Cyprus-based company Potamiro has completed the acquisition of the owner of Bulgarian hotel operator Sofia Hotel Balkan, the Sofia-based company said on Friday.
The transaction, in which Potamiro acquired indirect sole control of Sofia Hotel Balkan – the company running the five-star hotel of the same name in central Sofia, was concluded on September 3, the hotel operator said in a bourse filing.
Following the transaction, Potamiro now controls 100% of Naranjilla Company, which holds 87.49% interest in Sofia Hotel Balkan through its wholly-owned subsidiary Bandola Properties.
Cyprus-based Kokari is the other notable shareholder in Sofia Hotel Balkan, with 11.85% interest.
Last month, Bulgaria’s competition authority said that Potamiro does not need to seek its approval to acquire Sofia Hotel Balkan as the combined turnover in Bulgaria of all companies involved in the transaction for the last full financial year is lower than the 25 million levs ($15 million/12.8 million euro) threshold requiring anti-trust clearance.
Shares in Sofia Hotel Balkan last traded on the Bulgarian Stock Exchange at a price of 97.5 levs apiece, giving the company market capitalisation of over 513 million levs, bourse data shows.
The hotel operator turned to a consolidated net loss of some 4.7 million levs in the first half of 2020 from a net profit of 925,000 levs a year earlier. Sofia Hotel Balkan’s revenue decreased to 5.7 million levs in the January-June period of 2020 from 16.3 million levs in the same period of last year.
