(Alliance News) - Deodato.Gallery Spa announced Monday that the board has approved a EUR800,000 shareholder loan proposed by Qwerty Spa, the company's majority shareholder.

The loan will be used to finance a supply of artworks for 2024 from a well-known artist, who has agreed to grant the company works on consignment worth EUR2 million, maintaining exceptionally favorable terms for 2024, and to provide the company with additional liquidity to take advantage of other possible market opportunities.

This artist, over the past four years, has sold works worth more than EUR1 million to the company; therefore, the value of the transaction is considered to be fair in comparison to the sales made in recent years.

The shareholder loan will be disbursed in a maximum of four tranches by February 29, 2024 and will bear interest at a fixed rate of 5% per annum, which will be settled when the shareholder loan is repaid. The repayment is to be made by February 28, 2026 and, in any case, within 70 days of the return of capital, i.e., when the works are sold.

Deodato.Gallery's stock closed Monday down 1.2 percent at EUR0.41 per share.

By Giuseppe Fabio Ciccomascolo, Alliance News senior reporter

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