Bond issues by International Hotels Investments plc and Premier Capital plc have been oversubscribed.

IHI said yesterday the €25 million 6.25% 2020 bond issue closed minutes after opening on the first day of offer.

Proceeds from the bonds will be principally used to redeem the outstanding amount of the five per cent IHI convertible bond which matures on May 29 and to repay in full an existing loan facility.

"We are very satisfied with this success as the Maltese public has shown time and time again the trust that it places in the strong reputation enjoyed by International Hotels Investments plc and the Corinthia Group," group chairman and chief executive officer Alfred Pisani said. "As in preceding bond offers issued by the group, this bond has also generated a very positive response and we are grateful to the Maltese public for the continued support."

IHI has acquired and developed landmark hotel projects in Malta, Tripoli, Prague, Lisbon, Budapest and St Petersburg. It is also currently developing another two projects - one in London, set to open this year, and another in Benghazi.

Premier Capital plc said its €25 million 6.8 per cent Bond 2017-2020, inclusive of the over-allotment option, was also oversubscribed immediately after subscription lists were opened.

Premier operates McDonalds restaurants in Malta and the Baltics. Proceeds from the bond issue are earmarked for the restaurant network's expansion and upgrading projects.

The board of directors said that in view of this substantial demand, a number of applications will have to be scaled down. The issuer will be publishing the allocation policy by April 1.

The board expressed its appreciation to the investing community for its strong support for the bond issue.