DB Group has signed a prelimary agreement to take full ownership of Porto Azzurro Hotel, located in Xemxija.

The group, which already owns one third of the three-star hotel, has offered €8 million for the remaining shares in Porto Azzurro, which generated EBITDA of around €350,000 on revenue of €1.43 million in 2023.

SD Holdings, DB Group’s holding company, announced the planned transaction in a financial analysis summary released on Friday (today).

SD Holdings operates two brands – DB (stylised as db) Group and Lifestyle Group.

DB Group operates the db Seabank Hotel in Mellieħa and the db San Antonio in Buġibba. It also holds the right-of-use for land situated atop St George’s Bay on the border of St Julian’s and Pembroke, that is currently under development.

The residential portion of the development just started being advertised this week, although the group notes that all apartments in the ORA West tower are already under promise of sale agreements.

This newsroom understands that the ORA East was offered to investors looking to buy entire floors within the tower, with each floor going for anywhere between €4 million to €7 million.

Lifestyle Group meanwhile operates a number of food and beverage outlets in Malta, and is the local franchisee for international brands like Starbucks, GROM and EL&N London.

The group anticipates revenues to rise to over €92 million for the current financial year, running from 1st April 2024 to 31st March 2025.

Hospitality and ancillary services generate the bulk of income (€52.3 million) while the food and beverage segment makes up most of the rest (€37.5 million).

EBITDA for the current period is expected to be just under €32 million.