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Hotels Podgora after pre-bankruptcy settlement become Medora Hotels and Resorts

Hotels Podgora from the eponymous town on the Makarska Riviera, after the pre-bankruptcy settlement, are beginning modernization and renovation of part of the hotels with around 75 million kuna and changing their name to Medora Hotels and Resorts.

This was reported on Tuesday at a press conference by the CEO of the company, Zrinko Kamber, adding that all these changes will start in 2016, while the first guests in the renovated hotels will arrive at the beginning of next summer.  He explained that the name Medora comes from a durable, long-lived endemic snail from Biokovo.

– The new positioning and the entire business strategy include a strong connection with the local population and community, as well as alignment with tourism trends, said Kamber.

According to him, this means the development of an authentic tourist product as a blend of the Adriatic Sea and the Biokovo mountain under the slogan “Touch the sea, embrace the mountain!”

According to the new concept, the existing hotels from the Podgora group – Minerva and Mediteran, will be merged into the Medora Auri Family Beach Resort complex at a four-star level and opened in mid-June next year, primarily targeting families with children from Croatia and Scandinavia, Germany, Austria, and other markets. These hotels will have a total of 313 rooms and apartments along with a range of other amenities, and the total investment of around 75 million kuna, which combined with the previous 30 million kuna amounts to 105 million kuna, is close to the five-year commitment from the pre-bankruptcy settlement regarding investments totaling 112 million kuna.

Among other investments, Kamber announced the renovation of a smaller affiliated aparthotel that will be called Medora Vinto and will have seven apartments, as well as investment in the modernization of the Sutikla campsite.

Regarding the name and recapitalization, the assembly decides.

Hotels Podgora previously announced an extraordinary general assembly for January 4 next year, which will decide on all significant changes for the business, including the name change and the increase of the share capital from 26.1 million kuna to 40.1 million kuna or by 14 million kuna. The new shares should be subscribed exclusively by Agram Invest from Zagreb and Slavonski ZIF. If the Assembly approves this, these two companies will enter into co-ownership of Hotels Podgora, which was taken over last year in the pre-bankruptcy settlement process by the Zagreb entrepreneur Luka Kaić’s company Novodom, which remains the majority owner even after the change in share capital.