Closing of Kupari Resort Project

Acquisition Of Joint Venture Company in Dubrovnik

The Board of Directors of Hotel Properties Limited (“HPL” and together with its subsidiaries, the “HPL Group”) announced that HPL (Croatia) Limited (“HPL Croatia”), a wholly-owned sub-subsidiary of HPL, has entered into an Agreement for Sale and Purchase with Avenue Investments & Asset Management Ltd for the acquisition of one share with a nominal value of HRK 11,110,000 in the share capital of Avenue Ulaganja d.o.o. za turizam i poslovanje nekretninama (“Avenue Ulaganja”). As a result of the abovementioned share acquisition, HPL (Croatia) holds 50% of the registered share capital of Avenue Ulaganja. For further details, please visit https://links.sgx.com/FileOpen/Acquisition%20of%20JVCo%20in%20Dubrovnik.ashx?App=Announcement&FileID=681587.

Avenue Ulaganja has entered into a project agreement with the Republic of Croatia to develop a site for the provision of tourist services in newly constructed facilities. The site is in Kupari, just south of Dubrovnik, Croatia, and consists of about 13.12 hectares of land and 8.6 hectares of the maritime domain. Avenue Ulaganja has also entered into both hotel management and residence agreements with Four Seasons Hotels & Resorts.

This investment will enable the HPL Group to expand and diversify its hotel property portfolio to a new market in a fast-emerging tourist location in Europe and one of the most visited tourist destinations in the Mediterranean.

Throughout the whole process, Ilej & Partners, in cooperation with Karanović & Partners advised HPL regarding the legal due diligence of the project company and localisation of the transaction documents (including SPA and JVA) and further the completion of the acquisition.

Currently, they are providing them legal assistance on local corporate and project-related matters.

In this cross-border matter, where Croatia, UK and Hong Kong were involved, besides Ilej & Partners, in cooperation with Karanović & Partners, other firms advising on the matter were Dentons UK and Middle East LLP, leading on SPA and JVA.

The information in this document does not constitute legal advice on any particular matter and is provided for general informational purposes only.