PLAN Group plc, one of the successors of GAP Group, has issued Tranche 2 of its bond programme, amounting to €4.2 million.
The bonds form part of a broader €40 million secured bond issuance programme and carry a 5.1 per cent annual coupon rate. They will mature between 2028 and 2030 and are fully guaranteed by PLAN (BBG) Limited and PLAN Qawra Limited.
This follows the €24 million Tranche 1 issued last month.
A portion of the proceeds, €2.07 million from this second tranche, will be used to finance the construction and development of a site in Birżebbuġa.
The site is earmarked for a seven-storey care home for the elderly with 240 beds (Block A – Qajjenza Care Home), as well as 91 residential units in Block B and 112 units in Block C.
In its prospectus, the company also noted that if the additional 1,619 square metres of government-owned land, currently held under a perpetual emphyteusis, is not granted, the development would be downsized from 203 residential units and 204 garages to 141 residential units and 158 garages.
The proposed development has faced objections from local councils and environmental activists, who argue that the project exceeds local building height regulations and does not complement the surrounding urban landscape. Critics also note that the local plan limits building heights to four storeys, and question the suitability of developing such a structure adjacent to an Outside Development Zone (ODZ).
Another €2.07 million from the bond will be used to finance the construction and development of a site in Qawra, located within the limits of Saint Paul’s Bay, Malta, spanning approximately 4,102 sqm in the Tal-Kortin area and includes both its airspace and subterranean rights.
The proposed development includes 188 residential units and 160 garages and parking spaces on basement parking levels. It is expected to commence in 2025 and completed in 2028.
All relevant documentation relating to the bond issuance is available on the company's website.
PLAN Group provides a wide range of services, including the development and finishing of residential projects and the operation of two care homes for the elderly. The company aims to leverage the funds raised through the secured bond programme to advance key development projects while maintaining financial stability and growth.
