NH Hotel Group reinforces its capital structure with a €400m Senior Notes issue and extends the maturity of its revolving syndicated credit facility to 2026

• Successful placement in the market of €400m Senior Secured Notes due July 2026, refinancing the existing notes originally due 2023, with a relevant oversubscription and an annual coupon of 4%

• In May, the Group had already extended its €250m ICO loan maturity until 2026, and now it also extends its €242m Revolving Syndicated Credit Facility (RCF) until 2026. In addition, the compliance with the Company's financial covenants has been waived throughout 2022

• The €100m equity investment by the Company's majority shareholder, Minor International, has been materialised in May in the form of a convertible loan and will be capitalised through a rights offering process address to all shareholders

• These milestones reinforce the Company's capital structure and liquidity through a solid financial base with no relevant debt maturities until 2026 to face the imminent sector recovery

• The Company is making good progress on its commitment to raise over €200m from asset rotation transactions through sale & leaseback agreements, having recently announced the advanced negotiations for the disposal of its first asset (NH Collection Barcelona Gran Hotel Calderón) for €125m

Madrid, 16 June 2021.- NH Hotel Group has successfully placed €400m of Senior Secured Notes due July 2026 on the market. The proceeds will be used to prepay the existing €357m of Senior Notes due 2023. The new notes, which were substantially oversubscribed, carry a coupon of 4% and allows the Company to extend this maturity up to five years.

In addition to the new notes, the Company has signed the extension of the maturity of its €242m Syndicated Revolving Credit Facility (RCF) from March 2023 to March 2026. The significant support granted by the financial entities of this financing instrument is worth noting, with the extension of the waiver of financial covenants throughout the year 2022. Elsewhere, in May, the Company had already extended the maturity on its €250m syndicated loan secured by Spain's official credit institute (ICO) arranged in April 2020, until April 2026 with no amortizing schedule until maturity.

NH Hotel Group has included a rights issue of up to €107m on the agenda for its upcoming Annual General Meeting, scheduled for 30 June 2021. Minor International, the Company's majority shareholder, has formally committed to pay in the €100m corresponding to its shareholding by capitalising a loan already granted in May. The remaining €7 million can be taken up by the rest of the Company's shareholders as part of a formal process that is scheduled to conclude between September and October 2021 with the delivery of the new shares.

Meanwhile, the Company continues to advance on the execution of its asset rotation strategy, based on sale & leaseback transactions already under analysis, with the aim of raising after-tax proceeds of over €200m. Just last week, the Company notified Spain's securities market regulator (CNMV) that it was in advanced negotiations for the sale of the NH Collection Barcelona Gran Hotel Calderón for approximately €125m, retaining the operation of the hotel under a long-term lease agreement, with a variable rent and a minimum guaranteed, which will include the usual mechanisms for limiting losses. The proceeds from these asset rotation transactions will further reinforce NH's liquidity in the short term and reduce corporate debt in the medium term.

NH Hotel Group has emphasised to the market that the battery of refinancing, capital increase, and asset rotation measures proactively implemented in recent months, and specifically the extension of all major debt maturities for five years, provides a solid foundation for facing the imminent sector recovery. Its current optimal capital structure evidences the strong support received from its majority shareholder, the financial entities that are part of the Group's banking pool, and the broader debt investment community.

About NH Hotel Group

NH Hotel Group is a consolidated multinational player and a benchmark urban hotel operator in Europe and the Americas, where it operates more than 350 hotels. Since 2019, the Company has been working with Minor Hotels on integrating all of its hotel brands under a single corporate umbrella with a presence in over 50 countries worldwide. Thus, a portfolio of over 500 hotels has been articulated around eight brands - NH Hotels, NH Collection, nhow, Tivoli, Anantara, Avani, Elewana and Oaks - to forge a broad and diverse range of hotel propositions in touch with the needs and desires of today's world travellers.

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