Manoel Island Yacht Yard sold

The Manoel Island Yacht Yard was sold to a Maltese consortium today in the second stage of the privatisation of Malta Shipyards.

The consortium includes Bezzina Ship Repair, Mizzi Holdings, Hili International, Virtu' Steamship and Midi.

The privatisation of the shipyard started with the sale of the ship repair facilities to Palumbo. The superyachts facility at Cospicua has been retained by the government because the bids were not deemed to be satisfactory. Talks on the privatisation of the former Marsa Shipbuilding Yard have also not progressed.

Finance Minister Tonio Fenech said there had been three bids for the Manoel Island Yacht Yard, of which the successful one was by far the highest.

He said the 'yard was being transferred on a 30-year concession, during which the new company would invest €18.8 million.

There is a down payment of €5.5 million. The company will pay annual rent and other charges to the government and will in the near future invest €6 million to upgrade the facilities.

The company is expected to employ 70 workers.

Victor Bezzina on behalf of the consortium, said that the maritime sector was going through a recession and the consortium was being careful to offer advantageous rates. He said the rates were established during the privatisation process and would remain the same as today.