HH Finance plc, the financing arm of Hugo's Group, has received total applications of €24.13 million for its €27 million issue of 5.2 per cent secured bonds maturing in 2035, following the close of the offer period.
Of the total applications received, €4.09 million represented exchanges from existing Prospects MTF bonds, while €20.04 million were taken up through placement agreements. The bonds are expected to be admitted to the Official List of the Malta Stock Exchange on 28th October 2025, with trading commencing the following day.
The bonds will pay interest every year on 28th October, starting in 2026, and will be redeemed in 2035 upon maturity. They are secured by collateral that will be finalised in favour of a Security Trustee within ten business days of listing.
The proceeds from the bond issue will be used for several purposes. HH Finance will allocate part of the funds to redeem its €5 million 5 per cent unsecured bonds (2023 to 2028) ahead of schedule.
Additionally, approximately €13.5 million will be used to repay loans to Bank of Valletta connected to the acquisition of All Round Entertainment Ind. Ltd., a company which had entered into a promise of sale agreement for a property in Sliema. That deal ultimately fell through and HH Finance incurred around €1.2 million in deposits and related fees.
The remaining balance will be directed towards the general corporate funding needs of the group.
HH Finance plc serves as the financing arm of Hugo’s Group, a major player in Malta’s hospitality and entertainment sector. The company, originally founded by the late Hugo Chetcuti, is now led by his son, Luke Chetcuti, who continues to oversee the group’s growth and investment strategy.
In its announcement, the company expressed gratitude to the investing public and authorised financial intermediaries for their support and trust in the HH Finance name.
