JV of Croatia's Sunce, Germany's TUI plans to build 3 hotels on Brac island

TUI has provided a shareholder loan to Punta Zlatarac Tucepi in order to carry out the transaction, Sunce Koncern said in a Zagreb bourse filing.

Financial details were not disclosed.

The hotels will be run by a new joint venture management company, set up by Sunce, which holds a 49% stake, and TUI, which controls the remainder.

Punta Zlatarac Tucepi was previously a 100% subsidiary of Hoteli Tucepi, which is part of Sunce Koncern. Punta Zlatarac Tucepi is owner of TUI BLUE Jadran hotel in Tucepi.

Sunce Koncern, founded in 2004, owns and operates a chain of hotels and resorts under the Bluesun brand in Dalmatia, Bol, Brela, Tucepi, Starigrad Paklenica, and Marija Bistrica.

TUI Group is a multinational travel and tourism company headquartered in Hannover, in Germany.