May 16 (SeeNews) - Croatian hotel operator Valamar Riviera [ZSE:RIVP-R-A] said on Tuesday it has submitted a joint bid with PBZ Croatia Pension Insurance Fund to invest and recapitalise bankrupt Hvar-based hotel company Helios Faros.
Valamar and PBZ propose to invest 650 million kuna ($96.8 million/87.5 million euro) in Helios Faros over the next five years, Valamar Riviera said in a Zagreb bourse filing.
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The companies plan to renovate two Helios Faros hotels - Arkada and Lavanda - of around 700 accommodation units, thus repositioning Helios Faros on the map of premium accommodations. Following the completion of the reconstruction works, Helios Faros would employ 500 people.
Helios Faros, located in Stari Grad on Hvar Island, went bankrupt in 2016.
The Valamar group runs hotels, apartment villages and campsites in Istria and in Dubrovnik and on the Adriatic islands of Krk and Pag.
(1 euro=7.43226 kuna)