MIDI plc - Interim Directors’ Statement

Thursday, May 16th, 2013

On 15 May, MIDI plc issued its Interim Directors’ Statement providing an update on its performance since the start of 2013.

The announcement revealed that in view of the limited stock of apartments available for sale, the Company is projecting a loss for the current financial year following the €1.9 million loss posted in 2012. The Directors explained that due to the delays in the issuance of the full development permits with respect to the last phase of Tigné North (comprising the two residential blocks referred to as T17 East and West and the T14 office block), the Company only had 12 apartments available for sale at the start of the year. Meanwhile, MIDI reported that it successfully delivered a further five apartments and concluded a promise of sale agreement on another apartment so far this year. As such, MIDI only has a further 6 apartments remaining for sale.

During the period under review, development works at Tigné Point resumed with the commencement of construction works on the T17 East block comprising 38 apartments in February 2013. The Company plans to launch the new apartments during the last quarter of 2013 and expects to start delivering the apartments as from the first quarter of 2015.

The announcement also confirmed the sale of the Group’s entire shareholding in Tigné Mall plc following an Initial Public Offering. As a result, Tigné Mall plc no longer forms part of the MIDI Group with effect from 2 May 2013. Following the disposal of these shares, the bank borrowings of the MIDI Group dropped by €50 million in part due to the fact that Tigné Mall plc is no longer part of the Group as well as due to the repayment of some other bank borrowings by the Group from the proceeds generated from the sale of the shares amounting to €20.9 million. The Directors reiterated their belief that this transaction has substantially strengthened the Group’s financial capabilities and therefore has enabled it to continue with the remaining development at Tigné Point and eventually start development works at Manoel Island.

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