NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART DIRECTLY OR
INDIRECTLY, IN AUSTRALIA, CANADA, JAPAN OR THE UNITED STATES DIRECTLY OR
ANYOTHER JURISDICTION IN WHICH THE RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE
UNLAWFUL. THIS ANNOUNCEMENT DOES NOT CONSTITUTE AN OFFER OF ANY OF THE
SECURITIES DESCRIBED HEREIN.

(Oslo, 28 June 2019) Reference is made to the stock exchange release from Pareto
Bank ASA ("Pareto Bank" or the "Company") published on 5 June 2019 regarding the
private placement with gross proceeds of approx. NOK 400 million (the "Private
Placement") and a potential subsequent repair offering (the "Subsequent
Offering").
The Norwegian Financial Supervisory Authority (Nw: Finanstilsynet) has approved
a prospectus prepared by Pareto Bank dated 27 June 2019 (the "Prospectus") in
connection with the listing of 10,810,810 new shares in the Private Placement,
and the subscription and listing of up to 1,081,081 new shares in the Subsequent
Offering, each with a par value of NOK 12 (the "Offer Shares"). 

The Prospectus is available on the following websites: www.paretobank.no,
www.dnb.no/emisjoner and www.paretosec.com. Hard copies of the Prospectus will
be available by contacting DNB Markets (+ 47 23 26 81 01) or Pareto Securities
AS (+ 47 22 87 87 00).

The subscription period in the Subsequent Offering commences on 09:00 (CET)
today and expires on 12 July 2019 at 12:00 hours (CET) (the "Subscription
Period"). 

The Subsequent Offering consists of an offer by the Company to issue up to
1,081,081 Offer Shares at a subscription price of NOK 37.00 per Offer Share,
which is equal to the subscription price in the Private Placement (the
"Subscription Price") raising approximately NOK 40 million in gross proceeds if
all the Offer Shares are issued. 

Eligible Shareholders, being shareholders of the Company as of 5 June 2019
(being registered as such in the VPS on 7 June 2019 (the "Record Date")) who
were not provided with inside information in the pre-sounding of the Private
Placement, (ii) who were not allocated new shares in the Private Placement and
(iii) who are not resident in a jurisdiction where such offering would be
unlawful, or would (in jurisdictions other than Norway) require any prospectus
filing, registration or similar action will be granted non-transferable
subscription rights (the "Subscription Rights").

The Eligible Shareholders will be granted 0.074335 Subscription Rights for each
existing share registered as held by such Eligible Shareholders as of the Record
Date, rounded up to the nearest whole Subscription Right. 
Each whole Subscription Right provides a preferential right to subscribe for,
and be allocated, one Offer Share at the Subscription Price, subject to
applicable securities laws.

Over-subscription will be permitted, but there can be no assurance of the number
of shares that will be available for allocation pursuant to over-subscription.
Subscription without Subscription Rights will not be permitted.
In order to subscribe for shares, Eligible Shareholders must provide one of the
Managers (as defined below) with a complete and duly signed subscription form
within the end of the Subscription Period. Further information about the
Subsequent Offering and instructions regarding the subscription procedure is
available in the Prospectus.

The Subscription Rights are expected to have an economic value if the Company's
shares trade above the Subscription Price during the Subscription Period.
Eligible Shareholders who do not use their Subscription Rights will experience a
dilution of their shareholding in the Company if other Eligible Shareholders
subscribe for Offer Shares. 

The Subscription Rights must be used to subscribe for Offer Shares in the
Subscription Period and before the expiry of the Subscription Period on 12 July
2019 at 12:00 hours (CET). Subscription Rights that are not used to subscribe
for Offer Shares before 12:00 hours (CET) on 12 July 2019 will have no value and
will lapse without compensation to the holder. 

Completion of the Subsequent Offering is subject to (i) the Board of Directors
resolving to approve the Subsequent Offering and issue the Offer Shares, (ii)
the approval of the share capital increase by the Norwegian Financial
Supervisory Authority and (iii) registration of the increased equity of the
Company pertaining to the Subsequent Offering with the Norwegian Register of
Business Enterprises and the VPS.

The payment for the Offer Shares allocated to a subscriber falls due on 18 July
2019. 

Subject to timely payment by all subscribers, the share capital increase
pertaining to the Subsequent Offering is expected to be registered with the
Norwegian Register of Business Enterprises (Nw. Foretaksregisteret) on or about
23 July 2019. The Offer Shares are expected to be delivered to the subscribers
and commence trading on the Oslo Stock Exchange on or about 23 July 2019. 

DNB Markets and Pareto Securities act as managers in the Subsequent Offering
(the "Managers"). Advokatfirmaet Schjødt AS acts as Norwegian legal counsel to
Pareto Bank.
For further information, please contact:

Tiril Haug Villum
Chief Executive Officer, Pareto Bank ASA
Tel. + 47 922 56 432

Erling Mork
Chief Financial Officer, Pareto Bank ASA
Tel. + 47 911 95 970

This information is subject to the disclosure requirements pursuant to section
5-12 of the Norwegian Securities Trading Act.

Important information: The release is not for publication or distribution, in
whole or in part directly or indirectly, in or into Australia, Canada, Japan or
the United States (including its territories and possessions, any state of the
United States and the District of Columbia). This release is an announcement
issued pursuant to legal information obligations, and is subject of the
disclosure requirements pursuant to section 5-12 of the Norwegian Securities
Trading Act. It is issued for information purposes only, and does not constitute
or form part of any offer or solicitation to purchase or subscribe for
securities, in the United States or in any other jurisdiction. The securities
mentioned herein have not been, and will not be, registered under the United
States Securities Act of 1933, as amended (the "US Securities Act"). The
securities may not be offered or sold in the United States except pursuant to an
exemption from the registration requirements of the US Securities Act. The
Company does not intend to register any portion of the offering of the
securities in the United States or to conduct a public offering of the
securities in the United States. Copies of this announcement are not being made
and may not be distributed or sent into Australia, Canada, Japan or the United
States. 

The issue, subscription or purchase of shares in the Company is subject to
specific legal or regulatory restrictions in certain jurisdictions. Neither the
Company nor the Managers assumes any responsibility in the event there is a
violation by any person of such restrictions. 

The distribution of this release may in certain jurisdictions be restricted by
law. Persons into whose possession this release comes should inform themselves
about and observe any such restrictions. Any failure to comply with these
restrictions may constitute a violation of the securities laws of any such
jurisdiction. 
The Managers are acting for the Company and no one else in connection with the
Private Placement and Subsequent Offering and will not be responsible to anyone
other than the Company providing the protections afforded to their respective
clients or for providing advice in relation to the Private Placement, the
Subsequent Offering and/or any other matter referred to in this release.
 
Forward-looking statements: 
This release and any materials distributed in connection with this release may
contain certain forward-looking statements. By their nature, forward-looking
statements involve risk and uncertainty because they reflect the Company's
current expectations and assumptions as to future events and circumstances that
may not prove accurate. A number of material factors could cause actual results
and developments to differ materially from those expressed or implied by these
forward-looking statements.