AX Group p.l.c. has announced the issuance of €40,000,000 5.85% Unsecured Bonds maturing in 2033

AX Group p.l.c. (the “Issuer”) has announced the issuance of €40,000,000 5.85% Unsecured Bonds maturing in 2033, having a nominal value of €100 per bond issued and redeemable at par (the “Bond Issue”). 

If you wish to apply for these bonds, see the information at the bottom of this article or contact us on 25 688 888. 

The prospectus published by the Issuer dated 26 September 2023 for the purpose of this Bond Issue (the “Prospectus”) can be found here. 

Please refer to the Prospectus for the definition of capitalised terms used herein. 

Business Overview 

The AX Group is primarily engaged in four business divisions, namely hospitality, healthcare, real estate and development, and construction, and is also involved renewable energy. The Group’s finance and investment division provides finance to AX Group and its subsidiaries and also manages certain strategic assets. 

The ‘AX Hotels’ brand has carved a unique status in the local hospitality market as a hotel operator that caters for a wide range of diverse tastes. Across its seven Group Hospitality Properties located in Valletta, Sliema and Qawra, as well as its various highly distinguished food and beverage outlets, the Group’s hospitality division is the largest operating division of the AX Group. The operations of the ‘AX Hospitality’ chain are carried out by AX Hotel Operations p.l.c. (C 40905), a company managed by a dedicated and highly skilled professional management team headed by Group Hospitality Director Claire Zammit Xuereb, one of the Executive Directors of the Issuer. 

Use of Proceeds 

The proceeds from the Bond Issue, which, net of Bond Issue expenses, are expected to amount to approximately €39,250,000, will be utilised by the Issuer for the following purposes: 

1. an amount of up to €40,000,000 in the form of Exchangeable Bonds surrendered by Existing Bondholders in favour of the Issuer by virtue of an Exchangeable Bond Transfer resulting in the purchase of Exchangeable Bonds from said Existing Bondholders by the Issuer, for cancellation (as at the date of the Prospectus the total value of Exchangeable Bonds in issue stands at €40,000,000); and 

2. the proceeds derived from the balance of the Bonds not subscribed for by Existing Bondholders by means of the Exchangeable Bond Transfer, as well as any amounts received through the exercise of the Cash Top-Up, will be used by the Issuer for the redemption of the outstanding amount of the Exchangeable Bonds remaining in issue as at 6 March, 2024 being the redemption date of the Exchangeable Bonds. 

How to Apply: 

Our Moneybase Invest clients can apply online whilst our Financial Advisory clients can speak to their Financial Advisor at one of our four branches (Mosta, Sliema, Birkirkara and Fgura) by contacting us on +25 688 688 or [email protected] or via live chat on ww.cc.com.mt. 

Should you prefer to apply through our Moneybase Invest platform, kindly look up the instrument applicable to you from the below list and specify the amount of bonds for which you would like to subscribe: 

5.85% AX Group Plc Form A Exchange if you are a holder of the 2024 Maturing Bonds and want to exchange your old bonds for new bonds., 

5.85% AX Group Plc Form A Top Up if you are a holder of the 2024 Maturing Bonds and want to subscribe for more of the new bonds in addition to exchanging all your old bonds., 

5.85% AX Group Plc Form B Preferred if you are a Preferred Applicant and want to subscribe for the new bonds. 

The minimum application amount is €1,000 and in multiples of €100 thereafter.  

Non-nominee applications must be accompanied by an original application form. 

The value of the investment can go down as well as up. 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 of Ewropa Business Centre, Triq Dun Karm, Birkirkara BKR 9034, Malta, which is licensed to undertake investment services in Malta by the MFSA under the Investment Services Act. (Cap 370 of the Laws of Malta).