Business news

Terme Maribor continues to struggle

Maribor, 14 September (STA) - Terme Maribor, the city's former tourism flagship that passed into Russian ownership in 2013, continued to struggle in 2019, seeing a 32% drop in revenue to EUR 6,3 million while managing to stay EUR 1.7 million in the black due to the sale of its medical and wellness centre Fontana.

Terme Maribor, bought by a company associated with Russian gas giant Gazprom in 2013 and owned by Cyprus-based MB Dailyrates Management Limited since September last year, used to operate several hotels in the city and the Pohorje hills but is now selling two more, which would leave it only with Hotel Habakuk.

In the annual report, director Igor Kertsman attributed the drop in revenue mainly to the transfer of Habakuk to the subsidiary HBP, established for the management of the Bellevue hotel, which has also been sold in the meantime.

After Terme Maribor, whose workforce was down from 202 at the end of 2018 to 144 at the end of 2019, finished 2018 with a loss of EUR 5.3 million, the sale of Fontana to Diagnostični Center Bled helped it stay in the black last year.

The company also sold Pri Treh Ribnikih (At the Three Fishponds), believed to be Maribor's oldest restaurant, to the Maribor Municipality this year, while it will continue to run the restaurant via a lease contract for the time being.

Kertsman added it was too soon to assess the financial impact of the Covid-19 pandemic, but the company slowly started reopening some of its facilities in May.