Croatia's Jadran approves €41M capital hike led by Adriatic Resorts Group
What's the deal? Croatian hotel owner and operator JadranDealroom has a profile for this one. Try Dealroom → said its shareholders backed a €41 million ($46.6 million) capital increase led by local consortium Adriatic Resorts Group. The shareholders approved the move at a meeting on Thursday, Jadran said in a bourse filing.
Who's investing? The consortium comprises hotel owner AminessDealroom has a profile for this one. Try Dealroom →, Croatian construction company FEAL INDealroom has a profile for this one. Try Dealroom → — owned by Bosnian businessman Mario Colak — and construction company Texo MoliorDealroom has a profile for this one. Try Dealroom →. Jadran pre-selected the group's binding offer last month.
How the mechanics work: The investors will subscribe 32.5 million new ordinary shares at €1.25 each. That will hand them 53.7444% of Jadran's shares and voting rights, taking control of the company.
What's the money for? The fresh funding will go toward investments and working capital, Jadran said. The company manages 12 hotels on the Croatian Adriatic coast with some 2,000 rooms and more than 490 employees.
By the numbers: Ahead of the deal, Jadran's capital will be cut to €34.96 million from €64 million without reducing its 27,971,463 existing shares. After the increase, capital will total €75.589 million across 60,471,463 shares.
The signal: The tie-up folds construction and hospitality players into a single coastal operator, betting on the enduring pull of Croatia's Adriatic tourism. Jadran's shares closed 5.67% higher at €1.49 on the Zagreb Stock Exchange on Thursday.
Read more: seenews.com
Image credit: Mikka Luster
