Core Viewpoint - Arco Vara AS has entered into a share purchase agreement to sell a 25% stake in Botanica Lozen EOOD, a Bulgarian company developing a residential project in Sofia, to Kamaleo Invest OOD for EUR 2,200,000 [1][2]. Group 1: Transaction Details - Kamaleo Invest OOD will pay EUR 1,000,000 as a deposit within three business days of signing the agreement, with the remaining amount due upon transaction completion [2]. - The transaction is subject to customary conditions, including converting shareholder loans from Arco Vara AS to Botanica Lozen EOOD into equity through a share capital increase, with completion planned by May 29, 2026 [3]. Group 2: Strategic Implications - Following the transaction, a shareholders' agreement and project management agreement will be established, allowing Kamaleo Invest OOD to provide project management services for Botanica Lozen EOOD [4]. - The involvement of a local partner is expected to facilitate the completion of the Botanica Lozen project, enabling Arco Vara to concentrate on its core market in Estonia [4]. Group 3: Compliance and Governance - The transaction is not classified as a related party transaction under NASDAQ Tallinn Stock Exchange Rules, and there are no personal interests from the Management Board or Supervisory Board members of Arco Vara AS [5].