Central Business Centres plc (CBC) has announced the launch of a €16.75 million unsecured bond issue carrying an annual interest rate of 5.9 per cent and maturing in 2036.

The bonds form the second tranche of CBC’s €30 million Bond Issuance Programme and will be issued at a nominal value of €100 each. Interest will be paid annually on 7th October, with the first payment due in 2027.

The offer period will open on 4th September and run until noon on 29th September 2026, unless closed earlier.

CBC said the issue is expected to generate maximum net cash proceeds of approximately €13.45 million, assuming the balance of the bonds is subscribed for in cash. A further €3 million in nominal value will be allocated as non-cash consideration towards the acquisition of the Cortis 2 property.

Proceeds from the issue are earmarked for several purposes, including the redemption of CBC's existing bonds maturing in 2027, the acquisition of the Cortis 2 property and settlement of an outstanding amount related to the acquisition of CBC Mrieħel.

Funds will also be directed towards further capital expenditure at CBC Valletta – The Savoy and CBC Mrieħel, as well as general corporate funding.

CBC is involved in the ownership, development and leasing of commercial property in Malta, with properties in Ħaż-Żebbuġ, Gudja, St Julian's, Valletta, Mrieħel and Qormi.

As at the end of June 2026, the company's investment property portfolio was valued at approximately €88 million, according to its unaudited interim financial statements. The company said the vast majority of its properties are leased, principally through medium- to long-term rental agreements.

CBC reported revenue of €1.6 million during the first six months of 2026, up 12 per cent compared with the corresponding period a year earlier.

For 2025, revenue stood at €2.58 million, an increase of 8.9 per cent, while EBITDA rose by 10.4 per cent to €2.26 million.

The latest issue follows the €13.25 million first tranche of 5.70 per cent bonds issued under the programme. Together, the two tranches bring the total issued under CBC's €30 million programme to the full €30 million.

Existing holders of CBC's 2017 bonds, which mature in July 2027, can apply for the new bonds with a minimum subscription of €1,000 and multiples of €100 thereafter. The minimum application for other investors is €2,000.

CBC has applied for the bonds to be admitted to the Official List of the Malta Stock Exchange, with trading expected to begin on 8th October 2026.

Calamatta Cuschieri Investment Services Limited is acting as sponsor, manager and registrar for the issue.