ESTCIO PARTICIPAES S.A.

PUBLICLY-HELD COMPANY
CORPORATE TAXPAYERS ID (CNPJ/MF) NO. 08.807.432/0001-10
STATE REGISTRY (NIRE) 33.3.0028205-0

MATERIAL FACT

ESTCIO PARTICIPAES S.A. ("ESTCIO" or the "COMPANY") - (BM&FBOVESPA: ESTC3; OTCQX:

ECPCY) hereby, based on Paragraph 4 of Article 157 of Law 6.404/76 and pursuant to the provisions of CVM
Instruction No. 358, of January 3, 2002, in view of its commitment to keep its shareholders, investors and the
market in general up to date about the facts disclosed in the Notice of Material Fact published on March 17,
2017, announces the following:

1. With the help of the advisors specially hired for this end, the Company has concluded the internal
investigation process to assess the complaints that the Companys CEO would have talked with
external lawyers in order to hinder the merger of the businesses of Kroton and Estcio.

2. The internal investigation process included the analysis of over 22,000 documents compiled from the
Companys and its CEOs data base, as well as interviews with selected people.

3. The investigation carried out by the Company has not find any evidence, of any type, that the CEO,
directly or through dealings with any other member of the Executive Officer, of the Board of Directors,
of the Management or with any employee, advisor or former advisor of Estcio, has taken any measure
that could, in any way, hinder, delay or impair the process of merger between the businesses of Kroton
and Estcio. More specifically, was not found any evidence that a gun jumping would have happened
by any of the companies or their agents.

4. The Vice Legal Executive Officer, together with his team and external advisors of Estcio have been
working strictly in line with Krotons Management and its lawyers in order to find the best alternative
to enable the successful accomplishment of the process of merger of the businesses of the two
companies, pursuant to the guidance issued by the respective Shareholders meetings and to the
applicable law. The work has been receiving the full care and support of the Committee ad-hoc of the
Board of Directors and also of the member of the said Board.

The Management of the Company reaffirms its commitment to keep the market and its shareholders up to date
on the merger of the businesses of Kroton and Estcio.

ESTCIO PARTICIPAES S.A.