relationships with parent companies of the LEONINE Group .. 32 C. Significant grounds for the merger by way of exclusion of the Odeon's minority shareholders32 I. Initial situation .......................................................................................................................... 32 II. Simplified Group structure ....................................................................................................... 33 III. Synergy effects ......................................................................................................................... 34 Page 3 of 64 IV. Advantages for business partners ............................................................................................. 35 V. Protection of Odeon's shareholders' property interests ............................................................ 35 D. Alternatives to the planned merger by way of exclusion of Odeon's minority shareholders ... 35 E. Implementation of the planned merger ..................................................................................... 36 I. Merger agreement ..................................................................................................................... 36 II. Making available documents, disclosure, submission of the merger agreement to the commercial register 36 III. Share transfer resolution of Odeon's general meeting .............................................................. 38 IV. Application for entry and registration of the merger, entry into force...................................... 38 V. Costs of the merger ................................................................................................................... 38 F. Effects of the planned merger ................................................................................................... 39 I. Company law effects ................................................................................................................ 39 II. Consequences for shareholders' membership rights ................................................................. 39 III. Property transfer by way of universal succession ..................................................................... 39 IV. Accounting consequences of the merger .................................................................................. 40 V. Consequences for