New Issue 5.85% Burmarrad Group Assets p.l.c.Secured Bonds 2034

Burmarrad Group Assets p.l.c. (the “Issuer”) has announced the issuance of €16,000,000 5.85% Secured Bonds maturing in 2034, having a nominal value of €100 per bond issued and redeemable at par (the “Bond Issue”). 

A copy of the prospectus issued by the Issuer dated 28 March 2024 relating to the Bond Issue (the “Prospectus”) can be found here. 

Business Overview 

The Burmarrad Group has its origins in a family business established in 1984 by Mario Gauci Snr., initially acting as an importer for used commercial vehicles. Since then, the business has grown into a large local supplier of new and used vans, trucks, special-purpose vehicles, cars, warehouse equipment and industrial machinery. The Burmarrad Group’s business activities comprise the importation, acquisition, sale and distribution of new and used private and commercial vehicles, the import of industrial machinery and special purpose vehicles and the vehicle rental and leasing of private, commercial and industrial vehicles, with a fleet of over 1,000 vehicles. The Burmarrad Group currently supplies motor fleets for a number of major local businesses, together with all the related support services. It also has property-related investments, namely as an investor in a substantial rental properties associated company with a number of other third-party investors, as well as a number of directly held properties, the Group Properties. 

Use of Proceeds 

The proceeds from the Bond Issue, which net of Bond Issue expenses are expected to amount to €15,400,000, shall be used for the following purposes, in the amounts and order of priority set out below: 

(i)  Payment of part of the consideration due in respect of the Issuer Group’s acquisition of vehicles, immovable property and the equity interest in BBT plc; 

 (a)   An amount of approximately €3,700,000 will be used to settle part of the consideration due in respect of the vehicles and related vehicle business acquired by BGFL from BCL under the BCL Vehicle Business Acquisition and Rental Agreement; 

(b)   An amount of approximately €3,400,000 will be used to settle part of the consideration due in respect of the vehicles and related vehicle business acquired by BGFL from BCL under the BCL Vehicle Business Acquisition and Rental Agreement; 

(c)   An amount of approximately €1,800,000 will be used to settle part of the consideration due in respect of the Vehicle-Related Fixed Assets acquired by BGFL from BML under the Vehicle-Related Fixed Assets Acquisition and Rental Agreement; 

(d)   An amount of approximately €2,500,000 will be used to settle part of the consideration due in respect of the vehicles and related vehicle business acquired by BGFL from BCL and from BCARL under the respective Vehicle Business Acquisition and Rental Agreements; and, 

(ii) General corporate funding: the amount of approximately €4,000,000 together with any residual amounts not utilised for the purposes identified in paragraphs (i) (a) to (d)  above, shall be utilised for general corporate funding purposes of the Group. 

If you are interested in participating in this issue and need to fund your account with us, we strongly recommend that you send a bank transfer to the IBAN provided on your account for fast straight-through processing. This can be found easily on your portfolio and statement reports or via the Moneybase platform. Please contact customer care if you are unable to locate this.

How to Apply: 

Online

Our Moneybase clients who wish to apply online, kindly fund your account so as to be able to raise the order easily. Moneybase is available as an app on both Android and IOS app stores and on the web.

Advisory

Financial Advisory clients who wish to seek financial advice or who prefer to speak to their financial advisor can fund their account and visit one of our branches (Birkirkara, Mosta, Sliema and Fgura) or contact us by replying to this email, contacting us on +356 25 688 688 or via live chat on www.cc.com.mt 

If you need assistance our ISO-certified customer care team is available to assist 7 days a week.

The value of the investment can go down as well as up and past performance is not necessarily indicative of future performance. Investing in the bonds of the Issuer may result in a loss of some or all of the capital invested. Prospective investors wishing to subscribe to the bonds should make their own research before making any investment decisions and should consider whether they fully understand the features of the investment and the potential risks and rewards associated with it and should seek the assistance of a financial advisor if in doubt. Non-advisory investors are advised that where an appropriateness assessment is not required, they do not benefit from the corresponding protection afforded under the Conduct of Business Rules.  

This advertisement was approved for issue by Calamatta Cuschieri Investment Services Limited, which is licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap 370.  Calamatta Cuschieri Investment Services Limited, Ewropa Business Centre, Triq Dun Karm, Birkirkara BKR 9034, Malta.