Herman Grech
Man Utd stars to invest in Malta hotel chain
Island Hotels Group to be floated in the 'coming weeks'
Ryan Giggs (left) and Gary Neville (right) with Winston J. Zahra.
Manchester United stars Gary Neville and Ryan Giggs are to invest in the Island Hotels Group when it launches an equity and bond issue in the coming weeks, The Sunday Times has learnt.
Mr Giggs, the Premiership Player of the Year, and Mr Neville, the Manchester United captain, are expected to acquire a combined shareholding of around five to six per cent once the group is floated.
Island Hotels Group owns some of Malta's finest hotels, including the Radisson Blu Baypoint Resort, and the Radisson Blu Golden Sands Resort and Spa.
It is understood that the investment possibility was discussed after a Manchester United delegation, which included manager Alex Ferguson, visited Malta last February in connection with the local supporters' club's 50th anniversary celebrations.
"A simple conversation during a celebration dinner at the Radisson Blu Golden Sands a few months ago led to where we are today," group CEO Winston J. Zahra said.
Mr Zahra said discussions were underway to discuss the possibility of one of the footballers joining the company board as a non-executive director, he said.
"Both Neville and Giggs are fantastic individuals with a great desire to participate in the business world and enjoy the same success they have enjoyed on the football field. Their mentality and philosophy fits in perfectly with ours and they have a desire to help grow a business that went from 200 beds and 25 employees 22 years ago to what it is today," Mr Zahra said.
Mr Neville, 34, who has a long standing affinity for Malta, told The Sunday Times:
"I am delighted to be personally investing in the Island Hotels Group and look forward to making a positive contribution to the future of the company.
"The company really excites me not just for what has been achieved already, but more so because of the future opportunities and the vision of the Zahra family. My aim in the years to come is to assist the Zahra family in growing the business both in Malta and internationally.
"I have many investments and one thing I always make sure is to invest in good people and where I feel great partnerships can be forged. Knowing the Maltese people as I do, I know they have similar principles borne out of traditional and sensible values."
He said he felt safe in the knowledge that the Zahra family already had a "great pedigree" in the hotel sector.
Mr Giggs, 35, said he prided himself on quality and linking with good people.
"I know both these things have been achieved with this investment. Using my experience of travelling all around the world and seeing all types of establishments within the hospitality industry, I want to assist in the growth and promotion of the business," he said.
Mr Giggs said he actively wants to be part of taking IHG into the international arena using the depth of knowledge and good foundation of the company.
"We have a great opportunity to link with many contacts I have throughout the leisure industry to help realise the ambition and visions of the Island Hotels Group," he said.
Island Hotels will be floated on the stock exchange later this year, with former chairman Nazzareno Vassallo selling the major part of his 50 per cent stake.
The Zahra family will in turn be increasing their stake in the group from 50 to 75 per cent with the balance of equity being made available to the public.
Group chairman Winston V. Zahra said the approval process had not yet been completed and, therefore, he could not comment in detail at this point in time.
"In the coming weeks we will be giving more information on the plans that we have for the future of the group."
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d.attard
Aug 11th 2009, 20:16
i would say that is a good investment. Timining is a crucial aspect when investing, and waiting for the market to peak would mean investing at the sharp expensive end. The Island brand is undoubted not least because it enjoys excellent locations. OK so Italy is the home of true football but thanks to these guys who are real mates, and intellegent ones at that.
Ray Gatt
Aug 11th 2009, 10:34
@Jeff.Stewart - I would not worry too much about our islands my friend. When the British forces were leaving in 1979, we were being told we'll all die of starvation and that we won't make it on our own. As you can well see, though our only resources are us the people, we're still here and although we're not passing through the best of times at the moment as all the world is with the crunch, we are fighters and survivors and I can assure you that better times are around the corner. I do thank you for your concern though!
As for Ryan and Gary, I thank them too for their faith in our abilities and potential. Well chosen lads. Glory, Glory Man Utd.
Karl Abela
Aug 11th 2009, 09:29
Mr Zahra,
Congratulations!! Although one of your hotels is a competitor to me, I view this news as very good indeed. Not so much for the investment money that these two gentlemen bring, but because of the added promotion, coverage and an improvement of our Island's product profile. Such a move has undoubtedly lifted the spirits of all those involved in the industry.
Keep up the good work!!
roberto bordino
Aug 11th 2009, 07:46
Lets hope they do something about the pack hunting time share that are contributing to the downfall of tourism in Malta. Most tourist site them as the main reason they would never return here
Lawrence D. Attard
Aug 10th 2009, 21:17
@ Miriam Buttigieg
You refer to the Maltese as moaners. Shame !!! Gozo, which according to you is the Best Island ever ( I might agree ), can be considered also to be the luckiest, counting on hundreds of thousands Maltese tourists annually. Because, you know Miriam, the Maltese are always Good spenders abroad.
Miriam Buttigieg
Aug 10th 2009, 20:26
Lets be honest if these 2 guys didn't have any money to invest in our islands, nobody will give them a second look, but as always money talks so i say good lads give it a go, you'll never know, God only knows without tourism and our lovely British and the welsh( lol) Malta would sink faster then a ton of bricks., So i say to the Maltese stop moaning and don't LOOK A GIFT HORSE IN THE MOUTH! Incidently why not my home town of GOZO why is always Malta?. Miriam Buttigieg from the Best Island ever GOZO.
Sara Falconi
Aug 10th 2009, 17:47
I believe that such an investment of foreign money into the Maltese economy should be seen in a positive way, above all in a difficult moment like the one we are living in. So, well done to Island Hotels who managed to share their vision and who still believe in Malta's potential. Football supporters ironies have nothing to do with this. Above all, people should stop complaining about everything and start realising that the tourism in Malta needs a serious shift if it wants to survive. Pollution and wild development have already reached the point of no return. The priority is not to decide which group is getting more investors and more money but to understand why tourists, or better, travellers, should be still interested in visiting the Maltese Islands.
John Micallef
Aug 10th 2009, 15:54
Who gives a damn what three multi-millionaires do with their cash ! This should not be news and more than that why on earth is it such front page material !
Jeff.Stewart
Aug 10th 2009, 14:43
Although we love Malta and also a great place for the tourist to visit, but i can see no future for these islands, the times are over and now with the recession at its peak alot of British tourits as an example at seeking further afield where they can get more for their money, however i say good luck to these two lads, ofcourse like anything else time will tell - wish them well.
Daniel Russell
Aug 10th 2009, 12:28
As an Aston Villa fan, but also a big fan of the Island Hotels Coastline Hotel (my favourite hotel in Malta and a guest of several years), i think that this investment in Malta by Gary Neville and Ryan Giggs is a great opportunity. Football aside, it is a very shrewd business move which can help Island hotels to grow organically and inorganically to help break into new markets and sectors. Also like me, they have a great love for Malta and it is great they can invest in a thriving business.
@J Fenech - Why ever not? Surely they will be silent partners.
@ J Pirotta - Will this investment not help "Brand Malta" to attract tourists?
@ A Borg - You support my favourite Italian team .....forza juve!!
With hope a much stronger Island Hotels group can be born. Finally, I must pay thanks to Mr Vassallo for the great work he has undertaken as chair. With him at the helm, Island Hotels acheieved a great deal.
Ray Gatt
Aug 10th 2009, 12:00
What's wrong with partners like those Mr. J Fenech? What did they ever do to you?
J. Debono
Aug 10th 2009, 11:53
I admire players of this calibre investing their money in Malta and I salute them.
I cannot say the same for Mr. Zahra and the setup he has at The Radisson golden sands.
He should take care of the people that bought into his time share agreement that is causing much unrest with the members, especialy the maintenance fees which is greatly exagerated with only 4 years since the officail opening.
Some owners already paying over €600 a year.
Whats it going to be in another ten years Mr. Zahar?
You even dropped the entertainment crew by more than half even though you saw an increase in sales at your bar swizzles.
Members need to start getting together and putting their comments in.
Andrew Borg
Aug 10th 2009, 10:48
Even though i support Juventus, I have nothing but admiration for gentlemen like Ryan Giggs and Gary Neville. Wish you success.
Ramon Micallef
Aug 10th 2009, 09:07
Wishing greater success to WJZ - Well done and keep it up.
M.ellul
Aug 10th 2009, 01:26
@ L.Filletti
@Jonathan Pirotta.
I think that these 2 players know how to invest their money..... So 2 foreign people are seeing a gr8 future in Malta by investing here...and you aren't?? so i think that they haven't lost their mind... but sorry mates you did!!
John Smith
Aug 9th 2009, 18:07
Did you say Welsh? OMG ---------------!
J Fenech
Aug 9th 2009, 17:48
Mr. Zahra. I'll never set foot into your establishments ever again with partners like those.
Graham Cassar
Aug 9th 2009, 15:50
Is your life so miserable Mr. Filetti. These two WORLD RENOUNED players are going to invest in a Maltese company with foreign money. This is to be commended and used to attract more of the same kind of investment especially in this period when the tourism business is suffering. No politics or partisan feelings should interfere with the good of Malta or of any Maltese Company.
Well done Mr. Zahra, W.J. may other businessmen have the same endeavour to attract more foreign investments to our shores.
Brian Maloret
Aug 9th 2009, 15:27
Jonathan Pirotta
Ryan Giggs is not an Englishman he is Welsh and plays football for Wales and Manchester United. Two different nations with differnt languages.
M.CJ.Silk
Aug 9th 2009, 14:36
And only yesterday in the Times and other local media that Hoteliers are at a loss through lack of tourists. is this really a good career move at this moment in time or is it just another piece of news that is ok in theory but useless in practice when everyone else is suffering because of the recession, or maybe other reasons to invest in Malta as most are leaving Britain because of high taxes reason ie. Ladbrokes the betting shops moveing to pastures new.
g hoare
Aug 9th 2009, 13:32
LAWRENCE FILLETTI ,, OMG I FEEL SORRY FOR YOU AS THAT IS ALL YOU GOT TO SAY .
HOW ABOUT THANK YOU GUYS FOR PUTTING INTREST TO INVEST IN MALTA HOTELS
Lino Apap
Aug 9th 2009, 13:30
Class players for a class Maltese Group. Well done to Giggs and Neville for "scoring" a good coup - may your investment give you the same pleasure that both of you have given us over the past 20 years or so. And well done to Mr. Zahra and Island Hotels for attracting such high-profile investors.
What's "forza italia" got to do with anything?
Jonathan Pirotta
Aug 9th 2009, 12:30
Yes right Forza Italia, these English guys must be out their tiny mind. Where are the tourists? Long time passing:- when every other hotel is closeing down, these blokes are doing the opposite. The mind Boggles, still the tax man is going to have a field day.
joseph cauchi
Aug 9th 2009, 12:09
can you pls tell me why they are poor guys and what forza italia has to do whit this case
L.Filletti
Aug 9th 2009, 11:49
Poor guys, ~ Forza Italia ~ Lawrence Filletti