CPI Property Group (CPIPG), the Eastern European real estate company, has signed a deal to sell its Sunčani Hvar portfolio of properties in Croatia and has announced changes to the group’s senior management team.
The Luxembourg-based company has also announced a share buy-back program.
CPIPG said it had signed a binding agreement to sell 100% of the shares of the two companies — Sunčani Hvar Nekretnine d.o.o and Sunčani Hvar d.d. — which operate and own the Sunčani Hvar resort portfolio on the Island of Hvar. The portfolio has been acquired by Eagle Hills, an Abu Dhabi-based real estate and hospitality investor.
The purchase price was not disclosed.
According to a Bloomberg report, Blackstone was also among the bidders for the Croatia hotels, which was expected to fetch around €200 million ($218.22 million) in the sale.
The deal is subject to approval from the Croatian antitrust agency. The entire purchase price has been deposited with an escrow agent, CPIPG said in a statement.
“CPIPG continues to see strong investor interest in hotels as tourism and business travel have rebounded fully from the COVID period,” said Jan Kratina, director of CPI Hotels. “We are certain that Eagle Hills will contribute to the continued success of Hvar as a desirable tourist destination.”
CPIPG has also approved the terms of a share buy-back program, which allows it to repurchase up to 1,000,000 shares of the company. The offer period will be open from November 21 to November 30.
SENIOR MANAGEMENT CHANGES
David Greenbaum, who has been serving as CPIPG’s CFO since 2018, has been elevated to CEO and managing director. Greenbaum has also been co-opted to the group’s board of directors.
He replaces Martin Němeček, who stepped down on Monday from his roles as CEO, managing director and member of the board of directors, CPIPG said in a statement. After a short break, Němeček will continue with the group in a new senior role focused on high-value projects.
Zdeněk Havelka, currently executive director, has been appointed COO, a newly created position. Associated with CPIPG for over 20 years, Zdeněk will assume some of Němeček’s internal responsibilities.