investment opportunity

INVESTMENT OPPORTUNITY
INVESTMENT
OPPORTUNITY
ISTRABENZ TURIZEM D.D.
Istrabenz Tourizem is engaged in hotel, congress, spa and wellness activities
July 2016
INVESTMENT OPPORTUNITY
Istrabenz Turizem d.d.
Hotel services provider
Investment
opportunity
With the transfer of assets in 2014 from Slovenian banks the Bank Asset Management Company (“BAMC”) became a major creditor of the company Istrabenz Turizem d.d. (“Company”), a Slovenian hotel services provider
engaged in hotel, congress, spa and wellness activities. At this point BAMC is considering disposing of its collateralized loan exposure in the company in the amount of 22 million EUR.
The Company offers the following key investment opportunities:
Ownership

The company has a long tradition, with its beginnings dating back to 1951;

Today, it is a part of Istrabenz Group and is the parent company of the Istrabenz Turizem business area;

The company operates 6 hotels, a congress centre and a spa complex;

It holds a majority stake in the following subsidiaries: Grand Hotel Adriatic, in Opatija, Croatia and Thai Si
s.r.l. in Treviso, Italy and Istrabenz hoteli Portorož, which owns the Palace Hotel in Portorož;

Since 2004, the company has operated with an international hotel chain under the LifeClass brand
name;

In 2014, the company realized 297,088 overnight stays;
The Company's ownership status is shown in the table below:
Owner
ISTRABENZ D.D.
Ownership in %
100.00
Source: GVIN
Bank debt
structure
The structure of the Company’s bank debt liabiilties is shown in the chart below:
Share in MRA debt
Share in total financial debt
Bank B
7%
Others
29%
Bank A
11%
BAMC
71%
Source: BAMC records per 30.6.2016.
BAMC
82%
INVESTMENT OPPORTUNITY
Istrabenz Turizem d.d.
Hotel services provider
Company
profile
Istrabenz Turizem has a long tradition, with its beginnings dating back to 1951. In 2001 the company was acquired by Istrabenz d.d. and became the parent company of the Istrabenz Turizem business area.
Today, the company operates with:
Products
and Services

6 hotels: Grand hotel Portorož, Riviera, Slovenija, Apollo, Neptun and Mirna,

a congress centre with 7 halls and a capacity of 1,000 participants,

two spa centres, Wai Thai and Spa & Wellness Lifeclass which comprise the following six centres: Thalasso, Shakti-Ayurveda, a Beauty centre, a Medical-Physiotherapy centre, a Thermal-recreational centre
and a Sauna Park)
The company offers the following services:

Hotel and accommodation services,

Spa and wellness services,

Gastronomy,

Congress services.
Picture source: LifeClass web page
INVESTMENT OPPORTUNITY
Istrabenz Turizem d.d.
Hotel services provider
Key
Key financials of Istrabenz Turizem d.d.:
financials
000 €
2012
2013
2014
2015
30,480
24,296
22,510
24,183
EBITDA
9,398
3,735
3,424
4,464
EBIT
5,876
258
(524)
356
Net income
(32,757)
(2,936)
(3,095)
(5,738)
Total assets
74,503
70,392
67,340
67,713
Equity
42,182
39,004
35,768
30,415
Debt
Revenues
27,380
27,372
27,341
33,009
No. of employees at year end
417
400
401
-
EBITDA margin
31%
15%
15%
18%
EBIT margin
19%
1%
-2%
1%
-107%
-12%
-14%
-24%
ROA
-44%
-4%
-5%
-8%
ROE
-78%
-8%
-9%
-19%
Net income margin
Source: GVIN
Disclaimer: This document serves the purpose of introducing potential investors to the above -mentioned process and is based
on information available at the date of publication. The analyses and conclusions are of a general nature and do not purport to
contain all information that may be required or relevant to the investor’s evaluation of the above process and the investor is
wholly responsible for conducting its own investigation and analysis. Information about previous performance does not guarantee future performance. The information contained herein has not been independently verified. Neither the seller, the financial
advisor nor any of their respective affiliate persons makes any representation, warranty or guarantee of any kind, express or
implied, as to the accuracy, completeness or reasonableness of the information contained herein or any other written or oral
communication transmitted or made available to any investor.
Only the representations and warranties that are made in a written agreement relating to the above process, when and if
executed, and subject to any limitations and restrictions as may be specified in such agreement, shall have any legal effect.