Issue link: https://maltatoday.uberflip.com/i/806571
maltatoday, SUNDAY, 2 APRIL 2017 12 News MATTHEW VELLA PAMA supermarket managed to almost double Christmas sales, with monthly revenues jumping by 44% to over €4.5 million in De- cember 2016, over the year before when the new supermarket had just opened. Sales at the Naxxar supermarket, which is spread over 4,800 square metres and comes with a 5,000 sq.m shopping complex and car park, have consistently increased since the shopping village opened in November 2015. This week, owner P.G. plc re- vealed commercial details of su- permarkets Pama and Pavi, and the Zara franchise, in a prospectus for a €25 million share issue. The holding company owns 49% of Pama. The €12.9 million Pama site on Valletta Road, on the outskirts of Mosta, lies at the centre of a large urban residential configuration that comprises Attard, Balzan, Birkirkara, Iklin, Lija, Mosta and Naxxar. Monthly sales for Pama super- market climbed steadily from January 2016 to December 2016, from just over €2 million monthly to over €4.5 million during the Christmas peak. "This is a business that is still maturing… gross profit in the six months to October 2016 was al- most double that recorded in the first six months of operation," P.G. plc said in its prospectus. "The increased turnover and additional rental income, particu- larly from the Pama retail mall, is expected to result in increased profitability," the company added in an optimistic note. Forecast turnover for both the Pama and Pavi supermarkets for 2016 shows an increase of €21.7 million (41%) when compared to 2016, driven primarily by the im- pact of the first full year of opera- tion of the Pama supermarket. "It is difficult to project the level at which the supermarket's sales will stabilise, or whether an ele- ment of customer rebalancing between Pavi and Pama will con- tinue," P.G. plc said. "On the basis of the experience gained over the years since the inception of the Pavi Shopping Complex and their understanding of the manner in which the market has evolved… no significant change to the ex- isting competitive landscape will materialise." The group, owners of the Zara and Zara Home franchise in Mal- ta, will also be expanding their Sliema outlet at the Alhambra complex in 2017, with a €4.2 mil- lion spend. The outlets are valued at over €25 million. "Inditex [owners of the Zara brand] is favouring the opening of larger stores that permit the stocking and display of a wider elections of products than is pos- sible within the existing Alhambra outlet," P.G. plc said, adding that this will lead to the construction of five additional levels on the back of the two-storey Alhambra complex. At a total of 4,400 sq.mm it will be one of the largest Zara depart- ment stores in Europe. Between 2014 and 2016, the franchise operations generated a total €34 million in sales, with profit after taxation doubling from €761,000 in 2014 to €1.42 million in 2016. mvella@mediatoday.com.mt Rural Development Programme for Malta 2014-2020 Part financed by the European Union Co-financing Rate: 75% European Union; 25% Government of Malta The European Agricultural Fund for Rural Development: Europe investing in rural areas Notification of Applications for the Rural Development Programme 2014-2020 Measure 6.1: Business start up aid for young farmers The Director General of the Funds and Programmes Division, within the Parliamentary Secretariat for the EU Presidency 2017 and EU Funds, notifies that applications for Measure 6.1 'Business start up aid for young farmers' of the Rural Development Programme for Malta 2014-2020 will be recieved from Tuesday 4th April 2017. This measure will assist young farmers in setting up for the first time and who intend to engage in an agricultural activity as the main holders of a farm or land. Young farmers face a wide array of barriers to enter into the agricultural sector; fragmentation of land, difficulties in obtaining loans for business investments, problems in accessing land and markets and resistance from older farmers are problems which new, young farmers face. The Application Form and relevant documentation will be made available on the Managing Authority webpage: www.eufunds.gov.mt Applications may be submitted at the Front Office within the Ministry for Sustainable Development, the Environment and Climate Change (MSDEC) at Pitkali Markets, Ta' Qali (l/o Attard) every Monday and Thursday between 07:30 and 15:00 or at the Front Office, Governmental Experimental Farm, Xewkija, Gozo every Tuesday between 07:30 and 13:00. Farmers are reminded to bring an offical identification document when applying at the Front Office. Further information may be obtained from: www.eufunds.gov.mt, by email: rdd.meaim@gov.mt or by calling 22001108. Pama makes €36 million in sales in first year of operation P.G. plc to start massive Zara expansion with five new floors to be constructed at Alhambra complex in Sliema P.G. plc chairman Paul Gauci. His business group is issuing €25 million in shares to the public