Oslo, 29 April 2021: Pioneer Property Group ASA's wholly owned subsidiary Pioneer Hotel Properties AS contemplates to purchase the following hotel-owning companies from Hospitality Invest AS:
(i) Brennemoen Hotel Eiendom AS, which owns Scandic Brennemoen Hotel;
(ii) Guard Hotell AS and Guard Hotell II AS, which own Park Inn by Radisson Airport Hotel;
(iii) Strand Hotel Borgholm Fastighets AB, which owns Strand Hotel Borgholm; and
(iv) Köping Hotellfastighet AB, which owns Best Western Hotel Scheele.
The total consideration payable for the four companies is expected to be approximately NOK 570 million, subject to customary balance sheet adjustments. The consideration has been determined based on property valuations from independent third parties. Both Pioneer Property Group ASA and Hospitality Invest AS are ultimately majority owned by Kristian Adolfsen and Roger Adolfsen.
The boards of directors of Pioneer Property Group ASA and Hospitality Invest AS have authorised their respective managements to negotiate the final agreements. The transactions are contemplated to be completed during Q2 2021, subject to final agreements.
No assurance can be given that the transactions will be completed. As the transactions are not interdependent, it is also possible that only some of the transactions will be completed.
For further information, please contact:
Ole-Kristofer Bragnes, CFO
Telephone: +47 917 03 415
E-mail: IR@pioneerproperty.no
The information in this announcement is considered to be inside information pursuant to the EU Market Abuse Regulation.
This stock exchange announcement was published by CFO Ole-Kristofer Bragnes on 29 April 2021.