On Tuesday, a bell-ringing ceremony took place at the Malta Stock Exchange (MSE) to mark the listing of VBL Group’s 5.2 per cent secured bonds.

MSE CEO Simon Zammit gave a warm welcome to everyone who made the listing possible and thanked the listing team for their efforts.

In October, VBL Group, a key player in the Valletta real estate market, announced plans to issue €10 million in secured bonds with a 5.2 per cent interest rate, maturing between 2030 and 2034.

The group’s operations focus on acquiring, developing and managing assets across Valletta, with its ultimate goal of becoming “the largest operator of real estate” in the capital city.

It is aiming to use the net proceeds of €9.7 million to fund ongoing development projects, upgrading to existing properties, and general corporate purposes.

Specifically, in its prospectus, VBL indicated that funds raised from the bond issue will be allocated as follows:

• €5.2 million for the completion of the Silver Horse Phase 2 and Orangery Lodge Phase 2 projects.

Silver Horse Phase 2 refers to a property located in Strait Street, cornering with St Christopher Street, measuring around 5,808sqm of gross development area. The company forecasts that the development of Silver Horse Phase 2 is expected to deliver recurring rental revenues in excess of €2 million per annum as from mid-2026.

Meanwhile, the Orangery Phase 2 refers to a property on West Street, which will be developed into nine apartments for accommodation purposes and one retail unit at ground floor level.  

• €1.2 million for the for the refurbishment and upgrades to existing owned and leased properties, including hospitality accommodation, office spaces, and retail outlets.

Properties to be upgraded include the Lucky Star, the Old Lodge, and the Old Bakery.

• €3.3 million for general corporate funding needs.