MMH Finance plc, the financial arm of Mediterranean Maritime Hub (MMH Group), announced it is no longer able to continue discussions with a potential investor group exploring refinancing options.
In September 2024, MMH revealed it would need alternative financing to redeem a €15 million bond due in October 2026. The company now says the owners of MMH Group have received a firm offer from local investors who want to invest alongside existing shareholders.
The company reassured bondholders that any new investment will focus on repaying the bond when it matures, including the interest accrued. This aligns with previous statements and an interview with WhosWho.mt confirming the company’s commitment to pay €720,000 in interest to bondholders last October.
However, the situation remains uncertain as MMH has yet to publish its audited financial statements for 2024.
Both the 2024 accounts and interim statements for the six months ending June 2025 are expected by 18th December, 2025, according to a previous statement. This represents a major extension beyond the original 30th April 2025 deadline, after the group had already postponed publication of its 2024 financial statements first to 30th June and later to 25th August.
So far, MMH has avoided what could have been Malta’s first major bond default.
The company holds a 65-year lease over the former Marsa Shipbuilding site, granted by the Maltese Government in 2016. Since early 2023, it has been seeking strategic investors, including a deal with Virtu Holdings that ultimately fell through.
After admitting the need for alternative financing, MMH also explored negotiating a “balanced” termination of its concession with the government, but talks were unsuccessful. This had raised fears that bondholders might not be repaid.
Those fears may have eased somewhat in light of the new “concrete offer” from third-party local investors to join the existing shareholders in investing in MMH Group.
More updates are expected in the coming days, ahead of the company’s financial reports.
