Valamar Riviera d.d.

Share Issue/Capital Change • Nov 26, 2019

HANFA – Croatian Financial Services Supervisory Agency Franje Račkog 6 10000 ZAGREB

HANFA – Official Registry of Regulated Information

Zagreb Stock Exchange 2a Ivana Lučića 10000 ZAGREB

HINA – Croatian News Agency ots@hina.hr

Poreč, 26/11/2019 Ur.broj: 1-155/19

Subject: Notice of participation in increasing share capital of company Helios Faros d.d.

Valamar Riviera d.d. with registered office in Poreč, Stancija Kaligari 1, personal identification number (OIB): 36201212847 (hereinafter: Valamar), LEI: 529900DUWS1DGNEK4C68, Member State: Republic of Croatia, ISIN: HRRIVPRA000, Securities: RIVP (RIVP-R-A), Listing: The Prime Market of Zagrebačka burza d.d., hereby announces:

• 1. the continuation of the business cooperation with PBZ CROATIA OSIGURANJE dioničko društvo za upravljanje obveznim mirovinskim fondovima, with registered office in Zagreb, Radnička cesta 55, personal identification number (OIB): 20455535575 (hereinafter: PBZ CO) acting on its own behalf and for the account of PBZ CROATIA OSIGURANJE obvezni mirovinski fond kategorije A and PBZ CROATIA OSIGURANJE obvezni mirovinski fond kategorije B, regarding HELIOS FAROS dioničko društvo za ugostiteljstvo, with registered office in Stari Grad, Naselje Helios 5, personal identification number (OIB): 48594515409 (hereinafter: HELIOS FAROS);
• 1. in accordance with the decision of the General Assembly of the company HELIOS FAROS on increasing the share capital from HRK 96,566,140.00 by HRK 139,391,520.00 to HRK 235,957,660.00 dated 26/11/2019, the participants of the share capital increase are:
  2. I. in the total amount of HRK 24,391,530.00: Valamar
  3. II. in the total amount of HRK 114,999,990.00: PBZ CO

Upon the implementation of the share capital increase in accordance with regulations:

• Valamar will hold a stake of 20.00%
  • PBZ CO will hold a stake of 77,73%.

This share capital increasing is the beginning of the realization of the five-year business plan which predicts investments of HRK 692 million. The investments will primarily be directed towards the reconstruction and renovation of the hotel and tourism facilities and amenities of HELIOS FAROS under Valamar's operating management.

Valamar Riviera d.d.