Valamar Riviera d.d.

Share Issue/Capital Change • Dec 3, 2021

LEI: 529900DUWS1DGNEK4C68 Member State: Republic of Croatia ISIN: HRRIVPRA000 Security: RIVP (RIVP-R-A) Bloomberg: RIVP CZ; Reuters: RIVP.ZA Listing: Prime Market of Zagreb Stock Exchange

HANFA- Croatian Financial Services Supervisory Agency Franje Račkog 6 10 000 ZAGREB

HANFA – Official Registry of Regulated Information

Zagreb Stock Exchange Ivana Lučića 2a 10 000 ZAGREB

HINA – Croatian News Agency ots@hina.hr

Poreč, 3/12/2021 File no: 1-87/21

Subject: Notice on the participation in the increase of share capital, on the intention to transfer the hotels to Imperial Riviera d.d. and on the change of the management structure in the new term (inside information)

Valamar Riviera d.d. with its registered office in Poreč, Stancija Kaligari 1, OIB 36201212847 (hereinafter: the Company or Valamar) further to the prior publication of the notice that it has, with Allianz ZB d.o.o. društvo za upravljanje obveznim i dobrovoljnim mirovinskim fondovima, on its own behalf and for the account of AZ Obvezni mirovinski fondovi category A, OIB 15220336427, AZ Obvezni mirovinski fondovi category B, OIB 59318506371, AZ Profit otvoreni dobrovoljni mirovinski fondovi, OIB 22134623145, AZ Benefit otvoreni mirovinski fondovi, OIB: 56427866267, AZ A1 zatvoreni dobrovoljni mirovinski fond, OIB 64811569641, AZ Dalekovod zatvoreni dobrovoljni mirovinski fond, OIB 49118401443, AZ HKZP zatvoreni dobrovoljni mirovinski fond, OIB 25137661054, AZ Zagreb zatvoreni dobrovoljni mirovinski fond, OIB 01774504225, Auto Hrvatska zatvoreni dobrovoljni mirovinski fond OIB 24189818978, AZ ZABA zatvoreni dobrovoljni mirovinski fond, OIB 11641097984 and AZ Treći horizont zatvoreni dobrovoljni mirovinski fond, OIB: 42239479988 (hereinafter: AZ mirovinski fondovi) agreed to continue strategic investments in croatian tourism through the second capital increase phase of Imperial Riviera d.d., with its registered office in Rab, Jurja Barakovića 2, OIB 90896496260 (hereinafter: Imperial), informs that Valamar, in accordance with the Decision of the General Assembly of Imperial on increasing the share capital of Imperial made on September 10, 2021, participated in increasing the share capital by contributions in kind and rights i.e. real estate (land) in the area of Babin Kuk in Dubrovnik, area of 148,949 m² , estimated value HRK 352,844,705.64.

After the finalization of the second capital increase phase in Imperial in the total value of HRK 689,765,631.10, in order to timely prepare the prerequisites and projects for a new phase of growth and development in accordance with the strategic goal of Imperial to continue being a joint venture for the investment and development of tourism property in the region, on December 3, 2021, the Supervisory

Board of Valamar gave its prior consent to the Management board for the transfer of hotel Valamar Lacroma Dubrovnik Hotel, Club Dubrovnik Sunny Hotel by Valamar and Tirena Sunny Hotel by Valamar to Imperial at an estimated transaction value of EUR 95,339,981.85. These three hotels in the area of Babin Kuk in Dubrovnik, together with real estate registered in Imperial in the process of increasing share capital, will form a sustainable, strategically important, technologically complete and most innovative tourism concept that will accelerate the growth and development of tourism property and the destination in that area.

The hotel-tourism properties and facilities under the Company's management will be subject to investments in the total amount of HRK 500 million beginning this autumn.

The completion of the necessary legal affairs and hotel transfer procedures is expected by the end of January 2022 at the latest. The decision on the final amount and structure of the Company's investments for 2022 are expected by the end of 2021.

In order to implement investments and transform the business, the reorganization of the management of the Valamar Group has begun, and the Supervisory Board has decided to increase the number of members of the Management Board accordingly, starting from 1 January 2022. Mr. Željko Kukurin has been reappointed as President of the Management Board for a new five-year term and Mr. Marko Čižmek has been re-appointed as Member of the Management Board, and Ms. Ivana Budin Arhanić, former Vice President for Business Development and Corporate Affairs, has been appointed as the new and third Member of the Management Board.

Valamar will timely inform the public about the realization and/or changes in the stated after the implementation of the prescribed procedures in accordance with the relevant regulations and acts of the Company.

Valamar Riviera d.d.