Blue Island PLC

Related Party Transaction • Jul 3, 2025

To: Mr. Nicos Trypatsas, Acting General Manager, Cyprus Stock Exchange

3rd July, 2025

Dear Mr. Trypatsas,

ANNOUNCEMENT

BLUE - Acquisition of Right to Lease Immovable Property

This is to inform that the Board of Directors of Blue Island Plc decided on the 2/7/2025 to come into agreement with Vitatrace Nutrition Ltd for the acquisition of the right to lease immovable property owned by the Republic of Cyprus in Nicosia.

More specifically, under the agreement, Blue Island Plc acquires the lease of industrial plot in the Strovolos Industrial Area of a total area of 8.013 $m^2$ , including one industrial building-warehouse of a total area 515 $m^2$ . The first period of validity of the lease agreement expires on 30/6/2048 with the right of renewal for another two periods of 33 years each (remaining period 80 years). The annual lease is fixed at €8.037,52 and will be recognized with IFRS 16 as right of use as well as lease liability.

The transaction was made on an arm's length basis following the conduct of an independent valuation. The total consideration of the right of lease has been agreed at €1.900.000 plus VAT (where applicable) and is payable in cash as follows: €285.000 was paid upon the signing of the agreement and the reminder €1.615.000 will be paid upon completion of all necessary procedures, including the transfer and registration of the lease in the name of Blue Island Plc, by 31/12/2025 at the latest. The consideration of the right of lease will be classified under the "right of use of asset" and will be depreciated using the straight-line method during its expected useful life.

The acquisition will be financed by a combination of own resources and new banking facilities.

The above agreement is part of the company's strategic planning for more efficient management of its assets and further development of its operations in the trading and processing sector. It is not, however, expected to have a significant impact on its short-term financial results.

Yours Sincerely,

ND PLC

Yiannos Economides Secretary

Copy: Cyprus Securities and Exchange Commission

BLUE ISLAND PLC

10 Polyfimou Street, Strovolos Industrial Area, 2033 Strovolos | P.O.Box: 26073, 1666 Nicosia P. +357 22 516 555 | F. +357 22 518 044 email: info@blue-island.com www.blue-island.com