Recreate ASA — M&A Activity 2022

Dec 22, 2022

Recreate sells 50% of its shares in Kammerherreløkka AS

Recreate sells 50% of its shares in Kammerherreløkka AS

Porsgrunn, 22 December 2022: Reference is made to the stock exchange announcements by Recreate ASA ("Recreate" or the "Company") earlier today on 22 December 2022. The Company is pleased to announce that it, through its wholly owned subsidiary RCR Hotels AS, has sold 50% of its shares in Kammerherreløkka AS to Bane NOR Eiendom AS. The sale is madeas part of the Company's ongoing work to reduce costs and improve its stressed liquidity situation.

The transaction is completed today based on a gross property value of approximately NOK 285 million. The transaction gives a net cash effect of approx. NOK 46 million, which is mainly used to pay creditors and repay loans. For Recreate's part, the sale represents a negative effect on the equity of approx. NOK 16 million.

Located in an area of development, Kammerherreløkka houses Comfort Hotel Porsgrunn, which has an excellent location with its proximity to public transportation and easy access to E18. In addition, the property contains an office building of 2,792 sqm with energy class A classification and a parking basement with 87 parking spaces.

For further information, please contact:

Emil Eriksrød, CEO

emil.eriksrod@recreate.no

+47 415 22 463

Eirik Engaas, CFO

eirik.engaas@recreate.no

+47 934 99 340