Conclusion of a Loan Agreement with Deutsche Telekom AG

Croatian Telecom Inc. (Reuters: HT.ZA; Bloomberg: HT CZ; hereinafter: HT), Croatia’s leading telecommunications provider, announces that on 26 June 2026 it concluded a Master Loan Agreement with Deutsche Telekom AG (hereinafter: DT), as lender, pursuant to the approval obtained from HT's Supervisory Board (hereinafter: the Master Agreement).

The conclusion of the Framework Agreement enables the establishment of financing arrangements, with the aim of further strengthening the company's liquidity position.

The Master Agreement is concluded for an indefinite period, and for each individual loan tranche, which will be drawn at the time of a liquidity need, a separate agreement (annex) will be concluded for a term of up to 3 months, at an interest rate determined on a market basis. The total amount of active tranches must not at any time exceed the amount of EUR 150 million.

In accordance with the above referred Master Agreement and the approval obtained from the Supervisory Board, on 26 June 2026 the first separate agreement (annex) was also concluded, in the total amount of EUR 100 million. The loan will be disbursed on 1 July 2026 and falls due for payment on 30 September 2026. The terms of the loan correspond to market conditions, which was confirmed prior to entering into the transaction by comparison with offers available on the financial market. This ensures that the transaction protects, to an equal extent, the interests of HT and all of its shareholders, including minority shareholders.

A related party transaction assessment procedure was carried out, which established that the transaction in question is not considered a related-party transaction within the meaning of Article 263a of the Companies Act (hereinafter: the CA), as it constitutes a regular business transaction undertaken under ordinary market conditions (Article 263a paragraph 2 of the CA).