THE BLACK SEA PROPERTY FUND LIMITED

For immediate release

Exit from Tsarevo investment

The Black Sea Property Fund Limited (the “Fund”), which specialises in the financing and sale “off-plan” of apartments in Bulgaria, announces the termination of its financing agreement relating to a development at Tsarevo, the smallest of the Fund’s initial investments. The Fund has had its capital investment, amounting to €1,140,680, returned as a result of the termination of this agreement.

High pricing, together with the poor presentation of the site during inspection trips, hampered sales at this development. Despite lengthly negotiations between the parties, the Manager and the developer were unable to agree on a way to move the development forward. The decision was therefore taken to terminate the financing agreement and secure the return of the Fund’s investment.

Chairman of the Fund, Melville Trimble said “Whilst this is not an ideal outcome and we are disappointed that we have not been able to continue with this investment, this deal constitutes a clean break and allows the Fund to focus its energies on its other projects.”

The Fund is managed by Development Capital Management (Jersey) Limited.

Contacts

Development Capital Management     020 7355 7600
Roger Hornett
Andrew Mitchell

Buchanan Communications     020 7466 5000
Charles Ryland
Isabel Podda

Numis Securities Ltd      020 7776 1500
Andrew Dawber
Iain McDonald