Hili Properties Plc — M&A Activity 2022

May 12, 2022

COMPANY ANNOUNCEMENT

The following is a Company Announcement issued by Hili Properties p.l.c. (the "Company") pursuant to the Capital Markets Rules issued by the Malta Financial Services Authority in accordance with the provisions of the Financial Markets Act (Chapter 345 of the Laws of Malta), as amended from time to time.

Co Ann Ref: 101/2022

QUOTE

As announced to the market, following the IPO in 2021, the Company:

• a) acquired the €20.8M production plant in Lithuania;
• b) secured the acquisition of a shopping centre in Riga, Latvia, for €20M; and
• c) finalised the acquisition of the shares of Harbour (APM) Investments Limited, holding 92,000sqm of land in Benghajsa, Malta.

As a result of these acquisitions, the investment property portfolio of the group has increased from Eur149Million at the end of December 2021 to Eur183Million at the end of March 2022.

The performance of the property portfolio during the first quarter of 2022 was solid, with revenues reaching Eur2.4Million. Earnings before interest, tax and depreciation (EBITDA) for the first quarter of 2022 stand at Eur1.5Million and the EBITDA to revenue ratio has improved from 60% (as at 31 December 2021) to 65% (as at 31 March 2022).

The Company's cash reserves are positive, also given that the utilisation of the IPO proceeds is still underway. The Board of Directors remains committed to the execution of the plans set out in the Company's prospectus dated 25 October 2021.

UNQUOTE

BY ORDER OF THE BOARD

Laragh Cassar Company Secretary 12 May 2022