Valamar Riviera d.d.

Capital/Financing Update • Mar 6, 2018

HANFA- Croatian Financial Services Supervisory Agency 24b Miramarska Street 10000 ZAGREB

HANFA – Official Registry of Regulated Information

Zagreb Stock Exchange 2a Ivana Lučića 10000 ZAGREB

HINA – Croatian News Agency ots@hina.hr

Poreč, 06/03/2018 File no.: 1-27/18

Subject: Notification of agreement concluded with the European Investment Bank

Pursuant to Article 459 of the Capital Market Act and Article 2 of the Ordinance on disclosure of privileged information that are directly related to the issuer and determine the issuer's justified interests in terms of nondisclosure, Valamar Riviera d.d with registered office in Poreč, 1 Stancija Kaligari, personal identification number (OIB) 36201212847 (hereinafter: the Company) hereby announces that on 6 March 2018 the Company concluded an agreement with the European Investment Bank, Luxembourg (hereinafter: EIB) regarding a loan of EUR 16 million for financing the Company's long-term investments.

This is the first EIB transaction in Croatia that involves the direct financing of a private sector company that benefits from the support of the EU budget guarantee under the European Fund for Strategic Investments (EFSI), the financing component of the Investment Plan for Europe.

The said legal transaction confirms the trust of the investment and financing community in the further development of the Company.

Management Board of Valamar Riviera d.d.