If the Orco Group, which manages Sunčani Hvar, does not withdraw from the sale of the Viro campsite and the Piaca café by April 12 and does not provide the Croatian Privatization Fund (HFP) with solutions for other issues concerning Sunčani Hvar, HFP will terminate the shareholders’ agreement with the Orco Group, announced HFP President Vedran Duvnjak today during a break in the Fund’s Management Board meeting.
The deadline of April 12 was given to the Orco Group because it decided to sell the aforementioned properties from the Sunčani Hvar portfolio without prior consent from HFP, in order to raise funds for salaries and prepare for the season. Given that the Shareholders’ Agreement signed in 2005, which is valid until June of this year, states that there can be no sale of any property owned by Sunčani Hvar without HFP’s consent, Duvnjak believes that Orco has not respected and fulfilled its obligations.
Duvnjak emphasized that Orco is aware of HFP’s position and denied recent claims by Orco representatives that “they have no communication with HFP.” There is communication, says Duvnjak, but there is no quality consensus or agreement with Orco regarding tourism development. He added that HFP’s goal is not to terminate the agreement, but to reach an “agreement on everything in the interest of all” with Orco, but it will not tolerate non-compliance with obligations.
