BIRLESIM_2022 ANNUAL REPORT

BİRLEŞİM MÜHENDİSLİK 2022 FAALİYET RAPORU 168 Birleşim Mühendislik Isıtma Soğutma Havalandırma Sanayi Ticaret Anonim Şirketi and Its Subsidiaries (Currency in Turkish Lira (“TL”) unless otherwise stated). Notes to the Consolidated Financial Statements for the Year Ended 31 December 2022 21. EQUITY RESERVES AND OTHER EQUITY ITEMS The Group’s issued capital is divided into 224.000.000 shares, each worth 1 Turkish Lira (31 December 2021: 1 TL, 102.000.000 units). As of 31 December 2021 and 2022, the shareholding structure of the Group is as follows: 31 December 2022 31 December 2021 Shareholders Group Share Rate  Share Amount Group Share Rate  Share Amount Mesut Altan B 22,06% 49.411.764 B 26,96% 27.500.000 İdris Çakır B 22,06% 49.411.764 B 26,96% 27.500.000 Mesut Altan A 3,92% 8.784.314 A 3,92% 4.000.000 İdris Çakır A 3,92% 8.784.314 A 3,92% 4.000.000 Public Share B 48,04% 107.607.845 B 38,24% 39.000.000 Capital * 224.000.000 102.000.000 With the general assembly decision dated 6 June 2021, the capital shares were divided into A and B groups. With the amendments to the articles of association approved at the relevant general assembly, two of the members of the Board of Directors are elected from among Group A shares. In addition, the Articles of Association of the Company has been amended so that Group A shares can only be sold to Group A shareholders. The company distributed a gross dividend of 4.483.331 TL during the year 2022. * In accordance with the decision dated September 8, 2022, our company’s issued capital of 102.000.000 TL will be increased to 224.000.000 TL by a free-of-charge capital increase of 119.60784% within the registered capital ceiling of 300.000.000 TL. The application made by the company on September 14, 2022, for amending the Articles of Association and increasing the capital was approved by the Capital Markets Board on November 17, 2022. Premium on Shares It consists of issuance premiums obtained from the company’s public offering of 39,000,000 nominal-valued shares on August 20, 2021. The free capital increase of 122.000.000 TL, carried out in accordance with the Board of Directors’ decision dated September 8, 2022, was covered by premiums related to the shares. Restricted Reserves Legal reserves consist of first and second legal reserves, which are allocated according to the Turkish Commercial Code. First order legal reserves are set aside at the rate of 5% per annum of prior period commercial profits until all reserves reach 20% of the historical (not indexed for inflation) paid-in capital. Second order legal reserves are set aside at the rate of 10% per annum over all cash dividend distributions after the first order legal reserves and dividends. Gain/(Loss) Arising from Several Pay Provision With the change in TAS-19 “Employee Benefits” standard, actuarial loss and gains, which are taken into account in the calculation of the severance pay provision, do not allow to be recognized in the income statement. Losses and gains resulting from changes in actuarial assumptions are accounted for under equity. Effects of Business Combinations Under Common Control The effect of business combination under common control amounting to TL 4.594.787 Erde Mühendislik San ve Tic. A.Ş. on 31 December 2013 by the Company.