Virtu eyes ex-shipbuilding site in prospective share transfer deal

The owners of Virtu Ferries are set to acquire a substantial shareholding in the MMH Group that operates the sprawling ex-shipbuilding site in Marsa.

Virtu Holdings and LTV Developments are set to jointly acquire a majority shareholding in MMH Holdings, the company that acts as guarantor to Mediterranean Maritime Hub Finance plc.

In a company announcement by Mediterranean Maritime Hub Finance plc on the Malta Stock Exchange, the company said that the ultimate beneficial owner of MMH Group, Paul Abela, has signed a “conditional and non-binding letter of intent” to transfer shares to Virtu Holdings and LTV Developments.

MMH Holdings guarantees the €15 million unsecured bonds that expire in 2026 issued by Mediterranean Maritime Hub Finance plc.

“The net result is intended to be one where Mr Paul Abela will transfer a majority shareholding in the guarantor to the two prospective purchasers,” the announcement said.

MMH Holdings had acquired by concession the ex-shipbuilding site in Marsa in 2016 after the government issued a public call. The site’s total area measures 165,000sq.m and includes 1,200m of quayside and engineering workshops covering 30,500sq.m.

The area strategically abuts onto the Grand Harbour and currently operates as an operations and supply chain support base for the Mediterranean oil and gas industry.

The transfer of shares is subject to authorisation from the competent authorities in line with MMH’s obligations arising from the public deed entered into with the government in August 2016.

“The MMH Group expresses its optimism for the proposed transaction to be concluded in the coming months once all regulatory, due diligence and corporate matters have been addressed, and once approvals have been obtained,” the statement said.

Virtu Holdings is ultimately the owner of Virtu Ferries, operators of a catamaran service between Malta and Pozzallo. It also operates a fast ferry service between Grand Harbour and Mġarr.

LTV Developments is owned by Francis Busuttil & Sons Ltd, also known as Ta’ Bandallu, a major importer of food and groceries.