You have 10 free articles left this month. Get your freeBasic subscription now and gain instant access to more.

Bulgaria's SVS buys Grand Hotel Plovdiv from Synergon unit for 22.8 mln euro

Author Mario Tanev
Bulgaria's SVS buys Grand Hotel Plovdiv from Synergon unit for 22.8 mln euro Author: Flazingo Photos. License: Creative Commons, Attribution-ShareAlike 2.0 Generic (CC BY-SA 2.0)

SOFIA (Bulgaria), February 7 (SeeNews) - Bulgarian company SVS has signed a 22.8 million euro ($25.9 million) deal with Synergon Hotels, a unit of diversified group Synergon Holding [BUL:6S7], for the acquisition of Grand Hotel Plovdiv, commercial register data shows.

SVS paid 4.3 million euro upon signing the sale contract, and will pay the remaining 18.5 million euro subsequently, using a loan from local First Investment Bank [BUL:5F4], according to documents submitted on Monday by Grand Hotel Plovdiv, the company which directly owns the hotel of the same name.

Grand Hotel Plovdiv company in turn is wholly-owned by Synergon Hotels.

The deal follows the signing of a preliminary contract in June 2018.

Grand Hotel Plovdiv company was established in October 2018. The company has a registered capital of 45.7 million levs.

Synergon Holding shares closed 2.02% higher at 1.01 levs on the Bulgarian Stock Exchange on Thursday.

Last year, Synergon Hotels sold 100% of its subsidiary - hotel owner Europa Resort, to Bulgarian Tourist Company Global Tours for an undisclosed price.

Synergon Holding was set up in 1996 as a privatisation fund under Bulgaria's voucher privatisation programme. The fund was transformed into a holding structure the following year. It has more than 25 subsidiaries and affiliated companies operating in various sectors of the Bulgarian economy. 

($ = 0.8805 euro)