Black Sea Property AS

Share Issue/Capital Change • Jan 30, 2019

BLACK SEA PROPERTY AS – RESULT OF REPAIR ISSUE - OVERSUBSCRIPTION

BLACK SEA PROPERTY AS – RESULT OF REPAIR ISSUE - OVERSUBSCRIPTION

Reference is made to the stock exchange announcement from Black Sea Property AS (the "Company") dated 20 December 2018 regarding a private placement with gross proceeds of NOK 8.645 million and a contemplated NOK 3.95 million repair issue (the "Repair Issue").

The subscription period in the Repair Issue ended on 28 January 2019 at 16.30 CET. The Repair Issue consisted of an offer to certain existing shareholders to subscribe for up to 19,750,000 new shares at a subscription price of NOK 0.20 per new share. At the end of the subscription period, the Company had received subscriptions of approximately NOK 4.90 million in the Repair Issue through subscription of 24,506,716 new shares, implying an oversubscription of approximately NOK 0.95 million and 4,756,716 new shares, respectively.

The Company's board of directors are pleased to announce that the Repair Issue was oversubscribed. The Company's board of directors has now allocated shares in the Repair Issue, which implies that the Company will issue 19,750,000 new shares related to the Repair Issue. Letters of allocation, giving notification of shares allocated and the corresponding amount to be paid, will be distributed to the subscribers shortly.

For further information, please contact:

Egil Melkevik, Chairman

Tel: +47 90 77 09 76

E-mail: egil.melkevik@imenco.com

About Black Sea Property AS:

Black Sea Property AS is a real estate company with holdings in a real estate project on the Black Sea

coast called Sunrise Gardens (previously called Aheloy Beach Resort). Sunrise Gardens is a partially completed project and will upon completion comprise over 1,000 apartments as well as significant commercial space. Black Sea Property AS owns indirectly 75% of the project. Black Sea Property AS will work to finalize Sunrise Gardens, to realize the project's added value through the sale of residential units and hotel operations.