Arco Vara AS 100-percent subsidiary Arco Investeeringute AS sold its shares of Arco Vara Saare Kinnistute OÜ (50% related company of Arco Investeeringute AS) with the share capital of 200 000 kroons (12 782 euros). The transaction is following strategic approach to exit from operations and activities which are not under full control and management of the Company. The value of the transaction was 6 000 000 kroons (383 470 euros). This transaction is not considered as a transaction with a related person within the meaning of “Requirements for Issuers” of the NASDAQ OMX Tallinn Rules. The transaction does not have material economical effect on the activities of Arco Vara Group and does not qualify as an acquisition of significant holding. The members of the supervisory board and the management board of Arco Vara AS have no other personal interest in the transaction. Founded in 1992 Arco Vara is one of the leading property developers in the Baltic States. The main business of the company is property development, which is supported by the group's own property brokering, valuation, construction and property management units. The company has representative offices in 17 towns across Estonia, Latvia, Ukraine and Bulgaria. The Group has a staff of ca 170. 1 EUR=15.6466 EEK Lembit Tampere Member of the management board Arco Vara AS Phone: +372 614 4630 info@arcovara.ee http://www.arcorealestate.com