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3 NEWS 25.11.2021 FROM PAGE 1 Architect and civil engineer Joe Cas- sar valued the Savoy Complex at €16.5 million in September. In his valuation, he considered the location, finishes and potential rental market value of similar properties in Valletta. In its prospectus, the company said that of Bond Issue proceeds, the amount of circa €17.5 million was to be used to purchase the Savoy complex, €3 million will be used to repay the 2014 Bonds; and approximately €200,000 are be used for general corporate funding purposes. On 19 November, just eight days after the Bonds were issued, CBC announced that it had purchased and acquired the Savoy Shopping Complex in line with its prospectus. CBC already owns and operates other properties and business centres: • CBC Zebbug enjoys a 100% occu- pancy of available office space and car park facilities • CBC Gudja enjoys a 100% occu- pancy of available office space and car park facilities • CBC St. Julian's enjoys a 57% oc- cupancy of available office space and car park facilities • Zebbug Business Premises enjoys a 100% occupancy of proposed ar- eas and parking facilities e prospectus notes that there has been no material adverse change in CBC's prospects since the publication of its latest audited financial statements. e company considers that it is gener- ally subject to the normal business risks associated with the real estate market and barring unforeseen circumstances, does not anticipate any trend or events outside the ordinary course of business that could be deemed likely to have a material effect on its upcoming pros- pects, for at least the current financial year. "e Directors are of the view that there is still an active demand for the rental of commercial property general- ly, particularly because Malta's economy is largely based on the services sector, rendering quality commercial space in- creasingly attractive to employers wish- ing to enhance their professional image," the prospectus reads. "e Directors are satisfied that their targets of renting out the commercial space available at the Zebbug CBC and the Gudja CBC have been achieved and will strive toward 100% occupancy at CBC St. Julian's and Villa Fieres." e company's directors are also confi- dent of achieving high occupancy levels at the new Valletta property, firstly due to the fact that it is current 50% occu- pied and secondly, due to the location and current standing of the property. "e Issuer has now garnered experi- ence with respect to operations in the property development sector and the Is- suer's strategy for the foreseeable future is to continue developing its assets with a view to realising and maximising their financial potential as well as exploring new opportunities on the local market." The Savoy Complex e Savoy Shopping Complex was built between 1950 and 1954 and was subsequently developed into a cinema complex with a lower auditorium and upper auditorium. In the 80s, the lower auditorium - the upper basement and ground floor - was converted to retail shops. In the 90s the upper auditorium was also converted to retail outlets. Currently, the property is specifically used for retail shopping outlets on all floors with administrative offices on Level 6. e present net annual income of the leased property amounts to €313,000. More companies are taking to Bond Issues and Share Offers as a means to secure financing for major projects, as the markets show clear signs that investors are keen to subscribe to viable offers in the absence of other attractive investment options. As reported, the Cortis family's Central Business Centres plc financed the purchase of the Savoy Shopping Complex in Valletta for €17.5million following a successful issue of €21million secured bonds earlier this month. Dino Fino Finance PLC has announced the issue of €7,800,000 4.75% Secured Bonds 2033 as per its prospectus published on 30 September. The subscription period closed on 5 November 2021 due to the Bonds being subscribed to in full by this date. Trading in the Bonds on the Official List of the Malta Stock Exchange plc commenced last Friday. GAP Group plc has announced it has submitted an application to the Malta Financial Services Authority requesting the admissibility to listing of €21 million 3.90% Gap Group plc secured bonds maturing between 2024 and 2026. Subject to obtaining regulatory approval, GAP Group will be inviting holders of the €19.2 million 4.25% Gap Group plc secured bonds 2023 as at close of trading on 24 November 2021 to subscribe to the new bonds by surrendering their respective holding, and in so doing, will benefit from a premium of 1.25% on the nominal value of the 4.25% secured bonds 2023 so surrendered. Holders of the 4.25% secured bonds 2023 may also subscribe for additional amounts in the new bonds. AX Group has confirmed that it was in the process of converting one of its subsidiaries, AX Real Estate Limited into a public limited liability company. This company intends to issue a Share Offer of 33,333,333 ordinary 'A' shares of a nominal value of €0.125 per share which will be offered for sale to the public at an offer price of €0.60 per share. This will be subject to an over-allotment option which, if exercised, would increase the offer to up to an aggregate of 50,000,000 ordinary 'A' shares. AXRE also intends to issue €40,000,000 in 3.5% unsecured bonds of a nominal value of €100 per bond to be issued at par, redeemable in 2031. Details of the company's combined offer for the Bond Issue and the Share Offer can be found on the company's website. Bonds and share issues lure investors Savoy complex to retain retail outlets under new ownership Securities Note – Central Business Centres plc 30 Central Business Centres - Statement of Comprehensive Income Central Business Centres - Statement of Financial Position Central Business Centres - Financial Anlysis Summary 2021 Securities Note – Central Business Centres plc 31 Securities Note – Central Business Centres plc 32

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