December 3 (SeeNews) - The supervisory board of Croatian hotel operator Valamar Riviera [ZSE:RIVP] Valamar gave on Friday its initial consent for a transfer of three hotels in Dubrovnik to Valamar's affiliated peer Imperial Riviera [ZSE:HIMR] at an estimated transaction value of 95.3 million euro ($107.4 million).
The transfer aims to timely create prerequisites for a new phase of growth and development in accordance with the strategic goal of Imperial to continue being a joint venture for investment and development of tourism property in the region, Valamar said in a statement.
The three hotels are Valamar Lacroma Dubrovnik Hotel, Club Dubrovnik Sunny Hotel and Tirena Sunny Hotel, all situated in the area of Babin Kuk in Dubrovnik. Valamar and pension fund manager Allianz ZB increased the capital of Imperial Riviera by 689.8 million kuna ($103 million/91 million euro) to 1.516 billion kuna earlier this year, with Valamar contributing real estate assets in Dubrovnik to the capital of Imperial.
Now Valamar owns a 43.68% stake in Imperial.
Together with real estate registered to Imperial in the process of increasing its share capital, the transfer of the three hotels will form a sustainable, strategically important, technologically complete and most innovative tourism concept that will accelerate the growth and development of tourism property in that area, Valamar said in the statement.
Valamar's shares closed at 31.20 kuna on Friday on the Zagreb bourse, down 0.32%, in a turnover of 716,900 kuna, the biggest daily turnover for the day.
Imperial's shares ended at 835 kuna on Friday, unchanged compared to the previous closing price.
(1euro=7.523 Croatian kuna)